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hire in Mongolia

Mongolia PEO &
Employer of Record

SALARY PAYMENT IN Mongolian Tugrik (MNT)

CONTRACT LANGUAGES Mongolian / English

PAYROLL TAX 12.50% – 14.50%

PAYROLL CYCLE Monthly

TIME TO HIRE 24 hours

Hire and pay talents
with Horizons in
180+ countries

PEO in Mongolia

Horizons ensures day-to-day guidance to help your business navigate Mongolia labor laws and regulations.

As the Mongolia Employer of Record, Horizons is responsible for employee income tax withholding, payment of payroll taxes to state authorities, and submission of tax returns to the Mongolia Tax Office.

Partnering with our Mongolia PEO is the quickest and most cost-effective way to enter the Mongolia market.

Facts & Stats

PEO Platform Hire in Mongolia, and pay employees through our platform or app. PEO Cost Our Mongolia PEO solution is the most affordable on the market. Time-to-hire Fast onboarding in Mongolia, hire in as little as 24 hours.
Contracts We draft labor contracts compliant with Mongolian labor law. Local Benefits We administer all mandatory benefits and contributions in Mongolia. 180+ Countries It doesn’t stop with Mongolia — we are an international PEO
stay compliant with Mongolia labor laws

Employment Laws

Employment contracts in Mongolia

When hiring in Mongolia, employers are legally required to provide written contracts of employment. These contracts should always include any relevant details of the employment, such as salary/wage information, expected duties, and working hours, and should be written in Mongolian and use the local currency of Mongolian tugrik (or tögrög).

Fixed-term
Probationary period3 months (max.)
Termination notice period30 days (standard)
Severance1 month salary, if termination is related to military service, company liquidation, or retirement
Indefinite
Probationary period3 months (max.)
Termination notice period30 days (standard)
Severance1 month salary, if termination is related to military service, company liquidation, or retirement

Working hours in Mongolia

The standard working week for employees in Mongolia is 40 hours spread over five days.

Hire compliantly in Mongolia without a local entity.

Quick, compliant hiring in 24 hours—no subsidiary required.

Public holidays in Mongolia

There are several public holidays in Mongolia, for which most employees receive the day off each year.

Mongolia has a range of national public holidays that are celebrated annually. In 2024 these holidays are:

DateHoliday name
1 Jan MondayNew Year’s Day
13 Jan SaturdayConstitution Day
10 Feb SaturdayTsagaan Sar
11 Feb SundayTsagaan Sar Holiday
12 Feb MondayTsagaan Sar Holiday
8 Mar FridayInternational Women’s Day
1 May WednesdayLabor Day
11 Jul ThursdayNaadam
12 Jul to 15 JulNaadam Festival
26 Nov TuesdayRepublic’s Day
25 Dec MondayChristmas Day
29 Dec SundayIndependence Day

Mongolia vacation leave

Employees in Mongolia are usually entitled to a base allowance of 15 days, which increases with the employee’s length of service. After six years of service, employees are granted an additional three days of paid vacation leave, and this increases gradually up to a maximum of 14 extra days after 32 years of service.

Mongolia sick leave

Employees in Mongolia are usually entitled to unlimited sick leave if they require it.

Parental leave in Mongolia

Female employees in Mongolia are entitled to four months (120 days) of paid maternity leave. This period is compensated at a minimum of 70% of normal pay.

Terminations and severance in Mongolia

Employers and employees in Mongolia are generally required to give notice of termination of an employment contract. The length of notice depends on the precise reason for termination, but usually between 30 days and two months. Additionally, employees are usually entitled to around 30 days of normal pay as severance upon dismissal.

Taxation in Mongolia

Employees and employers in Mongolia are both required to pay toward social security. Each pay equally, with 7% of salary paid to pension, 0.2% to unemployment insurance, and 2% to medical insurance. Additionally, employees must pay a small contribution toward benefit insurance (up to 3%).

Income tax in Mongolia is progressively rated so varies depending on income level. For residents, the rates are between 10% and 40%. For non-residents, there is a flat rate of 20%.

Corporate tax in Mongolia is set at between 1% and 25% depending on profits.

Health coverage in Mongolia

There is a state-funded healthcare system in Mongolia, but many employers do offer private medical insurance to employees so it may be expected as part of a benefits package.

hassle-free Mongolia compensation & benefits

Compensation & Benefits

Compensation laws in Mongolia

The mandatory minimum wage in Mongolia is set at 660,000 tugriks per month (as of 2024).

Benefit management in Mongolia

Employees in Mongolia often expect benefits packages as part of their employment agreements, so you may need to set up a benefits management system when hiring in the country. But setting up and managing a benefits system in Mongolia can be complicated, particularly if you are unfamiliar with the country’s unique regulations and procedures.

Outsourcing your benefit management process can save you time and money, and ensure you are fully compliant with the relevant laws. Horizons can simplify your Mongolia benefits management, with our Mongolia experts setting up and managing everything for you to help you focus on a successful expansion operation.

Hire in Mongolia in 24h
without your own local entity.

With Horizons, you get quick service, transparent pricing, and expert support.

FAQs

A Mongolia PEO and a Mongolia EOR are two types of companies which specialize in providing human resources services to businesses in Mongolia.

The main difference between a Mongolia PEO and a Mongolia EOR is in the scope of their services.

Mongolia PEOs provide a full range of HR services, including payroll, benefits administration, and employee recruiting—all under one roof as a co-employer. Engaging a Mongolia PEO is essentially outsourcing your HR duties in Mongolia.

Mongolia EORs actually take over as the legal employer of your employees based abroad. Mongolia EORs become responsible for labor compliance for your employees in Mongolia.

At Horizons, we offer both PEO and EOR services in Mongolia. Get in touch now and let us know what service you are seeking.

A PEO in Mongolia can feasibly hire both local and foreign nationals to work in Mongolia.

However, the ability of Horizons to sponsor your foreign national employee in Mongolia may be limited due to visa quotas practiced in many countries.

Contact us with your requirements and our Global Mobility team with review the case and get back to you within 2 business days.

In most cases, Horizons’ Mongolia PEO can hire & onboard your employee within 24 hours. The actual start date of the employee will depend on their notice period obligation to their previous employer as well as any relevant hiring rules in Mongolia.

It is possible to get a work visa in Mongolia. Horizons’ Global Mobility team is a dedicated team of work visa experts. They assess the details of each case to determine feasibility and costs before Horizons applies for the work visa on behalf of your employee. If the Global Mobility team determines that your case is feasible, the process is smooth and transparent. Visa spots in Mongolia are limited, however—get started today to secure your employees’ visa spot.