What factors add up to the total cost of an EOR service?

The EOR pricing structure typically includes employee salaries and benefits, compliance and legal fees, administrative and operational costs of employee management, and any technology and infrastructure expenses your EOR provider might incur. That’s why the total cost of an employer of record services is calculated individually and depends on the spectrum of services you wish to enjoy.

What types of EOR fees can I choose from?

Each employer of record sets their own pricing models and structures. Thus, you have to negotiate this issue individually. The most common options for EOR cost calculation include a contract setup fee, the security deposit, and monthly fees you will have to cover for every employee or every type of service rendered. If your employees are hired internationally and payroll is conducted in multiple currencies, you may also need to cover foreign exchange fees additionally.

What factors should I consider when choosing an EOR service provider?

Your satisfaction with EOR services depends on whether you’ve picked a provider with a relevant scope of service offerings. Make sure the chosen employer of record can render the services you need and enjoys a positive reputation on the market. It should be a company with an experienced team and a strong focus on data security and compliance. The responsiveness of client support and the EOR staff’s satisfaction also make a difference.

How can I reduce the EOR cost?

You can pay less for high-quality EOR services if you do your due diligence and spot the provider that offers a healthy balance of cost and quality. To achieve this goal, you will have to spend some time researching and comparing various companies’ pricing approaches and service ranges. Double-check whether the company has a solid reputation. You may also negotiate your recruitment budget and strike a more lucrative deal by sharing your plans and setting a budget for the project that will satisfy both you and the EOR provider.

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