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Albania Payroll Services & Solutions

Horizons will simplify and expedite your payroll management in Albania

Establishing and maintaining an Albania payroll

If your organization is looking to expand into Albania, one of the first steps will be hiring employees locally, and this requires setting up a payroll in the country. While it is certainly possible to do this, Albania’s unique employment laws, as well as language and cultural barriers, can cause delays and make it a lengthy process for foreign businesses.

At Horizons, we specialize in helping organizations of all kinds expand internationally, including into Albania. We will handle your payroll setup and ongoing management, whether or not you already have a registered in the country, simplifying the entire process and ensuring you are up and running in days, not weeks or months.

Why choose the Horizons payroll solution?

If you have an entity

For any organization that already has an official entity in Albania, we can set up and run your in-country payroll, managing everything from HR to contracts and compliance work.

This is a great option for larger businesses and those aiming for a medium to long-term operation in Albania.

If you don’t have an entity

If you have not already officially registered an entity in Albania, then you can outsource your payroll setup and management to Horizons, making use of our established Albania subsidiary to act as employer of record.

This option is well suited to organizations looking for a quick, low-risk, and flexible route into Albanian hiring and expansion.

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Albania payroll guide

What withholdings and taxes are required in Albania?

Employers in Albania must contribute to social security and health insurance schemes for employees. These payments equate to 16.7% of salaries. Employees themselves must also contribute to social security at a rate of 11.2% of their salary.

Income tax in Albania is progressive, ranging from 0% to 23% depending on income level.

Entitlements and terminations

Employees in Albania with over one year of service with an employer are entitled to one month of notice prior to termination. For those with between two and five years of service, this rises to two months, and three months for those with more than five years of service.

Employees with more than three years of service with an employer are usually entitled to a severance payment equivalent to 15 days of normal pay.

Probation periods are generally limited to three months, and the mandatory minimum notice of termination during this time is five days.

How to establish an Albania payroll

To hire employees in Albania, you will generally need to set up a payroll, register an Albanian entity, and open an Albanian bank account. This process can potentially take weeks to complete.

Outsourcing your benefit management process ensures that you fully understand and adhere to the rules, ensuring your compliance and speeding up the process significantly. At Horizons, our Albania employment experts will help you to find and arrange your benefits, advise on your strategy, and ensure compliance with the law.

Manage payroll in Albania

Whether it’s EOR service or just payroll management, Horizons’ employment experts can help you get started in 24h.