Grow Your Workforce in Panama

Income Tax in Panama

Panama has a progressive income tax with rates between 0% to 25%.

Social Security in Panama

In Panama, both employers and employees are required to contribute to the social security system.

Employer Contributions

• Employers in Panama contribute 12.25% of the employee's gross salary towards social security. This covers:
• Social Insurance: 12.25%
• Educational Tax: 1.5%
• Professional Risk: 0.98%

Employee Contributions

• Employees contribute 9.75% of their gross salary towards social security. This includes:
• Social Insurance: 9.75%
• Educational Tax: 1.25%
• Professional Risk: 0.98%

Work Visas in Panama

Here are the main work visas available in Panama:

Professional Employment Visa

• For foreigners with specific job offers from Panamanian companies. Requires proof of qualifications and experience.

Digital Nomad Visa

• Designed for remote workers who do not have a fixed address in Panama. Applicants must provide proof of income and health insurance.

Highly Skilled Worker Permit

• For professionals with a bachelor’s or postgraduate degree. This visa is exempt from quotas and local sponsorship requirements.

Business Investor Visa

• For foreign investors looking to establish a business in Panama.