Business
Argentina — Business: Social Security
Argentina's mandatory social security system covers pension, health care (obra social), and social services, funded through combined employer and employee contributions. Employers contribute 24%-26.4% of gross salary (the higher 26.4%/20.4% pension-fund rate applies to larger service/commerce companies above SME thresholds); employees contribute 17%. Employers get a small monthly exemption (a low fixed peso amount per employee) before contributions apply.
VerifiedCommunity sourcePwC Worldwide Tax Summaries — Argentina, Corporate/Individual — Other taxes (social security contributions)Last reviewed: 2026-08-31
Why this matters
Employer social security contributions of roughly a quarter of gross salary are a major, easily underestimated cost of hiring in Argentina -- budgeting payroll at base salary alone will significantly understate true employment cost.
Key facts
- Employer contributions total roughly 24%-26.4% of gross salary: ~18-20.4% to the pension fund and 6% to the social health care plan (obra social); the higher 20.4%/26.4% band applies to larger service/commerce companies above SME sales thresholds.
- Employee contributions total 17% of gross salary: 11% to the pension fund and 3%+3% to health care and the pensioners' social services institute.
- A 13th-month salary (aguinaldo/SAC) is compulsory in Argentina, paid in two installments (June and December), and is itself subject to standard contributions.
- Employers receive a small fixed monthly per-employee exemption from social security contributions on the first tranche of salary (a low, inflation-indexed peso amount).
Steps
- Registration with ANSES — Businesses must register with ANSES and obtain a unique identifier to comply with social security regulations.
- Employee Registration — Employees must be registered with ANSES to be eligible for social security benefits.
Costs
- Employer contribution rate: 24%-26.4% of gross salary (rate depends on company size/sector)
- Employee contribution rate: 17% of gross salary (withheld by employer)
Timelines
- Employee registration with AFIP/ANSES payroll systems: Must be completed before the employee starts work; typically same-day to a few days via AFIP's online systems
Required documents
- DNI (National Identity Document) for employees
- CUIT for the employer entity
- Employment contract
Common mistakes
- Underestimating true employment cost -- employer contributions add roughly a quarter of gross salary on top of base pay.
- Forgetting the compulsory 13th-month salary (aguinaldo), which is itself subject to standard social security contributions.
- Failing to register the employee before their start date, which is a labor-law compliance requirement, not just a tax formality.