1. Introduction
Taiwan is known for its strong manufacturing and tech industries and a skilled, affordable workforce. While salary costs are lower than in many developed economies, employers must factor in labor insurance, health insurance, and severance obligations. This guide breaks down the cost of hiring a full-time employee in Taiwan.
2. Average Gross Monthly Salaries
Typical salary ranges in Taiwan:
- Admin roles: TWD 30,000 – 40,000
- Mid-level professionals: TWD 40,000 – 70,000
- Tech/Engineering: TWD 60,000 – 120,000
- Management: TWD 100,000 – 200,000
Minimum wage is TWD 27,470/month as of 2025.
3. Statutory Contributions and Employer Taxes
Employer contributions include:
- Labor Insurance: ~7.35%
- Health Insurance: 3.1%
- Pension (Labor Pension Act): 6%
Total statutory cost is around 16–17% of monthly salary.
4. Other Mandatory Costs
- Annual Leave: 7 to 30 days depending on seniority
- Public Holidays: 12 days including Lunar New Year
- Maternity Leave: 8 weeks fully paid (partially reimbursed)
- Paternity Leave: 5 days paid
- Parental Leave: Unpaid but protected up to 2 years
- Sick Leave: 30 days/year (half pay if over 30 days)
5. Optional & Market-Driven Benefits
Common offerings include:
- Supplementary health insurance
- Performance bonuses
- Attendance or travel allowances
- Flexible working arrangements
6. Hidden & Overlooked Costs
- Employment termination severance
- Leave encashment obligations
- Errors in pension contributions
- Regulatory fines for non-compliance
7. Advisory Notes for Employers
Labor contracts must be compliant with Taiwan’s Labor Standards Act. Ensure proper registration for labor insurance and pension schemes. Non-compliance may lead to audits and fines.
8. How AYP Helps You Manage Cost Efficiently
AYP helps you meet Taiwan’s employment standards by managing payroll, benefits compliance, and contribution submissions efficiently and accurately.
9. Contact Us
Hiring in Taiwan? Contact AYP for cost-transparent, compliant workforce expansion.