EOR Belgium: Ultimate Guide on Employer of Record 2025

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Belgum’s diverse labor force, its open market economy, and its favorable location in Europe have surely made it one of the most attractive places to do business. However hiring international employees in Belgium could become quite risky especially if you are unfamiliar with the local payroll, benefits, taxes, and compliance. You will have to start by opening up your own entity which is quite a time-consuming and costly process that could be challenging if you don’t know about how to get started. This is when an EOR Belgium could be your friend. An EOR will help you by taking on the legal tasks and making hiring an easy task.

Table of Contents

  1. Overview of Belgium
  2. What is an Employer of Record in Belgium?
  3. EOR Belgium vs Legal Entity
  4. Use Cases for EOR in Belgium
  5. Laws and Compliance to Hire Employees in Belgium
  6. Best EOR Companies in Belgium
  7. What EOR Services are Offered in Belgium?
  8. How to Hire Employees Through an EOR Belgium Partner
  9. Taxes in Belgium
  10. CTC Calculator for Hiring Employees in Belgium
  11. Key Considerations While Hiring Employees through EOR in Belgium
  12. Employee Benefits in Belgium
  13. Termination Procedures in Belgium
  14. How to Choose the Right EOR Belgium Services
  15. FAQs – EOR Italy

Overview of Belgium

Belgium is located right in the heart of Europe which presents a compelling landscape for businesses that are trying to expand internationally. Its robust economy, skilled workforce, and favorable business environment make it quite an attractive destination to look for employees.

Business environment

As one of the founding members of the EU, Belgium tends to offer businesses access to the vast European market. It is also quite well developed especially in its infrastructure, including excellent transportation networks and modern ports, which facilitate logistics and trade. The country also has a stable regulatory and political environment that fosters investor confidence.

Economic landscape

Belgium tends to boast a highly developed and diversified economy with strengths in sectors such as automotive, IT, pharmaceuticals, manufacturing, and chemicals. Its open market and strong trade links within the European Union tend to contribute to its economic stability.

Labor market

Belgium’s labor market is characterized by a highly skilled and multilingual workforce. Strong legal protections for employees are also in place which ensures fair working conditions. There is also a growing trend towards indulging in remote work which offers a lot of businesses flexibility in their hiring strategies.

Why Belgium for Expansion?

Belgium offers several advantages for businesses looking to expand internationally:

  • As an EU member, Belgium provides seamless access to the European single market.
  • Its central location in Europe makes it an ideal base for reaching other European markets.
  • A highly educated and multilingual workforce is available.
  • Belgium offers various tax incentives to attract foreign investment.

What is an Employer of Record in Belgium?

An EOR tends to serve as the legal employer for workers in Belgium. Also quite commonly called as the employer of record this role involves management of various aspects of employment including strict adherence to local labor laws and regulations, tax compliance, payroll processing, creation of employment contracts, and employee benefits.

The EOR Belgium is usually responsible for the following:

  • Managing the local payroll process
  • Providing employees with pay slips
  • Ensuring compliance with Belgian employment laws
  • Distribution of salary payments to workers

With an EOR in Belgium, it is possible to eliminate the need for a separate legal entity setup. The EOR services also ensure a legal presence, compliance, and protection of intellectual property which allows your business to do its best. You could also facilitate global mobility and work visas while building a diverse and efficient global workforce.

EOR Belgium vs Legal Entity

When you take a look at the EOR vs legal entity differences it becomes much clearer as to which one is the best option for you. The following table lists out everything you need to know about the difference between a Belgium EOR vs legal entity.

FeatureEOR BelgiumLegal Entity Belgium
Setup Time
Fast; employees can be hired within days or weeks.

Lengthy; can take several months due to registration and legal processes.
Cost
Lower initial investment; ongoing service fees.

Significant upfront costs for registration, legal counsel, and administrative setup.
Legal Compliance
EOR assumes responsibility for compliance with Belgian labor laws.

The company is fully responsible for all legal and tax compliance.
Control Over Operations
Less direct control over HR and administrative functions.

Full control over all aspects of operations, HR, and administration.
RiskLower risk related to compliance with local labor laws.
Higher risk of non-compliance if local laws are not properly understood and adhered to.
Market Entry
Ideal for testing the market, short-term projects, or initial expansion.

Suitable for long-term commitment and significant market presence.
Administrative Burden
There is minimal administrative burden on the company.

Significant administrative burden for managing payroll, taxes, benefits, and compliance.

Use Cases for EOR in Belgium

Companies no matter which industry they belong to may need the use of an employer of record. Even a small business that isn’t currently hiring new employees could also make use of an employer of record in Belgium to manage their HR concerns and payroll. This could be helpful, especially for small businesses that have limited resources where the staff doesn’t have much time, knowledge, or experience needed to manage the task by themselves.

However, an EOR is usually used by staffing firms or by corporate talent acquisition entities that highly rely on contract staffing to fill out the positions. Back-office responsibilities could also become huge for these larger organizations which could incur heavy costs especially if a business were to attempt to handle them on its own.

In either situation, ensuring that the employees are appropriately classified and paid and that all HR concerns are adequately handled should be an absolute requirement. There are also significant consequences for companies that fail to fulfill employer obligations.

Laws and Compliance to Hire Employees in Belgium

Businesses can only operate smoothly in Belgium if they comply with local labor laws such as drafting compliant employment contract agreements and meeting taxation and payroll obligations. Here is a detailed explanation regarding the laws and regulations in Belgium which will help avoid any compliance issues.

Employment Contracts

In Belgium, while indefinite employment contracts do not really require written form by law, it is still considered to be the best practice to have a written contract that outlines the basic employment terms including the following:

  • Identification of both parties
  • Date of start
  • Workplace
  • Description of the job duties and responsibilities
  • Training and non-compete agreements
  • Base salary and additional benefits or compensation

Working Hours

The standard working week in Belgium is 38 hours after which overtime pay tends to apply.  Employers could also implement flexible schedules surpassing 38 hours per week given that the yearly or quarterly average remains at 38 hours. Some sectors might also have lower weekly limits as per the collective agreements.

Overtime

An employee could agree to an annual maximum of 120 hours of overtime. Overtime work is compensated either through time off or through pay which is 50% of the salary for weekdays and Saturdays whereas it is 100% for public holidays and Sundays.

Suggested Read: EOR India- A Detailed Guide on Employer of Record 2024 

Best EOR Companies in Belgium

Several reputable EOR providers offer services in Belgium, each with varying strengths and specializations that you can check out. However, when it comes to you choosing an EOR, it’s essential to consider factors like their experience with Belgian labor law, their service offerings, technology, and customer support. Some leading EOR providers operating in Belgium include:

  1. Deel: Deel is a well-known global HR platform that includes robust EOR services. They are known for their user-friendly technology and efficient onboarding processes.
  2. Remote: Remote specializes in facilitating global remote work and offers comprehensive EOR solutions in Belgium, focusing on compliance and streamlined payroll.
  3. Asanify: Asanify provides comprehensive global expansion solutions, including multiple EOR services in Belgium and expertise in managing international workforces.

What EOR Services are Offered in Belgium?

These EOR providers typically offer a comprehensive suite of services designed to simplify international hiring and management:

  • Payroll and Tax Administration: This includes calculating and processing payroll. The EOR also handles tax withholdings and filings. It also ensures there is compliance with Belgian tax regulations.
  • Employee Onboarding: EORs help draft compliant employment contracts while also managing the onboarding process and ensuring all necessary paperwork is completed.
  • Benefits Administration: They tend to manage all employee benefits such as health insurance, statutory benefits, and retirement plans that are required in Belgium.
  • HR Assistance: Some of the EORs tend to offer additional HR support such as employee relations, performance management, and offboarding processes.

How to Hire Employees Through an EOR Belgium Partner

Hiring employees in Belgium through an Employer of Record (EOR) typically involves the following steps:

Step 1 – Choose an EOR Partner

The first step is selecting an EOR provider with demonstrated experience in Belgian labor laws and HR practices. This is crucial for ensuring compliance and a smooth hiring process.

Step 2 – Define Employee Roles and Compensation

Clearly define the roles, responsibilities, and compensation packages for the positions you’re looking to fill. This includes salary, benefits, and any other relevant terms of employment.

Ste 3 – EOR Drafts Compliant Contracts

The EOR will then draft legally compliant employment contracts that adhere to Belgian labor regulations, including provisions for working hours, vacation time, and termination procedures.

Step 4 – EOR Manages Onboarding and Payroll

The EOR handles the onboarding of new employees, managing all necessary paperwork, tax registrations, and benefits enrollment. They also take care of ongoing payroll processing, ensuring accurate and timely payments.

Step 5 – Monitor Progress with EOR Tools

Most EOR providers offer online tools and dashboards that allow you to monitor the hiring process, track payroll, and access employee information. This provides transparency and control over your international workforce.

Remote EOR Employee Onboarding Checklist for Belgium

Onboarding StepResponsibilityDetails
Before Offer Letter
Collect Employee DetailsCompanyGather necessary details like name, DOB, contact info, address, previous employment documents, etc.
After Offer Letter
Draft Employment ContractEORCreate localized employment agreements compliant with German labor laws and regulations.
Background VerificationEORConduct background checks with informed consent from the new hire.
Welcome EmailCompany & EORCompany sends a welcome email; EOR manages the local onboarding process.
On Joining Day
Employment DocumentationEOREnsure all paperwork like contracts, NDAs, tax forms, and other required compliance documents are completed.
Payroll SetupEORCollect required documents and set up payroll systems, tax calculations, and social contributions.
Policy BriefingCompanyExplain leave policies, workplace code of conduct, company processes, and procedures.
Account SetupEORAssist in setting up bank accounts for salary deposits as per German requirements.
Introduction to SystemsEORProvide an overview of payroll systems, HRIS platforms, and other HR tools.
IT SetupCompany/EORDeliver necessary equipment, software access, and IT training for smooth operations.
Mentor AssignmentCompanyAssign a buddy or mentor to help the new hire adapt to company culture and processes.
Post-Onboarding
Payroll Explanation (First Paycheck)EORExplain payslip components like gross salary, tax deductions, social contributions, and net pay.
Ongoing SupportCompanyConduct regular check-ins and 1:1 meetings to address concerns, offer support, and share feedback.
HR OperationsEORManage ongoing payroll processing, statutory compliance, benefits administration, and HR tasks.

Taxes in Belgium

The social security tax share for employees consists of 13.07% of the gross compensation. This has no cap and the share for the employer is considered to be around 27%. Social security tax is deductible when determining the total taxable income. For example, a foreign employee is on a short-term assignment in Belgium but has the benefits of social security schemes in their native country. In that case, the Belgian social security contributions could be exempt. This is based on the agreement Belgian social security has made with the native country of the claimant.

The social security contribution amount ranges from EUR 9.30 to EUR 60.94 monthly. The contribution is made based on a monthly deduction from the total salary. Such social security contributions will have no tax deductions. The highest amount a family could have due on a year-on-year basis would be EUR 731.28.

CTC Calculator for Hiring Employees in Belgium

Understanding the Total Cost to Company (CTC) is essential for budgeting when hiring in Belgium. Here’s a guide to calculating CTC.

The CTC in Belgium encompasses more than just the employee’s gross salary. It includes various employer contributions and statutory benefits. These typically consist of the gross salary, employer social security contributions which cover areas like pensions, healthcare, and unemployment, contributions to various other funds like holiday pay reserve, and potentially other benefits provided by the employer.

Example Calculation

To illustrate, let’s consider a mid-level employee in Belgium with a gross annual salary of €60,000. Employer social security contributions in Belgium are significant, generally around 25-30% of the gross salary.

Employee Salary Breakdown (Belgium)

Description Amount (€)
Gross Annual Salary 50,000
Employer Social Security Contributions 13,000 – 17,000
Payroll Taxes 5,500 – 8,000
Total CTC 68,500 – 75,000

This is a simplified estimate for understanding purposes. Final costs may vary due to tax regulations, industry-specific rules, and employee location.

Note: Consult with an HR professional or Employer of Record (EOR) for a detailed breakdown and accurate figures.

This is a simplified example, and it is crucial to consult with a local payroll specialist or use a specialized calculator for a precise calculation as other factors can influence the final CTC. This will include things like meal vouchers, group insurance, and other benefits.

Key Considerations While Hiring Employees through EOR in Belgium

Hiring employees in Belgium, even through an EOR, requires careful consideration of several key factors to ensure compliance with local regulations and maintain positive employer-employee relationships. Here’s a breakdown of the most important aspects:

Contracts and Compliance

An employment contract for an employee hired from Belgium could be present both in written and verbal form. In written form, the agreement should be present in either German, French, or Dutch as per the employer’s operation location.

Working hours and benefits

The work week on average is for 38 hours. The Belgian labor law does not mention any rule regarding overtime work. However, more employees do work overtime as per their understanding of the employer. The typical work day spans for eight hours and the work days are from Monday to Friday.

Working more than 11 hours daily and 48 hours weekly is considered to be illegal. You need to work for a year before you get any holiday entitlement. Post this period the entitlement is calculated according to the number of months you had been on the job since last year. After completing a calendar year, employees get at least 20 days of vacation. Belgium also consists of ten national holidays for religious and regional holidays.

Termination laws

Belgium has strict termination procedures, and it’s crucial to be familiar with them to avoid legal disputes. These procedures often involve specific notice periods, severance pay calculations, and justifications for termination. The EOR should be well-versed in these regulations and guide the termination process accordingly. For example, since 2014, the Unified Employment Status Act has abolished the need for trial periods or probation which are no longer allowed in Belgium.

Employee Benefits in Belgium

When negotiating an employment contract in Belgium, it’s important to be aware of statutory benefits and paid leave requirements. An Employer of Record (EOR) can assist with navigating these complexities and supporting your company’s benefits strategy.

Maternity Leave

Female employees are entitled to paid maternity leave. This includes six weeks of prenatal leave (or eight weeks for multiple births), taken immediately before the expected delivery date. Postnatal leave is nine weeks, plus any unused prenatal leave. Employees can choose to defer up to two weeks of prenatal leave to be taken within the first eight weeks after returning to work.

Vacation

Vacation entitlement is earned based on the previous year’s work. Full-time employees receive four weeks of paid vacation annually. Part-year employees receive prorated vacation time. Unused leave cannot be carried over. 

Vacation pay for blue-collar workers is managed by the holiday fund or the National Office for Annual Leave and is calculated based on the previous year’s earnings (approximately 15% of salary). White-collar employees receive vacation pay directly from their employers, including the standard pay and a supplement equal to one-twelfth of 92% of their gross salary.

Holidays

Employees are entitled to paid time off for ten national holidays. If a public holiday falls on a weekend, employees receive an additional day off, usually the following working day.

Sick Leave

Sick leave entitlement varies depending on whether the employee is classified as blue-collar or white-collar. Blue-collar workers with at least 30 days of prior employment are entitled to up to 30 days of sick leave. During this time, they receive partial pay, with the first seven days at 100% of their normal salary which is paid by the employer, days 8 through 14 at 85.88%, and days 15 through 30 calculated based on salary and health insurance benefit limits.

White-collar workers tend to receive 100% pay for up to 30 days of sick leave. If an employee relapses within 14 days of returning to work, they are not entitled to a new period of sick leave benefits, unless it’s for a new illness or injury.

Health Coverage

Belgium has a mandatory social security system managed by the National Social Security Office, with contributions from both employers and employees. This system provides health and disability insurance, family allowances, workers’ compensation, unemployment insurance, and old-age and survivors’ benefits.

Additional Benefits

In addition to mandatory benefits, employers may offer supplementary benefits like additional pension contributions or life insurance. Employer social costs cover a significant portion of employee benefits in Belgium, but consulting with a benefits specialist is recommended to explore supplemental coverage options.

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Termination Procedures in Belgium

 In Belgium, employment agreements can be terminated by providing a notice period or offering compensation in lieu of notice. Employees who believe their dismissal was unjustified have the right to challenge it in court, potentially receiving additional compensation if the court rules in their favor. Termination can occur due to several reasons: economic or business-related layoffs, immediate dismissal for serious misconduct, or unsatisfactory performance.

Notice Periods in Belgium

The required notice period in Belgium depends on the employee’s length of service. For employer-initiated terminations, the notice period ranges from one week (for employees with less than three months of service) up to 66 weeks (for employees with 25 years of service or more). Employee-initiated resignations require a shorter notice period, ranging from one week (for less than three months of service) up to a maximum of 13 weeks (for eight or more years of service).

Severance Pay in Belgium

Severance pay in Belgium is only applicable when the employer terminates the employee without providing the required notice period. In such cases, the employer must compensate the employee for the period they would have worked during the notice period.

How to Choose the Right EOR Belgium Services

Make sure you look at the following qualities of your EOR services before you choose which option is the best suited for your business.

Right knowledge about legal compliance

A competent EOR partner should possess a team well-versed in the specific labor laws and regulations of the markets you intend to operate in or hire talent from. An inexperienced partner may incur additional time and costs researching unfamiliar legal frameworks, potentially exposing your company to non-compliance, fines, legal fees, and reputational damage. Choosing an EOR with in-depth local knowledge is crucial for maintaining compliance in your target markets.

Transparent Pricing

Transparency in pricing is a vital factor when selecting a global EOR provider. Be wary of hidden fees, markups, or additional charges beyond the initial quotes, such as setup or termination fees. These unexpected costs can significantly impact your budget. It is essential to request a comprehensive breakdown of all pricing elements upfront from any prospective EOR.

Assistance in services

Regardless of the size of your international workforce, you should expect prompt responses and dedicated support from your EOR partner. Prioritize EORs that offer a dedicated account manager instead of relying solely on automated systems like chatbots or guidebooks. A responsive partner with the expertise and availability to address your questions and provide timely support to your workforce in their local languages and time zones is essential.

Track record of success

If an EOR promises expertise, transparent pricing, and responsive support, it’s crucial to verify their claims. Review testimonials on unbiased platforms and speak with references to confirm existing client satisfaction. Requesting references from businesses with similar goals, budgets, industry, and talent profiles can provide valuable insights into the EOR’s suitability for your specific needs.

Operation in the selected country

Partnering with a global EOR that covers all your current and potential future hiring locations is crucial. Engaging multiple EORs for different countries can create unnecessary complexity. Choose an EOR partner with a broad global reach to accommodate your present and future international hiring needs.

FAQs – EOR Belgium

  1. What is an Employer of Record in Belgium and how does it work?

An EOR is a third-party company that legally employs workers on behalf of another company in Belgium. The EOR handles all your payroll, taxes, benefits, and compliance, while you handle the employee’s daily work.

  1. What are the benefits of using an EOR in Belgium?

Out of all the benefits that you could get include faster market entry, simplified HR management, compliance with Belgian labor laws, and reduced administrative burden.

  1. How much does it cost to hire employees through an EOR in Belgium?

Costs will highly vary depending on the EOR provider, the employee’s salary, and the services you require. It’s typically a monthly fee per employee that you need to pay.

  1. Can I convert freelancers to full-time employees using an EOR in Belgium?

Yes, an EOR can help you with the compliant conversion of freelancers or contractors to full-time employees.

  1. How does an EOR ensure compliance with Belgian labor laws?

EORs are legal experts who have expertise in Belgian labor law, handling contracts, payroll, benefits, and ensuring compliance with regulations like working hours, leave, and termination procedures.

Not to be considered as tax, legal, financial or HR advice. Regulations change over time so please consult a lawyer, accountant  or Labour Law  expert for specific guidance.