Questions to ask an EOR provider before you sign
The questions that decide what an employer of record will cost you and what you are committing to, each linked to the page where every provider's own answer is set side by side, with its source.
Before you sign with an employer of record, ask what you will really pay (the fee in your hire's country, deposit, setup and offboarding fees, currency markup), what you are signing (minimum term, notice, exit charges, payment terms), how it employs in your country (its own entity or a partner's, the law there, visas, onboarding time) and what your hire gets (benefits, equity, equipment). Each question below links to every provider's own answer, side by side.
What it will really cost
What is the monthly fee per employee in my hire's country, and what does it include?
Published fees are a starting point; the fee for one country, team size and plan is what you pay, on top of the salary and the employer's statutory costs.
Do you take a security deposit, how much, and do I get it back?
With a single hire, a deposit of a month or more of costs can be the largest amount you pay at the start.
Do you charge to start or to end an employment?
Setup and offboarding fees rarely appear next to the monthly price.
Which exchange rate do you use, and do you add a markup?
A markup on converting your payroll currency is a cost every month, often unstated.
In which currency is my employee paid, and in which currency do you invoice me?
Converting your invoice currency into the employee's is where an exchange-rate cost sits, and some hires ask to be paid in USD.
Do you offer a discount: annual billing, startup or volume pricing?
Several providers publish discounts that apply only if you ask or prepay.
What you sign
Is there a minimum term, how much notice do I give, and what does leaving early cost?
A month-to-month price can come with an annual term and a charge for the rest of it.
When do you invoice, must I fund payroll in advance, and what happens if I pay late?
Prefunding ties up cash; some terms charge interest on late payment.
Is there a minimum number of employees or a minimum spend?
Your first hire abroad is usually one person.
If I have to let my hire go, what do you do, and what will it cost me?
Notice, statutory severance and any settlement are billed to you; some terms add a monthly severance reserve.
If I set up my own company later, can my employees move to it, and is there a fee?
Some terms charge a share of a year's salary if you hire the employee directly too soon.
How they employ in your country
Do you employ through your own company in my hire's country, or through a partner's?
With a partner, a third company is the legal employer, and service and liability depend on it.
Is an employer of record allowed there, and on what conditions?
Some countries treat it as labour leasing, with licences, equal-pay rules or time limits.
Can you sponsor a work permit or visa, and at what cost?
Not every provider sponsors, and fewer in every country.
How soon can my hire start?
Onboarding times on providers' sites are claims; ask for the time in your country.
What your hire gets
Which benefits and health insurance do you offer, and at what price?
Statutory cover is included; private health insurance and extras are usually priced on top.
Can my hire receive stock options, and do you handle the tax on them?
As the legal employer, the provider runs the withholding and reporting when equity vests or is exercised.
Can you send a laptop, and get it back when they leave?
Shipping across borders means customs and local tax; collecting it is the hard part.
Your data and your systems
Which security certifications do you hold?
You hand over your employee's personal and bank data; a SOC 2 report or ISO 27001 certificate says how it is protected.
Do you connect to my HR and accounting software?
Without an integration, payroll data is typed in twice every month.
Want the answers for your hire? Tell us the country and how many people: we check every provider's published terms against your hire and get you quotes from the ones you pick.
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