Employment
Monotributo, dollars, and doing it properly
The overwhelming majority of Argentine tech professionals working for foreign companies do it as independent contractors registered under monotributo. Done carelessly, that arrangement creates real exposure. Done properly, it is clean and it is what candidates want.
- Monotributo
- A simplified tax regime for independent workers, banded by annual billing, bundling income tax, VAT and social contributions into one monthly payment. Candidates must be registered with AFIP in the correct category, and categories are re-evaluated twice a year. If a contractor's billing outgrows their category and nobody notices, that is their problem legally and your problem practically.
- Export-of-services status
- Work performed in Argentina for a foreign client is an export of services, which is the entire legal basis for the arrangement. Invoices must be issued as such. We check the invoice format on the first cycle, because a wrongly issued factura creates a tax mess six months later.
- CUIT and invoicing
- Every contractor needs a CUIT, an AFIP electronic invoicing setup, and a bank or fintech account that can receive the payment route you have agreed. We collect all three before the start date rather than during the first pay cycle.
- Currency and FX
- Rates are set and quoted in USD. How dollars convert to pesos is the sensitive part, and the rules change more often than the labour law does. We agree the mechanism in writing before the offer, and we re-check it every quarter. If a candidate asks a detailed question about it, that is a good sign — they have been burned before.
- Employment as an alternative
- Full relación de dependencia is possible and is what a small minority prefer, particularly people with families who want the health coverage (obra social) and the SAC year-end bonus. It costs materially more and is slower to set up. We will run it when the role justifies it.
- Notice and severance
- Contractors work to whatever notice the service agreement states, typically two to four weeks. Employees are entitled to statutory notice by tenure plus severance on dismissal without cause, which is why the employment route needs a real budget conversation up front.
- What we will not do
- We will not paper a full-time, fixed-schedule, directly supervised role as a bare contractor arrangement with no service agreement and no invoicing discipline. That is the arrangement that eventually produces a claim, and it is always the client who pays for it.