13th Month Pay by Country (2026): Who Must Pay It and When

Which countries legally require 13th month pay in 2026, the deadline in each one, and where it is only owed if a contract or collective agreement says so.

Ten of the 27 countries below require a 13th month payment by statute. The other 17 do not, which does not mean nobody gets one: in several of them a contract, a collective agreement or long-established practice creates an enforceable entitlement anyway. The distinction matters because a statutory payment cannot be offset against a discretionary bonus, and because the deadlines are real. Miss Mexico's December 20 or the Philippines' December 24 and you are late, not flexible.

The figures come from the statutory dataset behind our country guides, verified September 2026. Statutory rules change, coverage rules and exclusions vary within a country, and this table is a planning reference rather than payroll instructions. Confirm your own case with your accountant or payroll provider.

Where it is mandatory

CountryDeadlineWhat is owedGuide
ArgentinaTwo installments, June 30 and December 18Each installment is half the highest monthly pay in that half-yearArgentina guide
BrazilFirst installment by November 30, second by December 20One extra month of salary, accrued proportionallyBrazil guide
ColombiaHalf by June 30, half by December 20Prima de servicios, generally 30 days of salary a year, proratedColombia guide
GuatemalaHalf in early December, half in late January, or all in DecemberAguinaldo, one ordinary month for a full year, proratedNot yet covered
IndonesiaNo fixed month: seven days before the employee's religious holidayTHR, one month of wages after 12 continuous months, prorated below thatIndonesia guide
ItalyDecember, exact date set by the applicable CCNLTredicesima, an additional salary paymentItaly guide
MexicoBefore December 20Aguinaldo, at least 15 days of salary under Article 87, proratedMexico guide
NepalNo fixed month: annually, for the festival the employee celebratesOne month of basic remuneration, prorated below a year of serviceNepal guide
PeruJuly and December gratificationsTwo separate payments, subject to the employment regimePeru guide
PhilippinesNo later than December 24At least one twelfth of basic salary earned in the calendar yearPhilippines guide

Where it is not statutory

An entry here means there is no general statutory 13th month salary. It does not mean no bonus obligation exists: read the second column before you assume you owe nothing.

CountryWhat actually appliesGuide
CanadaNo statutory requirement; contractual bonus arrangements assessed separatelyCanada guide
ChileNo statutory 13th month, but statutory profit sharing (gratificacion) is separate and does applyChile guide
FinlandNo statutory 13th month; a holiday bonus (lomaraha) can be required by collective agreementNot yet covered
GermanyNo general statutory bonus; a contract, collective agreement, works agreement or established practice can create oneGermany guide
GhanaNo statutory requirement; check contractual and collective entitlementsGhana guide
IndiaNo universal 13th month; statutory annual bonus applies to eligible employees and establishmentsIndia guide
KenyaNo general statutory requirement; contract, collective agreement or established practice can create oneKenya guide
NetherlandsNo statutory 13th month; an agreement may require it, and holiday allowance is separateNetherlands guide
NigeriaNo statutory requirement; discretionary and contractual bonuses are separateNigeria guide
PakistanNo general statutory requirement; profit-bonus, sectoral and contractual obligations can still applyPakistan guide
RwandaNo statutory requirement; contracts, policies or collective agreements may provide bonusesRwanda guide
SingaporeAnnual Wage Supplement, often called 13th month pay, is not compulsory unless the contract or collective agreement requires itSingapore guide
South AfricaA 13th cheque is customary rather than statutory; check the contract and bargaining agreementSouth Africa guide
SwitzerlandNo universal entitlement; a 13th salary agreed in a contract is payable on those terms, commonly November or DecemberSwitzerland guide
UgandaNo statutory requirement; check contractual and collective entitlementsUganda guide
United Arab EmiratesNo statutory requirement; check the employment agreementUAE guide
United KingdomNo general statutory 13th month; bonuses may be contractual or discretionaryUK guide

What stands out

The deadline is the part that catches people, not the amount. Most founders budget the extra month and then miss that it is not one payment in December. Argentina splits it across June and December. Colombia does the same. Brazil wants an installment by November 30, before the one on December 20. If your cash planning assumes a single December hit, three of the ten mandatory countries will surprise you.

Two of them have no Gregorian deadline at all. Indonesia ties THR to the employee's own religious holiday, due seven days before it. Nepal ties the festival bonus to the festival that employee celebrates. Both are easy to get wrong by hardcoding a month, and getting it wrong means paying late for part of your team while paying on time for the rest.

"One extra month" is the wrong default. Mexico's aguinaldo is at least 15 days of salary, not 30. The Philippines' is one twelfth of basic salary actually earned in the year, so a mid-year joiner earns less. Argentina calculates each installment off the highest monthly pay in that half-year, which moves with commissions and raises. Take the country's formula, not the shorthand.

Three countries add a fourteenth payment. Guatemala's Bono 14 falls in July and is mandatory alongside the December aguinaldo. Peru's gratifications are two separate statutory payments, in July and December. Italy's quattordicesima exists but depends on the applicable CCNL rather than statute. Read the 13th and 14th month entries together so you do not count the same payment twice.

Not statutory is not the same as not owed. Germany, Switzerland, Kenya and the Netherlands all sit in the second table, and in all four an agreement or an established practice can create an enforceable entitlement. In Germany a bonus paid without qualification for three consecutive years can become one. If you inherited employees through an acquisition or an employer of record transfer, check what they were actually receiving before you stop paying it.

Chile is the entry most often misread. It has no statutory 13th month, which is true and also beside the point: Chilean employers owe statutory profit sharing (gratificacion) regardless. An employer reading only the 13th month column would conclude wrongly that nothing is owed.

What this costs through Shor

Where the 13th month is mandatory, provision for it monthly rather than treating December as a surprise. One extra month a year is about 8.33% on top of gross salary; where the formula is smaller, like Mexico's 15 days, the provision is smaller too. That accrual sits on top of the statutory employer contributions each country already charges.

Through Shor, employer of record employment is $299/month per employee in standard markets and $449/month in premium markets, with 13th month accrual and administration handled as part of payroll, and contractors are $19/month each. No setup fees, and the FX margin is a flat disclosed 2%. Deposits are country-dependent and quoted up front. You can estimate the monthly cost of a hire, including statutory contributions, for any country we cover.

The other reference tables compare employer costs, notice periods and public holidays across the same countries. Working out whether to employ at all? EOR vs. your own entity has the breakeven math.

FAQ

Which countries require 13th month pay?

Of the 27 countries in our coverage, ten require it by statute: Argentina, Brazil, Colombia, Guatemala, Indonesia, Italy, Mexico, Nepal, Peru and the Philippines. The other 17 have no general statutory requirement, though a contract, collective agreement or established practice can still create an enforceable entitlement in several of them.

When is 13th month pay due?

It depends on the country, and several split it across the year. The Philippines is due no later than December 24 and Mexico before December 20. Brazil takes an installment by November 30 and the rest by December 20. Argentina pays on June 30 and December 18, Colombia by June 30 and December 20. Indonesia and Nepal have no fixed Gregorian date at all, because both are tied to the employee's own religious or cultural holiday.

Is 13th month pay the same as a Christmas bonus?

No, and treating them as interchangeable is where employers get caught. Where it is statutory it is a legal entitlement with a formula and a deadline, and it cannot be offset against, reduced by, or replaced with a discretionary bonus. A Christmas bonus you choose to pay is a separate, additional thing.

Do contractors get 13th month pay?

No. These are employment entitlements and they attach to employees, not to genuinely independent contractors invoicing you under a services agreement. That said, if the working relationship is employee-shaped in substance, reclassification brings the back entitlement with it, which is one of the costs that makes misclassification expensive. Each country guide covers where that line sits.