How much does it cost to employ someone in Israel?
On top of gross salary, mandatory employer contributions in Israel run ~18.55% (employer National Insurance (Bituach Leumi) 4.51% on the first ILS 7,703/month and 7.6% between ILS 7,703 and the ILS 51,910/month ceiling, about 6.05% blended, plus the mandatory pension deposit of 6.5% and severance deposit of at least 6% of salary under the pension extension order); for resident employees, lower National Insurance rates for non-residents↗, made up of mandatory pension deposit 6.5% plus severance deposit at least 6% of salary (pension extension order, rates from 1 January 2017)↗; National Insurance (Bituach Leumi), employer 4.51% up to ILS 7,703 a month and 7.6% above, to the ILS 51,910 ceiling↗. An employer of record adds its own per-employee service fee on top; across the 56 of 93 providers that publish a fee, the median is $349 per employee per month.
What does an EOR charge to employ someone in Israel?
EOR service fees are billed per employee per month, on top of salary and statutory employer contributions in Israel. The contribution basis is ~18.55% (employer National Insurance (Bituach Leumi) 4.51% on the first ILS 7,703/month and 7.6% between ILS 7,703 and the ILS 51,910/month ceiling, about 6.05% blended, plus the mandatory pension deposit of 6.5% and severance deposit of at least 6% of salary under the pension extension order); for resident employees, lower National Insurance rates for non-residents↗. Providers rarely publish a Israel-specific fee: across the 56 providers on our price board that publish a price, the median is $349 per employee per month (from $99 to $740), and the rest quote per country. Request a quote for Israel for an exact figure.
How much paid annual leave is mandatory in Israel?
Statutory paid annual leave in Israel is 16 days a year in years 1-5 (counting weekly rest days; about 12 working days on a 5-day week)↗.
What is the statutory notice period in Israel?
The minimum employer notice period in Israel is 1 month (after 1 year)↗.
What is the minimum wage in Israel?
The statutory minimum wage in Israel is ₪6,443.85/month↗.
What is the maximum probation period in Israel?
The maximum statutory probation period in Israel is No statutory max (~3 months typical)↗.
Which EOR providers can employ someone in Israel?
29 of the 93 providers we track name Israel on their own websites as a country where they offer Employer of Record. By published starting fee: Asanify from $199 /mo↗, Gloroots from $199 /mo↗, RemoFirst from $199 /mo↗, Skuad (Payoneer) from $199 /mo↗, Tarmack from $199 /mo↗, and 15 more with a published fee; 9 quote Israel on request. Each provider's listing is its own claim, so confirm availability for your role and contract type before signing.
How many companies are hiring remotely in Israel?
In the 30↗ days to Nov 11, 2026, 48 companies↗ posted 92↗ full-time remote jobs open only to people based in Israel on the Himalayas job board, plus 32↗ contract roles, which ranks Israel #51 of 177 countries↗. The most hired fields are Developer, Marketing, Product. A company hiring this way without its own entity in Israel employs through an employer of record.
Do I need a local entity to hire an employee in Israel?
No. An employer of record (EOR) already holds a legal entity in Israel and can employ your worker there on your behalf, running local payroll, tax and compliance, so you can hire without setting up your own entity. That settles the employment side only: what the person does for your company (signing or negotiating its contracts, running a sales team, working from one place for most of the year) can still make your company taxable in Israel as a permanent establishment, whoever employs them.
When a hire abroad makes your company taxable there