Powering Payroll, Compliance & Workforce Management in Georgia

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Georgia at a Glance

Whether you're hiring your first employee or expanding an existing team, understanding the local employment landscape is essential. From visa requirements and statutory benefits to payroll taxes and regulatory oversight, this section provides a practical overview of what employers need to know to stay compliant and operate effectively in 

Georgia
Work Permits & Visas
  • Foreign nationals intending to work in Georgia generally require the appropriate right to work and, depending on their nationality and length of stay, a long-term visa and residence permit.
  • Citizens of many countries may enter Georgia visa-free for extended periods, but obtaining a residence permit is typically required for long-term employment.
  • Employers sponsoring foreign workers may assist with residence permit applications by providing employment contracts and supporting documentation. 
  • Residence permits are generally issued for one year and may be renewed. 
  • Certain categories of highly skilled professionals and investors may qualify under simplified procedures.
Payroll
  • Employers must register with the Georgian Revenue Service before hiring employees.
  • Payroll is typically processed monthly, with employers responsible for withholding and remitting personal income tax on behalf of employees.
  • Payroll obligations include:
    • Monthly payroll processing
    • Withholding and remittance of personal income tax
    • Pension contribution deductions where applicable
    • Monthly payroll reporting to the Revenue Service
    • Maintaining employee payroll and tax records
  • Georgia operates a relatively straightforward payroll system, with salaries commonly paid monthly.
Employment Contracts
  • Employment contracts may be concluded for a fixed term or an indefinite period. Contracts may be written or verbal, although written agreements are strongly recommended and commonly used.
  • Probation Period: Up to six months where agreed between the employer and employee.
  • Working Hours: Standard working week is generally 40 hours. Employees working in enterprises with specific operating conditions may work up to 48 hours per week where permitted by law.
  • Overtime: Overtime should generally be agreed between employer and employee and is compensated at an increased rate or with equivalent time off, as agreed.
  • Termination: Employment may be terminated by agreement, resignation, expiry of a fixed-term contract, redundancy or other lawful grounds. Written notice is generally required.
  • Notice Period: Unless otherwise agreed or provided by law, employers typically provide at least 30 days' notice or payment in lieu.
  • Severance: Employees dismissed on certain grounds are generally entitled to severance compensation equivalent to at least one month's average salary.
Employee Benefits
  • Georgia provides statutory employment protections together with mandatory pension contributions for eligible employees.
  • Pension Contributions: Mandatory funded pension contributions generally apply to eligible employees, with contributions from the employer, employee and government.
  • Annual Leave: Employees are entitled to at least 24 working days of paid annual leave each year, plus up to 15 calendar days of unpaid leave upon request.
  • Public Holidays: Approximately 17 public holidays are observed annually.
  • Sick Leave: Employees may receive paid temporary disability benefits subject to applicable employment terms and social protection provisions.
  • Maternity Leave: Up to 126 calendar days of maternity leave is available, increasing to 143 days in cases involving childbirth complications or multiple births. A portion of the leave is paid in accordance with statutory limits.
  • Parental Leave: Additional childcare leave may be available following maternity leave.
  • Paternity Leave: There is no separate statutory paternity leave entitlement, although fathers may qualify for parental leave in certain circumstances.
  • Many employers also provide private health insurance, performance bonuses and supplementary benefits.
Tax Overview
  • Tax Residency: Individuals are generally considered tax residents if they are present in Georgia for 183 days or more during any continuous 12-month period.
  • Residents: Tax residents are generally taxed on worldwide income, subject to applicable exemptions and tax treaties.
  • Non-Residents: Taxed only on Georgian-source income.
  • Tax Year: 1 January – 31 December.
  • System: Georgia applies a flat personal income tax rate of 20% on most employment income.
  • Double Taxation Treaties: Georgia has an extensive network of double taxation agreements with numerous countries.
Personal Income Tax
Annual Taxable Income (GEL) Tax Rate
All taxable employment income 20%

Full Country Guide

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Georgia

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