Get six months free when you sign up by Mar 31st. Terms apply.
Claim Offer
Payroll Calculators

Puerto Rico Payroll and Paycheck Calculator

Need help estimating net pay? Use our free paycheck calculator to figure out wages, tax withholdings, deductions for salaried employees and hourly employees in Puerto Rico.

Payroll Calculators

Puerto Rico Paycheck Calculator

Lorem ipsum dolor sit amet, consectetur adipiscing elit. Suspendisse varius enim in eros elementum tristique.

Loading calculator
Loading calculator

Puerto Rico Payroll Tax & Labor Laws

Explore key payroll tax and labor laws you may need to follow to pay salary employees and hourly employees in Puerto Rico.

Get your Puerto Rico State Tax ID Number

Puerto Rico Wage and Hour Laws

Minimum Wage

Puerto Rico's minimum wage rate is currently $10.50 per hour.

Overtime

In Puerto Rico, the standard workday is 8 hours, and the standard workweek is 40 hours. Any work performed beyond these limits is considered overtime. Employers are required to compensate overtime hours at a rate of 1.5 times the regular hourly wage. For detailed information, you can refer to the "Working Day in Puerto Rico Act" (Act No. 379 of May 15, 1948, as amended).

Pay Frequency

In Puerto Rico, employers must pay employees at least bi-weekly, semi-monthly, or monthly. Additionally, a mandatory Christmas Bonus is required for eligible employees, paid between October 15 and December 15. Employers with more than 20 employees must provide up to $600, while smaller employers must provide up to $300.

Puerto Rico Unemployment

Taxable Wage Base ($000s): $7,000

New Employer Rate (% Taxable Wages): 3.1%

Puerto Rico Income Tax Withholding

In Puerto Rico, employers must withhold income tax from employee wages for services performed in the territory. Employees complete Form 499 R-4.1 to claim exemptions.

Puerto Rico Benefits

Puerto Rico Voting Rights

Puerto Rico State Tax Resources

  • Puerto Rico Department of Treasury: Responsible for tax collection and fiscal policies. https://hacienda.pr.gov/
  • Puerto Rico Department of Labor and Human Resources : Oversees labor laws, employment services, and workforce development. https://www.trabajo.pr.gov/
  • Puerto Rico Unemployment Insurance Bureau: Manages unemployment benefits and claims. https://www.trabajo.pr.gov/negociado_de_seguro_por_desempleo/
  • This website contains articles posted for informational and educational value. SurePayroll is not responsible for information contained within any of these materials. Any opinions expressed within materials are not necessarily the opinion of, or supported by, SurePayroll. The information in these materials should not be considered legal or accounting advice, and it should not substitute for legal, accounting, and other professional advice where the facts and circumstances warrant. If you require legal or accounting advice or need other professional assistance, you should always consult your licensed attorney, accountant or other tax professional to discuss your particular facts, circumstances and business needs.

    SurePayroll, Inc. and its subsidiaries assume no liability and make no warranties on or for the information contained on these state payroll pages. The information presented is intended for reference only and is neither tax nor legal advice. Consult a professional tax, legal or other advisor to verify this information and determine if and/or how it may apply to your particular situation.

    Revised: Jan 22, 2025

    Let's answer some of your questions

    What is the minimum wage for Puerto Rico?

    Puerto Rico's minimum wage rate is currently $10.50 per hour.

    What is the overtime rate in Puerto Rico?

    In Puerto Rico, the standard workday is 8 hours, and the standard workweek is 40 hours. Any work performed beyond these limits is considered overtime. Employers are required to compensate overtime hours at a rate of 1.5 times the regular hourly wage.

    Do employees pay state income tax in Puerto Rico?

    In Puerto Rico, employers must withhold income tax from employee wages for services performed in the territory. For additional tax collection information see the Puerto Rico Department of Treasury.

    Other related calculators

    Ready to simplify
    your Payroll?

    Small businesses and households get 6 months free!*

    Get Started