How do you hire a Taiwan employee in 2026?
Taiwan law makes you pay wages at least twice a month unless the contract sets a monthly cycle, and the first run already carries a 6% labour pension contribution on top of salary. Get the pay rhythm and the pension account right before day one.
· Taiwan guide
Illustration · Taipei, Taiwan
The Taiwan hire process has five steps. Offer letter, work-permit check, written employment contract, labour insurance and pension setup, first payday.
Every employee needs a signed written contract. Wages must be paid at least twice a month unless the contract agrees a monthly run (Labor Standards Act art. 23). The minimum wage is TWD 29,500/month or TWD 196/hour.
From day one you must open a labour pension account and contribute at least 6% of the employee's monthly wage. Employees pay nothing into the pension by law, though they can add up to 6% voluntarily.
There is no statutory 13th month salary. The Lunar New Year bonus is market custom, not law. Year-end bonus is paid only from net profits to staff who served the full year (Labor Standards Act art. 29).
What does the end-to-end Taiwan hire process look like?
Five steps take you from accepted offer to first payslip. Offer letter, work-permit check, written contract, labour insurance and pension setup, first payday.
The work-permit step only applies to foreign nationals. It must be cleared before the start date. Taiwan nationals can start sooner.
| Step | What happens | Owner | Timing |
|---|---|---|---|
| 1. Offer letter | Written offer with role, salary, start date, probation terms, and any conditions | Client / Teamed drafts | Same day after verbal accept |
| 2. Work-permit check | Confirm Taiwan nationality or household registration, or secure a Ministry of Labor work permit for a foreign national before the start date | Teamed | Before the employee starts |
| 3. Written employment contract | Signed written contract covering all terms under the Labor Standards Act | Teamed (legal employer) | On or before day one |
| 4. Insurance and pension setup | Enrol the employee in Labor Insurance, National Health Insurance, and open the individual labour pension account with the employer contribution at 6% | Teamed | From day one |
| 5. First payday | First payslip issued with an itemised wage statement; income tax withheld and contributions remitted | Teamed | Within the first pay cycle |
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Issue the offer letter
Send a written offer the same day as verbal acceptance. State the role, salary at or above the minimum wage of TWD 29,500/month, start date, standard hours, and the pay cycle so the rhythm is clear from the start.
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Complete the work-permit check
Confirm Taiwan nationality or household registration, or secure the Ministry of Labor work permit and resident certificate for a foreign national before the employee starts. Retain copies of all documents.
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Issue the written employment contract
The signed contract must be in place on or before day one. Teamed's standard Taiwan contract covers the Labor Standards Act terms. Clients choose commercial terms; Teamed signs as the legal employer.
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Set up insurance and pension
Enrol the employee in Labor Insurance and National Health Insurance, and open the labour pension account with the employer contribution at 6%. Collect tax and bank details. This runs from day one.
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Issue the first payslip and remit contributions
Run the first payroll within the agreed cycle. Provide an itemised wage statement, withhold income tax, and remit insurance and pension contributions. The employee is now on the payroll record.
What must a Taiwan offer letter include?
The offer letter is not the binding contract. It is the document the candidate decides against.
Include role title, reporting line, start date, gross monthly salary (at or above TWD 29,500/month), working location, standard hours of 8 hours a day and 40 hours a week, and any conditions such as work-permit status.
Three traps to avoid in Taiwan offer letters:
- Quoting pay below the floor. The minimum wage from 1 January 2026 is TWD 29,500/month for monthly-paid staff and TWD 196/hour for hourly staff. An offer under that line cannot be honoured.
- Promising a fixed 13th month. Taiwan has no statutory 13th month salary. The Lunar New Year bonus is custom, and the year-end bonus is profit-contingent under the law. Describing either as guaranteed can make it a contractual term.
- Silence on the pay cycle. Wages default to at least twice a month. If you intend a single monthly run, the contract must say so. State the cycle in the offer so there is no surprise at the first payday.
Teamed's standard Taiwan offer letter template covers all required ground and aligns with the Labor Standards Act. Clients choose commercial elements. Teamed holds the legal-employer position and issues the final contract.
Taiwan work-permit checks for foreign national employees
Taiwan nationals with household registration can start work without a permit. Foreign nationals must hold a valid Ministry of Labor work permit before their first day.
Hiring a foreign national without the correct permit is an offence under the Employment Service Act and carries fines for the employer.
Taiwan nationals and permanent residents
There is no separate work-authorisation check for Taiwan nationals with household registration. The employer keeps a copy of the national ID card as a standard identity record. Holders of an Alien Permanent Resident Certificate (APRC) with open work rights can also start without a fresh permit, though the employer verifies the certificate.
Foreign nationals
Most foreign professionals need a work permit issued by the Ministry of Labor (Workforce Development Agency) before starting. The employer applies, and the role usually has to meet salary and qualification thresholds. After the permit is granted, the worker obtains the matching resident visa and an Alien Resident Certificate (ARC). Processing times vary, so allow several weeks for a new application.
The Employment Gold Card offers a combined open work permit, residence, and visa for qualifying senior professionals, letting them work without a single sponsoring employer. Each route has its own documents and validity period.
The Labor Standards Act governs the employment relationship in Taiwan, including the written contract, working hours, minimum wage, leave, notice, and severance. Every employer must follow it from the first day of employment.
Source: Laws & Regulations Database of the Republic of China (Taiwan): Labor Standards Act
Ongoing permit renewals
Work permits and resident certificates in Taiwan are time-limited. Employers must track expiry dates and start renewals well in advance. Teamed monitors each permit and certificate expiry and alerts the employee and client ahead of the deadline so no lapse occurs.
The Taiwan written employment contract: what must it contain?
Taiwan requires a written employment contract that sets out pay, hours, leave, and termination terms under the Labor Standards Act.
The contract should be signed before or on the first day of work. It is the binding document. The offer letter is not.
What a Taiwan written employment contract should cover under the Labor Standards Act:
- Names and addresses of both the employer and the employee
- Start date of employment and contract type (indefinite or fixed-term)
- Job title or description of the work and place of work
- Gross salary, at or above the minimum wage of TWD 29,500/month, with the pay cycle stated
- Standard working hours of 8 hours a day and 40 hours a week, plus overtime rules
- Annual paid leave, which starts at 7 days after one full year and rises with service
- Sick leave of up to 30 days a year at 50% of salary for ordinary illness without hospitalisation
- Notice on employer termination: 10 days from three months to one year of service, 20 days from one to three years, 30 days from three years
- Labour pension and Labor Insurance enrolment, with the employer pension contribution at 6%
- Maternity leave of 8 weeks for eligible employees
- Probation terms, where used, kept to a reasonable period agreed in writing
Taiwan does not have a single codified statement document like the UK's Section 1 statement or Germany's Nachweisgesetz statement. The requirement is that a written contract exists and carries the substantive terms above. Teamed's standard Taiwan contract satisfies the Labor Standards Act. Clients choose commercial terms; Teamed signs as the legal employer.
Key source: Labor Standards Act via the Laws & Regulations Database of the Republic of China (Taiwan).
Onboarding admin in the first week
From day one you must enrol the employee in Labor Insurance and National Health Insurance and open the labour pension account.
Teamed handles the statutory enrolments and the pension contribution at 6%. The client handles the operational side.
| Onboarding task | Who does it | Day |
|---|---|---|
| Written employment contract signed | Employee and Teamed | Day 0 or 1 |
| Work-permit and ARC check completed | Teamed | Day 0 (before start for foreign nationals) |
| Labor Insurance enrolment | Teamed | Day 1 |
| National Health Insurance enrolment | Teamed | Day 1 |
| Labour pension account opened, employer rate set at 6% | Teamed | Day 1 |
| Tax withholding profile set up | Teamed | Days 1 to 7 |
| Bank account details collected for payroll | Teamed | Days 1 to 7 |
| Pay cycle confirmed (twice a month or monthly by agreement) | Teamed and client | Day 1 |
| Equipment and system access | Client | Days 0 to 1 |
| Manager introduction and first-week plan | Client | Days 0 to 7 |
| 30-60-90 day plan documented | Client (manager) | Days 1 to 14 |
How does Teamed handle Taiwan employment for you?
Teamed becomes your legal employer of record in Taiwan for from $599 per employee per month, with zero FX mark-up in any currency.
The Labor Standards Act, Labor Insurance, National Health Insurance, and the labour pension all run on one platform.
Real HR and legal experts handle your Taiwan hires, from the first offer letter through every pay cycle, tax withholding, and contribution remittance. An actual person, not a chatbot or a pooled queue. There is no setup fee and no exit fee. Employer cost passes through at cost, itemised on every invoice.
EOR payroll, contractor onboarding, and entity setup all live on one platform. A Taiwan contractor who converts to direct employment keeps their record. EOR fits until it isn't. Run the Crossover Calculator to see when your Taiwan team is ready to graduate to your own entity. Start from the Taiwan hiring overview; each guide here takes one layer of Taiwan employment law.
Key sources: Labor Standards Act, Labor Pension Act, and the Bureau of Labor Insurance.
Frequently asked questions
How long does it take to hire someone in Taiwan through Teamed?
Teamed can onboard a Taiwan national within a few business days once the offer is accepted. The written contract must be signed on or before day one, and Labor Insurance, National Health Insurance, and the labour pension account are all set up from the first day. Foreign nationals who need a Ministry of Labor work permit and a resident certificate must have these in place before the start date, which adds lead time depending on the route and the processing queue.
Does Taiwan require wages to be paid twice a month?
Yes, by default. The Labor Standards Act sets the pay cycle at least twice a month unless the parties agree otherwise or wages are paid monthly in advance. The employer must also provide an itemised wage statement and keep payroll records for at least five years. If you want a single monthly run, state it clearly in the employment contract.
What is the minimum wage in Taiwan for 2026?
The minimum wage from 1 January 2026 is TWD 29,500/month for monthly-paid employees and TWD 196/hour for hourly-paid employees, set by the Ministry of Labor. Standard working hours are 8 hours a day and 40 hours a week, with overtime paid above that.
What does the employer contribute to the labour pension in Taiwan?
Under the Labor Pension Act, the employer contributes at least 6% of the employee's monthly wage into an individual pension account. Employees are not required to contribute, though they may add up to 0% more than the legal floor on a voluntary basis. Labor Insurance and National Health Insurance premiums are separate from the pension and are shared between employer and employee.
What annual leave and sick leave does a Taiwan employee get?
Paid annual leave starts at 7 days after one full year of service and rises with tenure, reaching higher amounts for longer service. Ordinary sick leave without hospitalisation is up to 30 days a year, paid at 50% of salary; the employer tops up if the Labor Insurance benefit falls short. Eligible employees also receive 8 weeks of maternity leave.
Taiwan trips up new employers on two things. The pay cycle defaults to twice a month, so a single monthly run has to be written into the contract. And the labour pension account opens on day one with the employer carrying the full mandatory contribution. Sort both before the first payslip and the rest follows.
In Taiwan, wages run at least twice a month unless your contract sets a monthly cycle. Write the rhythm down before day one.
The labour pension account opens from day one. The employer carries at least 6 percent; the employee pays nothing into it by law.
There is no guaranteed 13th month. The minimum wage and the contract terms are what bind you.
