Country fileBDBDTVerified 2026-09-21
BD
Employer of Record in Bangladesh: what one employee really costs
Bangladesh, Asia. One software engineer at $15,000 gross per year, priced through 12 providers with a published fee, on the European Commission's September 2026 exchange rate. Change the salary and headcount below.
- Employer on-cost
- +12.5%
- statutory charges on top of gross
- All-in per month
- $1,605 – $2,105
- salary + charges + published fee, cheapest to dearest listed provider
Hiring one software engineer in Bangladesh at $15,000 gross a year costs about $156 a month in statutory employer charges (+12.5%), plus an EOR fee of $199 to $699 per month depending on the provider: $1,605 to $2,105 all-in, before deposits, FX margins and add-ons. Prices checked 2–24 Sept 2026.
Disclosure Some provider links on this page are affiliate links: if you become a customer after clicking, the provider may pay us a referral fee. It never changes the price you pay, and it never changes the numbers on this page, which come from official sources and are dated. How we are paid
Cost engine · preset to Bangladesh
Price your own hire, line by line.
employee inatgross / year
≈ BDT 1,849,125 gross / year · BDT at the European Commission monthly rate for September 2026
| Per employee | Rate | Per month |
|---|---|---|
| Gross salary | $1,250 | |
| Service-end provision for supplied workers (one month's basic wage per year of service) | 8.33% | $52 |
| Two festival allowances a year (each up to one month's basic wage) | flat | $104 |
| Employer on-cost | +12.5% | $156 |
| Cost of employment, before EOR fee | $1,406 |
RemoFirstLowest total
$1,605/ month · 1 employee
- Fee / mo
- from $199
- Per year
- $19,263
- Fee share
- 12.4%
Checked 2 Sept 2026
Get a RemoFirst quotePapaya Global
$1,905/ month · 1 employee
- Fee / mo
- from $499
- Per year
- $22,863
- Fee share
- 26.2%
Checked 2 Sept 2026
Get a Papaya quoteDeel
$2,005/ month · 1 employee
- Fee / mo
- from $599
- Per year
- $24,063
- Fee share
- 29.9%
Checked 2 Sept 2026
Get a Deel quoteEmployer charges from official sources; provider fees are list prices on the dates shown; deposits, FX margins and add-ons are not included. Not legal or tax advice. Methodology
14 providers, one scenario, all-in totals.
| Provider | EOR fee / employee / mo | All-in / mo, 1 hire | Deposit | Countries | Checked | Quote |
|---|---|---|---|---|---|---|
| RemoFirst EOR in 185+ countries from $199 per employee per month, no annual contract. | from $199 | $1,605 | Not stated on the pricing page | 185+ | 2 Sept 2026 | Get a quote from RemoFirst· $1,605/mo |
| Rivermate EOR in 180+ countries from $319 to $639 per employee per month. | from $319 | $1,725 | Not stated on the pricing page | 180+ | 2 Sept 2026 | Get a quote from Rivermate· $1,725/mo |
| Pebl Velocity Global, renamed Pebl in 2026. Prints $399 per employee per month. | from $399 | $1,805 | Not stated on the pricing page | 185+ | 22 Sept 2026 | Get a quote from Pebl· $1,805/mo |
| Playroll EOR in 180+ countries from $399 per employee per month; deposit of one month's salary. | from $399 | $1,805 | Fully refundable security deposit equivalent to one month's salary when onboarding an employee (pricing page). | 180+ | 2 Sept 2026 | Get a quote from Playroll· $1,805/mo |
| Multiplier EOR from $459 (annual) or $499 (monthly) per employee, plus mandated add-ons. | from $499 $459 billed annually | $1,905 | Refundable security deposit required per employee by the EOR terms (effective 1 June 2026), sized by Multiplier; not on the pricing page. | 150+ | 24 Sept 2026 | Get a quote from Multiplier· $1,905/mo |
| Papaya Global EOR starting from $499 per employee per month, quote-based, 160+ countries. | from $499 | $1,905 | Not stated for EOR on the pricing page (the contractor block states 'No deposit required'). | 160+ | 2 Sept 2026 | Get a quote from Papaya Global· $1,905/mo |
| Borderless AI EOR at $579 per employee per month, no deposit or pre-funding, 170+ countries. | $579 | $1,985 | No deposit: 'No upfront deposits or pre-funding required' (pricing page). | 170+ | 24 Sept 2026 | Get a quote from Borderless AI· $1,985/mo |
| Atlas HXM EOR from $599 through its own entities, plus an Agent of Record at $199. | from $599 | $2,005 | Not stated on the pricing page | 160+ | 21 Sept 2026 | Get a quote from Atlas HXM· $2,005/mo |
| Deel EOR in 130+ countries, starting at $599 per employee per month. | from $599 | $2,005 | Not stated on the pricing page | 130+ | 2 Sept 2026 | Get a quote from Deel· $2,005/mo |
| G-P EOR in 180+ countries from $599, with no minimum contract length. | from $599 | $2,005 | Not stated on the pricing page | 180+ | 24 Sept 2026 | Get a quote from G-P· $2,005/mo |
| Oyster EOR in 120+ countries at USD 699 per employee per month; refundable deposit. | $699 | $2,105 | Refundable deposit required for EOR team members 'to initiate the engagement and to ensure on-time payments' (pricing FAQ). | 120+ | 24 Sept 2026 | Get a quote from Oyster· $2,105/mo |
| Remote EOR in 90+ countries at $699 per employee per month, no deposit. | $699 | $2,105 | No deposit: 'We collect reserve payments in rare, high risk circumstances' (pricing FAQ). | 90+ | 2 Sept 2026 | Get a quote from Remote· $2,105/mo |
| Rippling EOR bundled with the Rippling platform; custom quote only. | Quote only | — | Not stated on the pricing page | — | 24 Sept 2026 | Get a quote from Rippling |
| Safeguard Global EOR sold alongside entity setup and payroll; no price published. | Quote only | — | Not stated | 187+ | 21 Sept 2026 | Get a quote from Safeguard Global |
Same salary and statutory charges in every row; only the fee segment changes.
What Bangladesh adds on top of the salary, and where each rate comes from.
Rates apply to the base named in each line; capped lines stop growing above the ceiling. Engine assumptions: Basic wage as a share of gross pay = 0.5; Festival allowances modelled at the rule's cap, one month's basic wage each = 2.
| Line | Employer rate | Base & ceiling | Source |
|---|---|---|---|
| Service-end provision for supplied workers (one month's basic wage per year of service)Workers recruited by a contractor organisation and supplied to other establishments — which is what an employer of record is in Bangladeshi law | 8.33% | Basic wage This is the line that makes Bangladesh unlike a country with payroll taxes: there is no social insurance contribution to pay, but Rule 17(2) of the Bangladesh Labour Rules 2015 requires a contractor organisation that supplies workers to other establishments to hold, in a bank account and for each worker, an amount equal to one month's basic wage for each completed year of service — or the gratuity under section 2(10) of the Labour Act where that applies — and to pay it to the worker by cheque, directly, whenever the employment ends. Because an EOR is exactly such a supplier, the money is banked from the first year rather than promised at the exit, which is why it belongs in the monthly cost and not in a footnote. At a basic wage of half of gross it is 4.17% of pay; if the contract sets basic higher, so is this line. | Bangladesh Labour Rules 2015, Rule 17(2) (Bangladesh Gazette, Extraordinary, 15 September 2015, p. 7325): for every worker recruited by a contractor organisation and supplied to establishments, an amount equal to one month's basic wage for each completed year of service, or gratuity under section 2(10) where applicable, shall be kept in a bank account and paid to the worker directly by cheque on any form of termination2026-09-21 |
| Two festival allowances a year (each up to one month's basic wage) | 1 month | Added to the annual costTwo allowances a year, each capped at a month's basic wage and paid in addition to wages, once the worker has completed a continuous year of service. At a basic wage of half of gross, the pair comes to one month of gross pay a year, which is how it is carried here. The Labour Act was amended to define "festival allowance" and leave the amount to the Rules; Rule 111(5) is where the amount lives. Two points to check in an offer: the entitlement starts only after twelve months of continuous service, and the rule caps each allowance rather than fixing it, so a contract can promise less than a full month unless it says otherwise. | Bangladesh Labour Rules 2015, Rule 111(5) (Bangladesh Gazette, Extraordinary, 15 September 2015, pp. 7381-7382): workers who have completed one continuous year of service shall be paid two festival allowances a year, provided that each allowance shall not exceed the monthly basic wage and shall be treated as additional to wages2026-09-21 |
| Statutory gratuity (30 days' wages per year, 45 days after ten years) not in total | — | Carried at zero here to avoid counting the same money twice: for an EOR hire the provision above is the banked form of this entitlement. The Labour Act defines gratuity as at least thirty days' wages at the last drawn rate for each completed year of service, or for any service beyond six months, rising to forty-five days' wages a year once service passes ten years, payable when the employment ends. Note that gratuity is calculated on wages rather than on basic wage alone, so where it applies it is larger than the banked month of basic — the gap is worth raising with the provider before signing a long assignment. | Bangladesh Labour Act 2006, section 2(10) as amended: gratuity means at least thirty days' wages at the worker's last drawn rate for every completed year of service or any part in excess of six months, or forty-five days' wages a year where service exceeds ten years, payable on termination of employment2026-09-21 |
| Workers' Profit Participation Fund not in total | — | Carried at zero because it is a share of company profit, not a percentage of one salary, and it cannot honestly be expressed per employee. The Labour Act requires companies above the statutory size thresholds to set aside five per cent of their net profit each year for the participation and welfare funds that pay out to their workers. It never touches an EOR client — the provider is the employer, and the client has no Bangladeshi entity and no Bangladeshi profit — which is one of the few places where using an EOR removes an obligation rather than repackaging it. | Bangladesh Labour Act 2006, Chapter XV (participation in companies' profits), which requires qualifying companies to pay five per cent of net profit into the workers' participation and welfare funds2026-09-21 |
| Compulsory group insurance (establishments with 100+ permanent workers) not in total | — | Carried at zero because the cost is an insurance premium and it only bites above a headcount an EOR client will not reach on its own. Section 99 of the Labour Act requires an establishment employing at least one hundred permanent workers to run group insurance under the insurance laws, and makes the employer responsible for collecting the claim and paying it to the dependants on a worker's death. The provider's own headcount is what counts here, not the client's, so ask whether it carries the cover and whether the fee includes it. | Bangladesh Labour Act 2006, section 99(1)-(2) as amended: an establishment with not fewer than one hundred permanent workers shall introduce group insurance under the insurance law, and the employer is responsible for realising the claim and paying it to the dependants2026-09-21 |
| Statutory annual leave (one paid day for every 18 days worked) not in total | — | Paid time inside the salary rather than an extra contribution. After one continuous year of service, a worker in a shop, commercial or industrial establishment, factory or road transport undertaking earns one day of paid leave for every eighteen days worked in the preceding twelve months — about seventeen days on Bangladesh's six-day week. Unused annual leave is paid out when employment ends. Casual and sick leave are separate entitlements and do not accumulate into this one. | Bangladesh Labour Act 2006, section 117(1)(a): every adult worker who has completed one year of continuous service shall be granted paid leave at the rate of one day for every eighteen days of work in a shop, commercial or industrial establishment, factory or road transport undertaking2026-09-21 |
| Employer on-cost at $15,000 | +12.5% | $1,875 a year, $156 a month |
EOR or your own entity
Fees scale with headcount. An entity does not.
There is no general contributory social security in Bangladesh: no payroll pension contribution, no state health insurance, no unemployment insurance. What replaces them is a set of obligations tied to the basic wage and to the end of the contract — the banked month of basic wage per year of service that the Rules impose on any organisation supplying workers to other establishments, two festival allowances a year, gratuity of thirty days' wages a year (forty-five after ten years), and an annual increment of at least 5% of basic. An entity adds the ones that depend on size and profit: group insurance at one hundred permanent workers, and five per cent of net profit into the workers' participation and welfare funds. Registration runs through the Registrar of Joint Stock Companies and the Department of Inspection for Factories and Establishments, and 120 days' notice on a monthly-rated permanent worker makes the exit slow as well as expensive.
Fees grow with every hire; the charges line is owed under an entity too.
| Headcount | RemoFirst fees / yr | Borderless AI fees / yr | Statutory charges / yr |
|---|---|---|---|
| 1 | $2,388 | $6,948 | $1,875 |
| 3 | $7,164 | $20,844 | $5,625 |
| 5 | $11,940 | $34,740 | $9,375 |
| 10 | $23,880 | $69,480 | $18,750 |
| 20 | $47,760 | $138,960 | $37,500 |
Statutory charges are owed either way; the provider fee is the only line an entity removes, against the cost of incorporating and running local payroll.
Employment terms that move the cost
- Paid leave
- 17 days
- Public holidays
- 11
- 13th month
- Mandatory
- Probation
- up to 6 months
- Notice
- Notice here is long, and it is the number to plan around. Ending a permanent worker's employment other than by dismissal for misconduct takes 120 days' written notice for a monthly-rated worker, or 60 days for anyone else; for a temporary worker it is 30 days and 14 days respectively. Probation runs six months for clerical work and three months for other work. Public holidays are set by the employer before 31 December for the year ahead and may not be fewer than eleven days.
- Reviewed
- 2026-09-21
Get a quote for Bangladesh.
The lowest published total here, next to the two providers searched for most often (the rule). Totals for 1 hire at $15,000. Ask each provider about deposits, FX margins and mandatory add-ons for Bangladesh: those are the lines that move.
Get a RemoFirst quote· $1,605/mo Get a Papaya quote· $1,905/mo Get a Deel quote· $2,005/mo
Disclosure Some provider links are affiliate links; they never change the numbers on this page. Details
Questions people ask before booking a demo
- How much do employer contributions add to a salary in Bangladesh?
- At least 12.5% at this page's example of US$15,000, which is at least US$156 a month — but none of it is a payroll tax. Bangladesh has no general social security contribution. What the employer owes is one month's basic wage a year banked against the end of the contract (US$52 a month here) and two festival allowances a year worth together about a month of gross pay (US$104 a month). Both scale with the basic wage, and the Rules only set a floor of 50% of gross for basic, so a contract with a higher basic costs proportionally more.
- Does Bangladesh have social security contributions for employers?
- No general contributory scheme. There is no state pension contribution, no health insurance contribution and no unemployment insurance to pay on a salary. The obligations sit elsewhere: the service-end provision for supplied workers, the two festival allowances, gratuity at the exit, group insurance once an establishment has a hundred permanent workers, and five per cent of net profit into the workers' funds for companies above the statutory size. That is why an EOR quote for Bangladesh looks light on percentages and heavy on end-of-contract items.
- What is the festival allowance and is it mandatory?
- It is mandatory once a worker has completed a continuous year of service: two allowances a year, each capped at one month's basic wage and paid in addition to wages, under Rule 111(5) of the Labour Rules. At the statutory floor of basic being half of gross, the two together come to roughly one month of gross pay a year. Two things to read in an offer: nothing is owed in the first twelve months, and because the rule sets a maximum rather than a fixed amount, a contract can promise less than a full month unless it commits to the cap.
- What does it cost to end a contract in Bangladesh?
- Time as much as money. Ending a permanent monthly-rated worker's employment other than for misconduct requires 120 days' written notice — or payment in lieu — plus gratuity of thirty days' wages for every completed year of service, rising to forty-five days a year after ten years. For an EOR hire, part of that is already banked: the Rules make a supplier of workers hold one month's basic wage per year of service in a bank account and pay it out by cheque when the job ends. Ask the provider how it treats the gap between that banked month of basic and gratuity, which is calculated on wages.
- What does an employer of record in Bangladesh charge on top?
- Its own fee, and at this salary the fee is larger than the statutory cost. Employer obligations come to at least US$156 a month at US$15,000 of salary, while published EOR fees start around US$599 a month. So the all-in monthly cost is roughly US$1,250 of salary plus at least US$156 of statutory cost plus the fee. Compare the totals in the table above, which already add both, and ask specifically whether the fee covers the banked service-end provision or invoices it separately.