Payroll in Luxembourg

Hiring the first employee turns a Luxembourg company into an employer with monthly duties: it registers with the social security system, calculates gross to net pay, withholds wage tax and pays social contributions for each person on the payroll. Employees who live across the border in France, Belgium or Germany are common, so a foreign-owned company may deal with cross-border staff from the first hire, and the questions of where they are insured and taxed come up early. Some sectors are also covered by collective agreements that set pay scales and working conditions.

Firms offering payroll in Luxembourg

OLISTONE

Accounting firm · Boutique firm

Steinsel

  • Company formation
  • Accounting and bookkeeping
  • Tax compliance
  • +6 more

Languages: English · French

View profile of OLISTONE

56 more firms offering payroll in Luxembourg

Choosing a payroll provider in Luxembourg

Ask whether the firm registers the company as an employer and handles the declarations to the social security bodies each month. Ask how it treats staff who live in a neighbouring country or work part of the week from home there, and whether it checks which country’s social security applies to them. If a director is paid from Luxembourg while living abroad, ask how that pay is reported. Find out the monthly deadline for changes, how payslips reach employees, and whether the fee is per payslip or fixed.

Payroll firms on Accountanty

Eighty firms on Accountanty run payroll in Luxembourg: 58 accounting firms and 22 corporate service providers, mostly small practices, with 13 medium-sized and nine in large networks. Sixty-two work in English, 58 in French and 24 in German. Fifty-nine are based in Luxembourg City, and all three firms in Strassen offer it. For staff moving from outside the EU, see residency and visas in Luxembourg.

Frequently asked questions

Can a Luxembourg payroll provider handle staff living in France, Belgium or Germany?

Most payroll firms in Luxembourg are used to cross-border employees. Ask each one how it decides where a worker is insured and taxed, especially when that person spends some days working from home across the border.

What does a payroll firm in Luxembourg need for a new hire?

Usually the signed contract, identity documents, the employee's tax and social security details, bank details and the start date. Send them before the monthly cut-off so the first payslip and registration are on time.

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General information, not legal or tax advice. Rules, rates and fees change: check them with the official sources linked on this page or with a qualified adviser before you act.