How to hire remote employees in

Rwanda

Rwanda is home to some great remote talent. Want to hire someone there, but not sure how to do it—maybe because your company’s HQ is located somewhere else? Then, welcome: You’re in the right place. In the next few minutes, you’ll learn how to hire remote talent in Rwanda, quickly, without wading into months and thousands of dollars of legal red tape.

Country snapshot

CURRENCY
Rwandan Franc (RWF)
EMPLOYER TAXES
5%
PAYROLL FREQUENCY
Monthly
OFFICIAL LANGUAGE
Kinyarwanda

What to know before you hire in 

Rwanda

Hiring abroad is difficult: New labor laws, entities, a lot of words you’d rather not hear again. But we’ve got good news. It doesn’t need to be that way. Below, we’ll break down your two main options for hiring in Rwanda (and the one we think you’ll prefer).

If you want to successfully hire in 

Rwanda

, you have two options:

Hire talent as contractors

Laws about hiring contractors are significantly more simple in 

Rwanda

. Onboarding talent takes days, not weeks or months. Both you, the company, and your talent have more flexibility. And in many cases, since you’re remote, the talent you’re hiring is better classified as a contractor, anyway. Of course, it’s not possible in every case, but it’s what we built Panther for.

Hire talent as employees

This is the long route. You can either establish a physical presence with an entity and register as an employer, or you can use an Employer-of-Record (EOR) solution. Odds are, you’ll find using an EOR to be the easier route. Still, using an EOR in 

Rwanda

 is expensive—it can often be $500 per month per employee—and sometimes prone to lengthy onboarding times.

Why hire independent contractors in 

Rwanda

Hiring contractors is normally the easier, faster, more flexible choice—but don’t just take it from us. Below are the specific benefits and drawbacks to hiring contractors in 

Rwanda

.

It’s the fastest way to hire globally

Hiring employees takes months, at the minimum. When you hire with Panther’s locally-generated contracts, it’s a matter of days or weeks. This means you can hire the best talent, fast, without losing them to a hellish procession of paperwork.

It’s a lot cheaper

It costs just $0 to sign up for Panther, then $49 per month to hire your contractors with Panther. If you hired employees manually (or did contracting on your own), you’d likely be on the hook for thousands of dollars each month. Setting up an entity alone can cost tens of thousands of dollars.

It’s more flexible for you & your team

Hiring contractors in 

Rwanda

 means you’re generally not on the hook for things like health insurance and paid time off. This makes hiring flexible for you, and it gives your talent more options.

It’s less risky than hiring employees

Hiring employees is a bigger commitment, and generally puts you at a bigger risk for legal fees. When you hire contractors overseas, your biggest risk is misclassification—but even then, misclassification penalties are often minimal and just require you to pay off any compensation that the person would have been owed as an employee.

Some people want to be employees

The contractor life isn’t for everyone—some people want the security that being an employee often appears to provide. Though it’s rare, this does happen, and it’s one disadvantage of manage an all-contractor team.

You might not have as much control over your talent

Most countries’ contractor-employer relationship laws stipulate that the employer can’t set fixed working hours, among other things. These laws give contractors more freedom over how and when they do their work than an employee would have. In reality, however, most contractors are willing & able to work on the company’s schedule—it’s a matter of setting expectations beforehand.

How can I pay people in 

Rwanda

?

If you’re hiring contractors in 

Rwanda

, you can pay them with Panther in a single click. You won’t need to worry about complicated wire transfers, fees, or currency conversions. We’ll take care of it all. Just make a click and your contractor will get paid in their currency of choice. This is a valuable bonus for talent in countries where the local currency is particularly weak—most people appreciate the ability to receive their payment in stronger currencies.

Hiring and paying your team in 

Rwanda

Hire and pay with Panther

Pay everyone with a single click
Get great currency conversion rates
Pay $0 in platform fees
Run payroll in seconds
Let Panther automatically create & store invoices
Let Panther automatically write locally-compliant contracts
Let Panther automatically file local tax documents

Hire and pay without Panther

Pay all your contractors individually
Do all currency conversions yourself
Shoulder the burden of platform fees
Spend hours each month making payments
Manually track & store invoices
Manually write & sign contracts
Manually file relevant tax documents

Let Panther save you from hiring headaches.

Sign up today for $0

If you want to hire employees in 

Rwanda

If you’ve read up until this point, you’ll know that it’s easier, cheaper, and more flexible to hire contractors in Rwanda than employees. Still, there are valid reasons why you might want to hire employees instead. The content below is for you—we’ll cover employer taxes and obligations in Rwanda.

Taxes in 

Rwanda

Employer tax

Gross salary


Individual tax

Leave

Paid Time Off (PTO)

Employees under the age of 18 receive 24 days of paid annual leave. Employees are entitled to 18 days of paid annual leave after a year of service.

Additionally, paid leave allotments increase for adult employees with the length of service.

Public Holidays

There are 14 public holidays.

Sick Days

Sick leave entitlement is up to six months (subject to evidence). The first three months are paid and the last three months are unpaid.

Long-term sickness is determined by a committee of three recognized medical practitioners and is granted for no more than three months with pay and three months without pay.

Maternity Leave

Female employees are entitled to 12 weeks of paid maternity leave. This leave may be taken up to two weeks before the due date.

Certificate of delivery needs to be furnished before starting the maternity leave.

Paternity Leave

Male employees are entitled to four days of paternity leave.

Parental Leave

No Info.

Other Leave

No Info.

Marriage Leave

No Info.

Bereavement Leave

No Info.

Termination

Termination Process

A contract for employment can be terminated either by either mutual consent of the employer or the employee, expiry of the term of the contract or unilateral termination of employment.

Notice Period

The minimum notice period is 15 days for service up to a year and 30 days for service beyond a year where the employee is entitled to an additional day off per week to look for alternate employment.

Employments in Rwanda may be terminated upon written notice,  as follows:

  • Less than one year of service: 15 days’ notice
  • More than one year of service: one month’s notice

Severance Pay

Severance pay in Rwanda as follows:

  • Less than five years of service: one month’s salary
  • 5-10 years of service: two months’ salary
  • 10-15 years’ service: three months’ salary
  • 15-20 years’ service: four months’ salary
  • 20-25 years’ service: five months’ salary
  • 25+ years’ service: six months’ salary

Probation Period

The probation period is six months, while there is no limit on the length or the number of renewals of a fixed-term contract.

Employee requirements in 

Rwanda

Working Hours

The standard workweek in Rwanda 45 hours per week with a standard workday of 7.5 hours over six days.

Overtime

Overtime compensation is determined in the employment contract.

Want to hire contractors, anywhere? Start with Panther today for $0.

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