Payroll Services in Latvia for International Employers
Confidentum administers payroll in Latvia for foreign-owned companies, subsidiaries and branches of international groups. We calculate salaries, personal income tax and state social insurance contributions, issue payslips, file employer reports with the State Revenue Service (VID) and provide payroll journals mapped to your group ledger.
Overview
Payroll is where local rules and international employment arrangements meet. We run Latvian payroll accurately and confidentially, and we help you handle the cross-border cases that standard payroll bureaus avoid.
Who this service is for
- Latvian subsidiaries and branches with local employees
- International groups hiring their first employees in Latvia
- Employers with cross-border or remote workers
- Companies with board members or executives paid from abroad
What is included
Monthly payroll calculation
Gross-to-net calculation including personal income tax, state social insurance contributions, benefits and deductions.
Payslips and payment files
We email each employee their payslip, so you don't have to, and prepare bank payment files ready for your approval.
Employer reporting
Monthly and annual employer reports to the State Revenue Service, submitted on time.
Employee registration and changes
Registration of new employees, terminations, leave, sick pay and other changes in employment status.
Cross-border employment
Support on social security coordination, A1 certificates and the tax treatment of internationally mobile employees.
Group payroll reporting
Payroll journals and headcount reports mapped to your group chart of accounts and cost centres.
How we work
Payroll set-up
Employee data, contracts, pay elements and approval workflow are documented.
Monthly input
You send changes through an agreed channel by a fixed cut-off date.
Calculation and approval
We calculate payroll and send a summary for your approval before payment.
Filing and reporting
Reports are filed with the authorities and payroll journals are delivered for the ledger.
Why Confidentum
- Experience with the payroll questions international employers actually face
- Strict confidentiality for salary data
- Payroll summaries and support in English
- Payroll integrated with your accounting and group reporting
Related case studies
Payroll Services: frequently asked questions
Can a foreign company employ staff in Latvia without a local entity?
Yes. A foreign company can register as an employer in Latvia without setting up a Latvian SIA. This raises employer registration, payroll withholding and possible permanent establishment questions, which we assess case by case.
Which payroll taxes apply to employees in Latvia?
Employees in Latvia are generally subject to personal income tax and state mandatory social insurance contributions, with contributions paid by both the employee and the employer. If an employee is tax resident in another country, personal income tax may depend on a double tax treaty, and a certificate of tax residence is needed. Rates change from time to time, so we always apply the rules in force.
Do you handle A1 certificates and posted workers?
Yes. We help determine which country’s social security rules apply to internationally mobile employees and support the related applications and payroll treatment.
Discuss your Latvian accounting, tax or VAT requirements
Tell us about your structure and obligations in Latvia. An experienced specialist will review your situation and recommend the right scope.