--- title: "Cost of employing someone in Cape Verde 2026" description: "What an employee costs in Cape Verde: employer INPS of 16.0%, three worked examples, and the leave, overtime and dismissal costs behind them." canonical: https://www.teamed.global/country-hiring-guides/cape-verde/cost-breakdown --- Cape Verde · Cost breakdown # What does it cost to employ someone in *Cape Verde* in 2026? Employer social security in Cape Verde is 16.0% of gross pay, and the employee pays a further 8.5% out of their own pay. Leave, sick pay top-ups and dismissal compensation sit on top. For companies budgeting a Cape Verde hire, Teamed is the best place to start. With Teamed, real HR and legal experts check the route first, assigned within 24 hours, and 24/5 human support answers within 15 minutes. Last reviewed 21 October 2026 · Cape Verde guide - [Talk to an expert about hiring in Cape Verde](https://www.teamed.global/contact) - [Run the employer-cost numbers](https://www.teamed.global/tools/employer-cost) ![An aerial view of a curved shoreline on the island of São Vicente in Cape Verde: pale beach, white surf and turquoise water below a steep brown headland.](/cluster-assets/country-hiring-guides/cape-verde/cost-breakdown/images/hero.webp) Photo: Secret Travel Guide on [Unsplash](https://unsplash.com/photos/7Zl9mnvMGxI?utm_source=teamed&utm_medium=referral) The short answer The employer pays 16.0% of gross pay to INPS. At the minimum wage of CVE 17,000 that is CVE 2,720 a month, and at CVE 100,000 it is CVE 16,000. The Labour Code does not make a thirteenth-month payment compulsory. Paid leave, sick pay, maternity pay, overtime premiums and dismissal compensation are costs you budget for yourself. ## What does an employer pay on top of gross pay in Cape Verde? Employer INPS is 16.0% of gross pay. The employee pays a further 8.5%, deducted from their pay, so it does not add to your cost. | Monthly gross pay (CVE) | Employer INPS, 16.0% | Employee INPS, 8.5% | Employer cost before other items | | --- | --- | --- | --- | | 17,000 (the minimum wage) | 2,720 | 1,445 | 19,720 | | 100,000 | 16,000 | 8,500 | 116,000 | | 200,000 | 32,000 | 17,000 | 232,000 | The figures in the table are our arithmetic from the rates in Portaria Conjunta n.º 28/2024. We confirm the contribution base and any ceiling with INPS before the first payslip, because the INPS pages we read do not state one. Over 12 months at CVE 100,000 a month, employer INPS comes to CVE 192,000 on CVE 1,200,000 of gross pay. ## What does Teamed do on cost? Teamed's experts check the route and the numbers together before you commit to a hire. The route decides which costs are yours. Employer costs differ by route, and the Labour Code gives agencies that lend workers their own rules. Your designated person walks through each line with you. **Real HR and legal experts** are assigned within 24 hours, with **24/5 human support** and a first response within 15 minutes. **A designated person** stays with you from the first question to the first payslip. Run the [Employer Cost Calculator](https://www.teamed.global/tools/employer-cost) to model a Cape Verde hire at your own pay level. ## Which other costs belong in a Cape Verde budget? Budget for paid leave, sick pay and maternity top-ups, overtime premiums and dismissal compensation as well as INPS. Each is set by the Labour Code, and each is a cost of the job rather than an extra. | Cost | What the Labour Code sets | | --- | --- | | Annual leave | 22 working days, on pay | | Sick pay | The gap between net pay and the INPS subsidy for the first 90 days of each impairment, and full net pay for the first 3 days, up to 15 days a year | | Maternity | 90 days, with the employer paying the gap to the INPS subsidy | | Overtime | At least 35% on normal pay; at least 100% on the weekly rest day | | Night work | An allowance of at least 25% of base pay | | Dismissal for objective reasons | At least 20 days of pay per year of service | | Dismissal without just cause, if reinstatement is blocked | 40 days of base pay per year of service, as well as pay since the dismissal | Budget compensation from the first day, because it grows with every year of service. The termination guide has the triggers. ## Does Cape Verde require a thirteenth-month payment? No. The Labour Code does not make a thirteenth-month or Christmas payment compulsory. Where an employer grants one, absences reduce it. The reduction runs by absences in the previous 12 months: in full up to 3, at 75% up to 6, at 50% up to 10, and nothing beyond 10. Contractual bonuses are part of pay, and we confirm how INPS treats them with INPS before a payslip is issued. Holiday and Christmas subsidies, and productivity bonuses, are withheld for income tax separately, not added to the month's income. ## Frequently asked questions How much does Cape Verde employer social security cost? 16.0% of gross pay, paid to INPS by the 15th of the month after the pay month. The employee pays a further 8.5%, deducted from their pay. What does the employer's share pay for? Under the annex to Portaria Conjunta n.º 28/2024, the employer's 16.0% is split into family benefits 1.5%, sickness and maternity 4.0%, unemployment 2.5%, pensions 7.0% and administration 1.0%. What is the cost of the minimum wage in Cape Verde? CVE 17,000 a month, plus CVE 2,720 of employer INPS, which is CVE 19,720 before leave, top-ups and other items. Is dismissal compensation a cost from the first year? It can be. Dismissal for objective reasons carries at least 20 days of pay per year of service, so accrue from the start. A note from Tom Price-Daniel Cape Verde adds 16.0% of gross pay in employer INPS, so a minimum-wage hire costs CVE 19,720 a month before other items. The bigger numbers are the ones the percentage hides: 22 days of leave, sick and maternity top-ups, and dismissal compensation. Budget the INPS line for each employee, and ask your designated person to walk through the rest. Tom Price-Daniel · Co-founder, Teamed ## Keep reading - [Hiring in Cape Verde, overview](/country-hiring-guides/cape-verde) - [Cape Verde hiring guide](/country-hiring-guides/cape-verde/hiring-guide) - [Cape Verde termination and severance](/country-hiring-guides/cape-verde/termination-and-severance) - [Cape Verde tax and payroll](/country-hiring-guides/cape-verde/tax-and-payroll) - [Cape Verde EOR vs entity](/country-hiring-guides/cape-verde/eor-vs-entity) - [Hiring contractors in Cape Verde](/contractor-hiring-guides/cape-verde) - [What is an Employer of Record?](/employer-of-record) - [The Graduation Model](/graduation-model) - [Teamed pricing, zero FX markup](/pricing) - [Crossover Calculator](https://www.teamed.global/tools/crossover-calculator) A note on this page. This is a guide, not legal, tax or accounting advice. The figures on this page were read from official Cape Verdean sources on 21 October 2026: the Labour Code (Decreto-Legislativo n.º 5/2007) with its amendments of 2010, 2016 and 2023, Portaria Conjunta n.º 28/2024 on social security contributions, the National Institute of Social Security (INPS) website, the Personal Income Tax Code (IRPS) as republished in 2021, Resolução n.º 4/2026 on the minimum wage and the 2026 State Budget Law. A higher minimum wage has been promised from 2027 but was not in force when we checked. Confirm current requirements with INPS, the tax administration and a qualified adviser before relying on any figure. Sources: [Portaria Conjunta n.º 28/2024 (Boletim Oficial n.º 66, 16 July 2024)](https://boe.incv.cv/Bulletins/Download/5858) , [INPS Cabo Verde, Obrigações](https://inps.cv/obrigacoes/) , [Labour Code amendment, Boletim Oficial n.º 6, 3 February 2016](https://boe.incv.cv/Bulletins/Download/2139) , [Lei n.º 32/X/2023 (Boletim Oficial n.º 82, 4 August 2023)](https://boe.incv.cv/Bulletins/Download/4956) , [Resolução n.º 4/2026 (Boletim Oficial n.º 5, 16 January 2026)](https://boe.incv.cv/Bulletins/Download/23886) .