GLOBAL EMPLOYER OF RECORD IN 190+ countries
Employer of Record Andorra
Put the right hire or small team in place in Andorra without creating a company for limited headcount. Acumen acts as your Employer of Record, helping you move ahead now while keeping future incorporation tied to the needs of the business.
GLOBAL EMPLOYER OF RECORD
Global coverage
Acumen International delivers global employment solutions across 190+ countries.
Strategic markets
Hiring and compliance support across North America, Europe, and Asia-Pacific.
Established jurisdictions
Lawful employment and payroll in regulated, compliance-intensive countries.
Growth economies
Expanding into new regions? Hiring support across fast-moving economies.
Risky and remote locations
Compliant employment solutions in jurisdictions with limited infrastructure.
How an Employer of Record works in Andorra
With an Employer of Record, Acumen International is the legal employer of the people who work for your business in Andorra. Acumen signs the written employment contract required under the Labour Relations Act, registers the employee with the Andorran Social Security Fund (CASS), withholds income tax, pays salary and carries the employer’s legal obligations. Your business selects the person and directs the work. Where the right person has not yet been found, Acumen International can also run the search, from specialist recruitment to executive search, with background, education and criminal record checks before the offer.
Why the model fits Andorra
Andorra is not a member of the EU or the EEA. Every foreign national, including citizens of France, Spain and other EU countries, needs an immigration authorisation to work there, and most new authorisations come from an annual quota. Having an Andorran employer that knows the quota calendar and the documents each authorisation needs is what turns a chosen candidate into an employee.
A company of your own takes longer. Foreign investment in an Andorran company must go through the government’s investment procedure, and a private limited company (SL) needs a notarial deed, at least EUR 3,000 in share capital, registration and a trading licence before it can employ. An Employer of Record lets your first hire start while you decide whether a permanent Andorran presence is justified.
The offer itself carries Andorran employment, CASS cover and the Principality’s moderate income tax, which candidates weigh closely when comparing roles.
Temporary agency work in Andorra: the legal basis and its limits
The Labour Relations Act (Llei 31/2018) allows an employer to place its employees with another company only in specific conditions. These limits apply:
- Employees can be hired to work for another company only through temporary work agencies legally authorised to carry out that activity.
- The authorised agency is the employer, even though the client directs the day-to-day work.
- If a placement is declared unlawful, the company supplying the employee and the company receiving them are jointly liable for the employee’s labour and social security obligations.
- Agency contracts are excluded from the two-year cap on successive fixed-term contracts, but each assignment still needs a contract that fits its purpose.
- Every foreign employee needs an immigration authorisation that covers the work, and most new authorisations depend on the annual quota.
Acumen International structures each Andorran role within these rules and confirms the authorisation route with you before an offer is made.
What Acumen International handles in Andorra, from search to exit
| Stage | What it involves in Andorra |
|---|---|
| Search and checks | Finding the candidate where needed, and completing background, education and criminal record checks |
| Authorisation | Choosing between a residence and a cross-border authorisation, filing it against the right share of the annual quota, and adding family members where they will move too |
| Contract and onboarding | A written contract with the trial period, exclusivity and on-call terms the role needs, and CASS registration before the first working day |
| Pay | Monthly payroll in euros, paid within three days of the period ending, with CASS contributions declared and paid every month |
| Time and absence | Working-time and overtime records within the weekly, monthly and annual limits, leave of at least 30 calendar days, and CASS claims for sickness and parental absence |
| Changes and renewals | Pay reviews, contract changes and authorisation renewals planned ahead of their deadlines |
| Exit | Written notice, notice pay and compensation, final settlement, and closing the employee’s CASS registration |
In practice, this replaces the separate payroll provider, immigration adviser, employment lawyer and benefits broker a business would otherwise need to engage in Andorra.
Minimum wage and pay rules in Andorra
The minimum wage is EUR 8.80 an hour from January 2026, or EUR 1,525.33 a month for a 40-hour week, a rise of 5.4% on 2025. Salaries must be paid into the employee’s bank account within three calendar days after the end of the agreed pay period.
The Labour Relations Act also sets minimum supplements for some working arrangements:
| Arrangement | Statutory minimum |
|---|---|
| Overtime | 40% above the hourly wage, or equivalent rest |
| Exclusivity clause preventing other work | At least 15% of fixed salary |
| Time on call | At least 25% of base salary |
Contracts, working time and dismissal in Andorra
| Rule | What it means for you |
|---|---|
| The employment contract must be in writing | Terms are fixed before the employee starts |
| The trial period is up to two months, or up to three months where pay is at least three times the minimum wage and six months where it is at least five times | Senior roles can be tested over a longer period |
| Fixed-term contracts last no more than two years, and contracts with less than 60 days between them count as successive | Longer or repeated fixed terms become open-ended employment |
| The working week is 40 hours of effective work, with at least one full rest day | Weekly hours set the base for overtime |
| Overtime is limited to 12 hours a week, 48 a month and 426 a year by agreement | Peaks can be covered within clear limits |
A dismissal must be given in writing. Outside disciplinary dismissal, the employee is entitled to notice pay and to compensation that depends on length of service and the type of dismissal, so exit costs are set out at the start of each engagement.
Residence and work authorisations in Andorra
Andorra’s immigration rules apply to every foreign national, EU citizens included. An employee who will live in Andorra needs a residence and work authorisation, and a cross-border worker living in France or Spain needs a work authorisation for cross-border workers. Most new authorisations are drawn from an annual quota.
For 2026, the Economic and Social Council endorsed a general quota of 800 new authorisations, 624 for residents and 176 for cross-border workers, which can be increased by up to 30% if needed. Part of the quota is reserved for specific groups, such as professional athletes. Short assignments by staff of a foreign company follow a separate notification procedure, with proof of health cover and the employment link filed in advance.
What Acumen International contributes
An authorisation requires an Andorran employer and a job offer, which a business with no Andorran presence cannot provide. Acumen International can act as that employer, prepares the contract and the application, and times it against the quota calendar so that a chosen candidate is not left waiting for the next allocation. Once the authorisation is granted, Acumen carries the employer’s obligations attached to it and plans renewals.
Family members
An employee who lives in Andorra can bring their family through a family reunification authorisation. It covers a spouse or registered partner, minor children, children aged 18 to 25 in full-time education, dependent parents and persons under the employee’s guardianship. The household must show income of at least the full minimum wage for the employee, plus 70% of the minimum wage for each further adult and 40% for each minor, together with a lease, a title deed or another proof of housing. Acumen International provides the payslips and CASS statements the application needs and times the employee’s contract so the family can follow.
Andorran employment risks and how Acumen International covers them
| Risk | Where it arises | How Acumen International covers it |
|---|---|---|
| Worker misclassification | A self-employed contractor working under your direction is treated as an employee, with CASS contributions due for past periods, and self-employment needs its own authorisation | Your Andorran team is employed by Acumen International on written employment contracts |
| IP ownership | Rights in work created in the job sit with the Andorran employer unless the contracts pass them on | Contracts confirm the rights and transfer them onward to your business |
| Client liability for pay and contributions | If a placement is declared unlawful, the supplying and receiving companies are jointly liable for labour and social security obligations | Placements run only through an authorised temporary work agency structure |
| Equal pay for assigned staff | Andorra’s equal treatment law prohibits pay discrimination between people doing the same work | Pay is set consistently with your comparable roles and documented on objective criteria |
| Permanent establishment | An employee who concludes contracts for your company can create a taxable presence in Andorra | Signing authority stays with your company and is written into the role |
| Exit cost | Notice pay and compensation depend on length of service and the type of dismissal | Exit costs are modelled in the proposal for each role |
| Sponsor obligations | Authorisations depend on an Andorran employer and, for most new hires, a place in the annual quota | Acumen International files the application, tracks the quota and carries the employer’s duties once granted |
| Pay transparency | The EU Pay Transparency Directive does not apply in Andorra, but pay decisions remain subject to equal treatment law | Pay structures and decisions documented for review |
Employer cost and income tax in Andorra
Social security in Andorra is collected by the CASS. The employer pays 15.5% of gross salary and the employee 6.5%, a combined 22% that covers health care, sickness benefits and pensions.
| Contribution | Employer | Employee |
|---|---|---|
| CASS social security | 15.5% | 6.5% |
A EUR 3,000 monthly salary
A gross monthly salary of EUR 3,000 carries EUR 465 in employer contributions, for a total monthly cost of EUR 3,465 before benefits. The employee’s CASS contribution is EUR 195.
Personal income tax
Personal income tax applies at 0% on the first EUR 24,000 of taxable income, 5% between EUR 24,000 and EUR 40,000 and 10% above that, with allowances for family circumstances.
The Global Payroll Calculator sets an Andorran salary against the cost of the same role in France or Spain, which helps when deciding where a regional position should sit.
Sectors employing through an Employer of Record in Andorra
- Tourism and mountain resorts, including the Grandvalira and Pal Arinsal ski areas, employ operations, marketing and management staff, many of them under seasonal arrangements.
- Retail and distribution businesses serve visitors from France and Spain and hire store, buying and logistics roles.
- Banking and wealth management groups, including Andbank, Crèdit Andorrà and MoraBanc, employ compliance, investment and technology specialists.
- Technology and digital businesses use Andorra as a base for European operations and recruit developers and product staff.
- Health care providers hire medical and care professionals, many of whom need an authorisation from the annual quota.
For each of these employers, the first Andorran hire often depends as much on securing the authorisation as on choosing the candidate.
Andorran hiring cases and how they are handled
| Case | What Andorran rules add | How it is handled |
|---|---|---|
| The chosen candidate lives in France and will commute daily | A work authorisation for cross-border workers is needed, drawn from its own share of the quota | The application is filed against the cross-border allocation as soon as the offer is accepted |
| A senior hire earns more than five times the minimum wage | The trial period can run for up to six months | The longer trial period is written into the contract where you want it |
| A specialist from your office abroad comes for a short assignment | Short assignments by a foreign company’s staff must be notified in advance, with health cover and the employment link documented | The notification is prepared and filed before the visit |
| A role requires the employee to work only for you | An exclusivity clause must be paid with a supplement of at least 15% of fixed salary | The supplement is built into the offer and the contract |
Payroll and leave in Andorra
Payroll obligations
| When | What happens |
|---|---|
| Before the first working day | The employee is registered with the CASS and holds a valid immigration authorisation where needed |
| Within three calendar days of the pay period ending | Salary is paid into the employee’s bank account |
| Every month | CASS contributions are declared and paid |
Leave entitlements
| Leave | Entitlement | Paid by |
|---|---|---|
| Annual leave | At least 30 calendar days, or 22 working days, a year | Employer |
| Public holidays | National and religious holidays in the official calendar, including Constitution Day on 14 March and National Day on 8 September, plus the local holiday of the parish where the employee works | Employer |
| Weekly rest | At least one full day a week, which cannot be waived | Not applicable |
| Sickness, maternity and paternity | Daily allowances under the CASS scheme | CASS |
Sources
- Labour rights in Andorra
- Law 31/2018 of 6 December on labour relations
- Notification of short-duration work by a foreign company
- Andorra sets minimum wage at EUR 1,525.33 from January 2026
- Andorra cuts work permit quota to 800
- Application for family reunification
FREQUENTLY ASKED QUESTIONS
Got questions?
We’ve got answers
Have questions about hiring globally? You’re not alone. Below you’ll find answers to the most common questions from teams expanding into new markets — from compliance and onboarding timelines to payroll and local benefits.
If you don’t see what you’re looking for, our team of in-country experts is always ready to help you navigate the details.
Is an Employer of Record suitable for one senior or specialist hire in Andorra?
Yes. An Employer of Record can make sense when the role matters commercially but a single hire or small headcount does not justify creating a local company. Acumen provides the employing structure in Andorra while your business retains ownership of the role and its objectives.
Can we keep an employee who relocates to Andorra if we do not have an entity there?
Often, yes, where the role and the employee’s right to work can be supported. Acumen can become the Employer of Record in Andorra, allowing the person to remain part of your business under a local employment arrangement rather than forcing the company to incorporate just to retain them.
What happens if we later open our own entity in Andorra?
The Employer of Record arrangement can act as a bridge rather than a permanent commitment. When your Andorra entity is ready and direct employment becomes the preferred model, Acumen can coordinate the employee transition subject to the local requirements that apply at that point.