Cost to Hire an Employee in Thailand (2026)

• Gross salary.
• Employer costs of about 1.8% at a THB 600,000 salary: THB 10,980 a year, of which the largest is social Security Fund (employer share).
• An EOR fee, if you hire without your own entity. The providers in our Thailand guide publish starting prices of US$199–699 per employee per month; see how to choose an EOR in Thailand for the shortlist.

Mandatory employer costs at a THB 600,000 salary (mid-level professional). Employee contributions and income tax come out of gross pay and aren't included.

Contribution ceilings mean employer costs can be a smaller share of higher salaries. Figures exclude the EOR fee.

• Employer contributions: Social security 5% of wages up to THB 17,500 a month (max THB 875), plus 0.2–1.0% to the Workmen's Compensation Fund
• Social security wage ceiling: THB 17,500 / month for 2026–2028, then THB 20,000 (2029–2031) and THB 23,000 (from 2032)
• Minimum wage (Bangkok): THB 400 / day from 1 Jul 2025 (THB 337–400 by area)
• Annual leave: At least 6 working days after 1 year
• Severance pay: 30 to 400 days' pay, by length of service
• Maternity leave: Up to 120 days, 60 paid by the employer (from Dec 2025)

• Year-end bonus (optional) (8.333% of gross): Not required by law; shown at one month's salary if you choose to pay one.
• Provident fund (optional) (5% of gross): Voluntary employer pension fund; 5% shown as an example.
• The social security wage ceiling rises in steps under the 2025 Ministerial Regulation: THB 17,500 a month for 2026–2028, THB 20,000 for 2029–2031 and THB 23,000 from 2032, so the maximum employer contribution rises from THB 875 to THB 1,000 and then THB 1,150 a month.
• The Workmen's Compensation Fund rate depends on the business type, from 0.2% to 1.0% of wages; ask the EOR which rate applies to its registration.
• Overtime on working days is paid at at least 1.5 times the hourly rate, work on a holiday at an extra 1 times (2 times for staff not paid for holidays), and overtime on a holiday at 3 times. These are not included above.
• Employee social security contributions (5% up to the same ceiling) and personal income tax are deducted from pay and are not employer costs.

Without your own entity in Thailand, an Employer of Record can employ your hire for a monthly fee. The alternative is setting up your own Thai entity. See the comparison in our Thailand guide and EOR vs local entity.