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For companies managing payroll across Latin America, June marks an important month with multiple legal deadlines. From mid-year bonuses to profit-sharing obligations, it’s essential to stay informed to avoid penalties and ensure full compliance.
Here’s what companies need to know.
Colombia – Prima de Servicios (Service Bonus)
Deadline: June 30
Amount: Equivalent to 15 days of salary for each semester worked (~8.33%)
Applies to: All private sector employees
This bonus is mandatory and must be paid by the end of June. It recognizes the contribution of employees and helps ensure fair compensation practices.
Mexico – PTU (Profit Sharing)
Deadline:
May 30 for legal entities
June 29 for individuals with business activity
Amount: 10% of the company’s taxable profit, distributed among employees
Delays in PTU payments can result in labor fines and employee disputes, making timely compliance crucial.
Brazil – 13th Salary (1st Installment)
Commonly Paid in June (optional advance payment)
Amount: 1/12 of annual salary per worked month (~8.33%)
This partial payment can be requested together with vacation pay (by January). Though not mandatory this month, many companies choose to pay it now as part of mid-year planning.
Argentina – Medio Aguinaldo (Half-Year Bonus)
Deadline: June 30
Amount: 50% of the highest monthly salary earned during the semester
This bonus is mandatory for all employees and must be paid regardless of seniority.
Legal Update: Brazil Tightens Penalties for Delayed Termination Payments
Brazil’s Superior Labor Court (TST) has issued a new interpretation of Article 477 of the CLT, increasing employer liability for late termination payments.
What changed?
Previously, the fine was calculated only on base salary.
Now, the fine applies to all salary-related items, including:
- Salary balance
- Indemnified prior notice
- Proportional 13th salary
- Proportional and accrued vacation (+1/3)
- Overtime
- Commissions and variable payments
- Additional premiums (e.g. night shift, hazard pay, etc.)
Key compliance point:
Employers must pay all outstanding amounts and deliver termination documents within 10 calendar days of contract end. Any delay may result in a heavier financial penalty, making timely processing more critical than ever.
Need help staying compliant?
At Serviap Global, we help companies navigate local payroll obligations with ease—whether it’s calculating mid-year bonuses, handling profit-sharing, or ensuring legal compliance across LATAM.
From EOR and payroll outsourcing to termination processing and advisory, we ensure your operations meet every labor requirement. Talk to our experts and avoid unnecessary risks.
June Payroll Compliance Checklist & FAQs (LATAM)
Before month-end, make sure you’ve covered these items across your LATAM teams:
Colombia – Prima de Servicios. Confirm eligibility (formal employees only), prorate for partial semesters, and schedule payments by June 30. Add the December tranche to your calendar now so it doesn’t slip. Most employers treat the June payment as half of one month’s salary for the semester worked (~15 days), with the second half due by December 20. Read more
Mexico – PTU (Profit Sharing). Close calculations, document the profit base, and validate employee eligibility rules. Corporations pay by May 30 and individuals with business activity by June 29. If you operate mixed entities, keep separate calendars so you don’t miss one track. Late or incomplete payments can trigger significant fines and disputes—media reports for 2025 cite fines of up to MXN 565,700 for non-compliance. Read More
Argentina – Medio Aguinaldo. Budget and approve the June 30 installment, calculated as 50% of the highest monthly salary earned in January–June. Prorate for new hires and those with salary changes. Align treasury cut-offs early due to bank delays near month-end. Read More
Brazil – 13th Salary (1st Installment). Many companies advance part of the 13th salary in mid-year planning or with vacation pay (upon written request by January), but the statutory first installment is due by November 30 and the second by December 20. If you advance in June, document employee requests and ensure reconciliation later in the year. Read More
Brazil – Termination Payments. After a contract ends, pay all outstanding amounts within 10 calendar days and deliver required documents. Recent interpretations broaden fines to cover multiple salary-related items (overtime, commissions, proportional vacation/13th, etc.), so treat terminations as urgent payroll events. Read More
Treasury & Banking. Map cross-border payment rails and bank cut-offs by country (and by currency) a week in advance. Consider prefunding to avoid last-day delays.
Data Validation. Lock HR inputs (variable pay, leave, overtime) 3–5 business days before processing. Run exception reports for hires/terminations in the last 30 days and verify local tax IDs.
Employee Comms. Send short, country-specific notices explaining what’s being paid (e.g., prima, PTU, aguinaldo), when funds will land, and who to contact for questions.
