Employment setup
Assess the duties, Brazilian work location, salary, working pattern and suitable local employing arrangement.
Employer of Record Brazil
Hire employees in Brazil without opening a local entity
TXM Solutions helps international businesses hire in Brazil through an Employer of Record arrangement. We coordinate the local employment setup, CLT contracts, payroll and statutory administration while you direct your team’s daily work.
Get a Brazil EOR quote →The short answer
What is an Employer of Record in Brazil?
An Employer of Record (EOR) is a local employing arrangement that lets a company engage an employee in Brazil without first establishing its own Brazilian entity. The local legal employer handles the employment contract and statutory employer administration; the client manages the employee’s day-to-day duties. The structure and employing entity must be confirmed for each hire.
TXM Solutions provides Brazil EOR support for companies making a first hire, building a small team or testing the market. We review the role, work location, employment terms and right-to-work position before confirming the route. Explore our Employer of Record service for the broader hiring model.
Local employment support
What TXM Solutions’ Brazil EOR service covers
CLT employment contract
Coordinate locally appropriate contract terms and onboarding information under Brazil’s employment framework.
Payroll in Brazilian reais
Coordinate salary processing, payslips, applicable tax withholding and social security contributions.
Statutory administration
Account for applicable FGTS deposits, eSocial employment reporting and CTPS Digital records through the legal employer.
Leave and benefits
Administer the 13th salary, paid annual vacation and applicable benefits, including collective agreement requirements.
Ongoing HR support
Coordinate employee changes, payroll inputs and locally reviewed offboarding when employment ends.
A practical hiring route
How hiring through TXM Solutions works
1. Share the role
Tell us the job duties, work location, salary, nationality, right-to-work status, benefits and target start date.
2. Review the structure
We assess the employing arrangement, applicable employment terms, collective agreement and immigration position.
3. Approve the budget
Review gross salary, estimated statutory costs, benefits and the EOR service fee in an itemised proposal.
4. Onboard and pay
The confirmed local employer arranges the contract and registrations; your business leads the employee’s daily work.
Brazil employment essentials
What should you budget and plan for?
Brazilian employment obligations extend beyond base salary. The exact terms depend on the role, location, working schedule, collective bargaining agreement and employing entity.
- CLT and registration: the legal employer records employment information using eSocial, which feeds the Digital Work Card (CTPS Digital).
- FGTS: the employer generally deposits 8% of an eligible CLT employee’s salary into the employee’s FGTS account; special categories may differ.
- 13th salary: an additional annual salary entitlement, paid or accrued according to applicable rules.
- Annual vacation: eligible employees can generally receive up to 30 calendar days after the qualifying period, with an additional one-third vacation payment; absences and contract facts can affect entitlement.
- Collective agreements: a relevant agreement can change minimum pay, benefits and working conditions for a role.
Choose a suitable structure
Brazil EOR vs setting up your own company
| Decision factor | TXM Solutions EOR service | Your own Brazilian entity |
|---|---|---|
| Client incorporation | Generally unnecessary for a suitable EOR hire | Local company setup required |
| Legal employer | Confirmed local employing entity under the EOR arrangement | Your Brazilian employing entity |
| Employment administration | Coordinated through the EOR service | Managed by your team and local providers |
| Typical use | First hires, smaller teams and market entry | A sustained operation with a broader local footprint |
| Cost pattern | Salary, statutory employer costs, benefits and EOR fee | Entity setup and recurring corporate, HR and payroll costs |
An EOR does not automatically remove corporate tax, permanent establishment or sector licensing questions. Obtain advice for the activities you plan to conduct in Brazil.
Transparent cost planning
How much does an EOR in Brazil cost?
A Brazil EOR budget typically includes the employee’s gross salary in BRL, applicable employer social charges, FGTS deposits, 13th salary accrual, vacation costs, required benefits and the EOR service fee. The amounts depend on the role and applicable rules.
TXM Solutions can prepare an itemised estimate after reviewing the employee’s location, duties, salary and desired start date.
Request an itemised quote →Details that help us quote
- City and state where the employee will work
- Role, duties and industry
- Expected gross salary in BRL
- Working hours and proposed benefits
- Employee nationality and work authorisation
- Target start date and planned headcount
Worker classification
Employee or independent contractor?
A contractor agreement alone does not determine a worker’s status. The actual working relationship, including direction and control, can matter when deciding whether employment rules apply. If the role operates like a regular employee, discuss an employment arrangement before hiring.
Why work with TXM?
TXM Solutions gives you one point of contact for a Brazil hiring enquiry, from reviewing the proposed route and estimated cost to coordinating onboarding and ongoing employment administration. We confirm the local employing structure for the proposed hire.
Already have an employing entity? Explore our PEO support.
Frequently asked questions
Brazil EOR FAQs
Can a foreign company hire in Brazil without opening an entity?
A suitable EOR arrangement can enable a foreign company to engage a worker through a local legal employer without opening its own Brazilian company. The structure needs review for the proposed role and activities.
Who is the employee’s legal employer?
The employing entity named in the Brazilian employment agreement is the legal employer. TXM Solutions confirms the employing arrangement for each proposed hire.
Does a Brazil EOR handle payroll and FGTS?
TXM Solutions’ service coordinates Brazilian payroll and applicable statutory administration through the confirmed local employer, including FGTS obligations for eligible employees.
What are the 13th salary and vacation requirements?
Brazilian employees generally have a statutory 13th salary and, subject to eligibility and applicable rules, annual paid vacation with an additional one-third vacation payment. We include applicable accruals in an itemised budget.
Can a Brazil EOR hire someone who is not Brazilian?
Potentially, depending on the role, the person’s status and the confirmed employing arrangement. EOR employment does not itself provide immigration or residence authorisation.
How long does onboarding take?
Timing depends on the employing structure, documents, contract review, payroll cut-off and the employee’s right to work. We assess these before confirming a start date.
Is an EOR the same as a PEO?
An EOR arrangement uses a local legal employer for the worker. A PEO generally supports HR or payroll for a business that already employs workers through its own local entity. The exact model should be confirmed in the service agreement.
Information note: This page gives general information, not legal, tax or immigration advice. Confirm current requirements and the employing arrangement for each hire.
Build your team in Brazil
Ready to hire in Brazil?
Tell TXM Solutions where your employee will work, what they will do and when you want them to start. We will review the employment route and provide an itemised cost estimate.