Do I Need a Local Entity to Hire in Belarus?

In Belarus, a "local entity" refers to a recognized employing presence that can act as the employer, typically a subsidiary or branch office. This setup allows your company to be recognized locally, fulfilling payroll and employment obligations.

Without a local entity, you generally cannot register as an employer, manage mandatory social security processes, run compliant payroll, or issue employment terms that meet local laws. An EOR can be a viable alternative, allowing you to hire without the complexities of establishing a local entity.

What is Required to Employ Someone in Belarus?

• Local employing entity required to directly employ? Yes (unless using an EOR)
• Payroll registration required? Yes (mandatory for employer obligations)
• Withholding/tax remittance required? Yes (employers must withhold income tax)
• Social contributions required? Yes (employer must pay social security contributions)
• Local employment agreement required? Yes (written contracts are mandatory)
• Mandatory benefits to budget? Yes (includes statutory leave and social security)
• Works council/collective agreements considerations? Often (may apply depending on the sector)

Best Options If You're Hiring in Belarus

Can I Hire Contractors Instead of Setting Up an Entity?

Yes, you can hire contractors in Belarus without establishing a local entity, but be cautious about misclassification risks.

While contractors don’t require a local entity, Belarus has strong labor protections, and misclassifying a contractor as an independent worker can lead to legal issues. Here are some key points to consider:

• Ensure the contractor has autonomy in their work.
• Limit control over their hours and methods.
• Be cautious if the contractor is integral to your business operations.

How Long Does Entity Setup Take And What Does It Cost?

Typical entity setup timeline: It often takes 4–8 weeks to set up an entity in Belarus, depending on the type of entity and required registrations.

Ongoing cost categories (entity route):

• Accounting, bookkeeping, and statutory filings: Estimated 1,000–2,500 BYN per month ($400–$1,000)
• Payroll provider: Estimated 200–500 BYN per employee per month ($80–$200)
• Employer registrations and recurring compliance: Estimated 500–1,000 BYN per year ($200–$400)
• Corporate tax filings and annual reporting: Estimated 1,200–3,000 BYN per year ($480–$1,200)

EOR cost components (no-entity route):

• A per-employee EOR service fee (from $399 per month with Playroll)
• Pass-through statutory costs (e.g., employer social contributions, typically around 34% of gross salary)
• Any optional benefits you choose to provide beyond statutory minimums

How an Employer of Record Can Help You Hire in Belarus

Hiring in Belarus can be complex, but it doesn’t have to require setting up a local entity or taking on long-term overhead. With an Employer of Record like Playroll, you get a simple, predictable way to hire compliantly while keeping costs transparent and under control. We help you:

• Hire employees in Belarus quickly without establishing a local entity, eliminating incorporation costs, ongoing administration, and exit complexity.
• Stay fully compliant with local payroll, tax, and employment regulations with Playroll’s managed payroll services.
• Control your total employment costs, with a clear monthly EOR service fee (from $399 per employee).
• Focus on growing your business, while we manage contracts, payroll, compliance, and labor law obligations end to end.
• Scale up or exit the market easily, without the financial or legal burden of closing a local entity.