Capital City
Havana
Currency
Cuban Peso
(
$
)
Timezone
GMT -4
Payroll Frequency
Tax Year
Employer Tax
Languages
Spanish
Capital City
Havana
Currency
Cuban Peso
(
$
)
Timezone
GMT -4
Payroll Frequency
Tax Year
Employer Tax
Languages
Spanish
Minimum Wage: The current minimum monthly wage in Cuba is ₱2,100 pesos/month, which is equivalent to approximately $25 USD.
Working Hours: In Cuba, the standard work week is 44 hours, typically Monday to Friday with a short Saturday in some sectors.
Payroll Taxes: In Cuba, employers are required to make payroll contributions that fund social security, health care, and other statutory employee benefits.
Average Salary: The average salary in Cuba is approximately 6,506.
Hiring independent contractors has boomed in popularity because of the cost savings and flexibility they offer. It can be a great option if you require niche skills or short-term project support. Contractors allow businesses to access specialized skills quickly, without the time and cost of setting up a local entity.
However, it’s important to know the limits of this model: contractors are not a substitute for full-time employees. Relying on them for ongoing, long-term roles can create serious compliance risks, including employee misclassification, which can lead to fines, back taxes, and reputational damage.
Playroll’s contractor management solutions make it simple to compliantly engage, onboard, and pay contractors around the world. We provide clear visibility into agreements, streamline payments, and reduce compliance risks – so you can focus on getting the work done. And when you’re ready to take the next step, we can help seamlessly convert contractors into full-time employees through our global Employer of Record service.
From compliant contracts to competitive benefits, Playroll’s EOR services keep you aligned with local labor laws and regulations, safeguarding your business, so you can focus on growth.
Book a DemoBusinesses can only operate smoothly in Cuba if they comply with local labor laws including drafting compliant employment contract agreements and meeting taxation and payroll obligations. Learn more about the employment laws and regulations in Cuba below, to avoid any compliance issues.
We can help you get a new employee started in Cuba quickly, with a minimum onboarding time of just 1-2 working days. The timeline starts once the employee submits all required information onto the Playroll platform and completes any necessary local authority registrations. For non-nationals, the Right to Work assessment (if applicable) may add up to three extra days. Additional time may be needed for follow-ups on this assessment.
In 2025, the average monthly salary in Cuba is approximately 6,506.5 CUP, which translates to about US $17 at the prevailing informal exchange rate. Salaries vary notably: for example, in sectors like electricity, gas & water supply, average pay can exceed 12,000 CUP; construction averages around 10,400 CUP, while mining is about 8,677 CUP. Additionally, wages differ by location - with Havana earning more and other provinces less - and by status, with private or business-sector workers often earning more than those in budgeted public roles.The broader economic context is bleak - Cuba is experiencing severe inflation, a drastically devalued currency, and persistent shortages of basic necessities. The purchasing power of wages has plummeted even as nominal salaries have modestly risen; many Cubans still struggle to cover essentials amid ongoing economic contraction, limited reform, and infrastructural challenges.
Global expansion shouldn't mean losing time to paperwork or dealing with complicated, country-specific HR systems. An Employer of Record helps you keep your focus on talent by handling the operational side of employment in Cuba. That includes onboarding, contract management, payroll processing, and statutory compliance, all aligned with local laws and best practices. The EOR guarantees that employees are legally employed and properly supported from day one.
This streamlined setup allows you to prioritize recruiting the best people and integrating them into your company culture. Your team stays lean, and you avoid getting caught up in the details of local processes or shifting regulations. For founders, global hiring managers, or HR teams working across borders, an EOR multiplies your impact, reducing admin time, preventing errors, and helping ensure that new hires have a smooth experience from the get-go.
The payroll cycle in Cuba is usually Monthly, with employees being paid as stipulated in employment contract.
Hiring in Cuba means taking on local payroll obligations, which often include unique tax rates, contribution rules, and strict documentation. If you're not familiar with the system, or don't have a local entity, it’s easy to make mistakes. That’s where an Employer of Record ccomes in. The EOR manages payroll for your team on your behalf, ensuring every process is accurate, timely, and legally compliant.
Key Ways an EOR Supports Payroll in Cuba:
Make better business decisions by consolidating global payroll data, while seamlessly syncing your existing payroll operations.
Book a DemoIn Cuba, work permits and visas are necessary for foreign nationals seeking employment in the country. Employers are responsible for ensuring that employees obtain the proper work permits before they can begin working. The main work visa types include the Work Visa (Category 01) for long-term employment, the Specialized Worker Visa for professionals, and the Temporary Employment Visa for short-term assignments. Employers must apply for work permits, submit necessary documentation such as an employment contract and medical certificates, and assist employees in obtaining work visas once the permit is approved.
The annual leave entitlement in Cuba is 30 calendar days for a full time worker after completing one year of service. These can include public holidays on top of that or within those days, which would otherwise be unpaid.
An Employer of Record (EOR) helps businesses manage annual leave, paid time off (PTO), and local holidays across the globe, including in Cuba. By partnering with an EOR, companies ensure full compliance with local labor laws in Cuba when it comes to annual leave and time-off management. EOR providers like Playroll offer platforms that simplify tracking and managing employee time off in Cuba. By outsourcing this responsibility to Playroll, you can streamline leave management, ensure compliance, and free up time to focus on other business priorities.
When hiring across multiple countries, maintaining consistency in how you deliver employee benefits quickly gets tricky. Each country, including Cuba, has its own legal rules, cultural norms, and contribution systems. An Employer of Record helps you strike the right balance between global structure and local compliance. They take over the complexity of delivering benefits that are aligned with Cuba’s legal requirements and competitive with local market expectations.
From ensuring statutory benefits are in place to managing local onboarding timelines and enrollment systems, the EOR provides a seamless experience for both employer and employee. This makes it easier to grow your team across borders without reinventing your benefits process in each new location. You stay in control of your overall benefits strategy, while the EOR takes care of executing it in a way that works legally and culturally in Cuba. It’s a smarter way to scale benefits globally without losing local relevance.
Disclaimer
THIS CONTENT IS FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSTITUTE LEGAL OR TAX ADVICE. You should always consult with and rely on your own legal and/or tax advisor(s). Playroll does not provide legal or tax advice. The information is general and not tailored to a specific company or workforce and does not reflect Playroll’s product delivery in any given jurisdiction. Playroll makes no representations or warranties concerning the accuracy, completeness, or timeliness of this information and shall have no liability arising out of or in connection with it, including any loss caused by use of, or reliance on, the information.
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Cuba's income tax system, if applicable, may apply progressive rates to different income levels. The government may use taxation to fund public services and social programs.
Cuba may provide certain tax incentives for businesses, especially those aligned with state priorities. The government plays a central role in economic planning and management.
The average monthly salary in Cuba is about 6,506 CUP - roughly US $17 - though wages vary by industry, experience, and region, with higher pay in sectors like utilities and in Havana compared to other provinces.
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