Employing in Israel

Israel's innovative economy and technological advancements present significant opportunities for global businesses seeking to tap into cutting-edge markets. However, the regulatory environment in Israel is notably complex, especially concerning labor laws and employment regulations. TopSource Worldwide's Employer of Record (EOR) services in Israel offer the essential expertise required to navigate these challenges efficiently. By managing crucial HR functions such as drafting employee contracts, administering payroll, and ensuring compliance with local laws, an employer of record helps your business conform to the intricate Israeli employment landscape.

Additionally, EOR services manage benefits like health insurance and statutory days of sick leave, aspects that are critical for maintaining employee well-being and satisfaction. This comprehensive support extends over the years of employment, providing consistent guidance and updates to adapt to regulatory changes. By entrusting these responsibilities to an experienced EOR, your company can focus more on strategic goals and core operations, maximising the potential benefits of operating in such a dynamic market.

Contents

Our Expertise

Managing a global workforce in Israel

TopSource Worldwide combines local knowledge with global expertise to ensure your business meets Israeli employment regulations while optimizing workforce management for maximum productivity and compliance.

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Extensive expertise

Our team of experienced, knowledgeable staff collectively provide up-to-date employment information across 180 countries, so you can always get accurate advice.

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Entity-free employment

Feel free to hire employees from all over the world without being weighed down by setting up entities, running complex payroll or recruiting a hiring team.

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Payroll without hassle

Have the confidence that your staff will always be paid accurately and on time, so that you can focus on your core business activities and work towards your success. 

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Always-on support

Access helpful, relevant, personalised advice whenever you need it, along with expert-led recruitment policies and tried-and-tested HR best practices.

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Global Employee Cost Calculator

Estimate the cost of your new hire with our calculator. Simply enter their location and salary information in to this handy tool to see what will be spent in employment costs each month.

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TESTIMONIALS

Hear from our clients about our EOR solutions in Israel

"With TopSource we were able to have employees hired or maintained in Nutreco without having to establish an entity in these countries for only 1-2 employees. I think most countries are covered by TopSource, so they can help us with almost all cases. Good advice on conditions and direct contact with employees. Invoicing done directly to the company. An easy process compared to hiring employees by ourselves."

Annette van Duijnhoven

Nutreco

”We searched the market for a local payroll vendor in 2014 and we chose TopSource as our partner. We were looking for error-free and timely payroll processing and TopSource Worldwide delivers this, saving us time and money. We have worked together for 8 years now and would recommend them to anyone."

Praveen Lihinar

Sungard

”TopSource Worldwide has a detailed and methodical onboarding process that made it easy for us to get set up and running with our UK employees. They were able to take the worry out of trying to comply with all local laws and regulations. Because they have this knowledge we do not have to research on our own and hope we are in compliance. This has saved us hours of time and gives both the company and employees a sense of security."

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Client based in Ft Worth, Texas, USA
GLOBAL EXPANSION STRATEGY

Personalised Employer of Record services in Israel

TopSource Worldwide offers personalised Employer of Record (EOR) services tailored to meet the specific needs of your business in Israel. This includes handling employee onboarding, payroll processing, tax compliance, employee benefits management, and HR support. Our EOR services ensure that your business meets all legal and regulatory requirements, providing a hassle-free solution to manage your Israel-based employees.

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End-to-end Israel payroll services

Looking to expand into Israel? Our unparalleled expertise in global payroll services ensures that your business can seamlessly navigate the complexities of payroll on a global scale, supporting your [Israel expansion initiatives.

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Global entity management

Venturing into the Israeli market can be both exciting and challenging. With distinct business regulations, cultural nuances, and economic landscapes, it's essential to have a clear roadmap for your business establishment journey.

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Accounting

Whether your goal is to process your purchase-to-pay transactions with minimum errors or manage your expense claim procedure, our team of experts can handle your accounting responsibilities, allowing you to focus on your core business and save time and money.

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Global EOR services

Managing a diverse global workforce can be complex. This is where TopSource steps in as an invaluable employer of record services partner for companies seeking to expand their global reach while ensuring compliance with local employment laws and regulations.

Global Expansion Simplified

How to do business in Israel

Entering the Israeli market presents a mix of excitement and challenges. Given unique business regulations, cultural intricacies, and economic dynamics, a well-defined roadmap is crucial for a successful business establishment.

TopSource Worldwide is with you at every stage. Whether it's navigating local regulations or facilitating seamless operational transitions, our expertise ensures a swift and efficient process for establishing your business in Israel.

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Israel Insights

Key insights into Israel's landscape

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VAT rates: Israel currently has a standard VAT rate of 17%, applied to most goods and services.

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Ease of Doing Business rank: Israel is highly ranked for ease of doing business, reflecting its strong entrepreneurial culture and streamlined business processes.

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Consumer Confidence Index: The Consumer Confidence Index in Israel typically shows resilience, mirroring the robust nature of its economy.

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Employee maternity/paternity leave: Maternity leave in Israel is up to 15 weeks paid, and the country has recently implemented paternity leave to encourage parental involvement.

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Employee termination period: Termination notice periods in Israel vary but generally require up to one month's notice, depending on the duration of employment.

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Employee salary pay date: In Israel, it is common practice for salaries to be paid either monthly or bimonthly, as agreed upon in the employment contract.

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Bank holidays: Israel observes numerous public and religious holidays, which can significantly impact business operations and scheduling.

Employ and pay anywhere

Specialising in multi-country payroll solutions

TopSource Worldwide offers comprehensive payroll outsourcing services, ensuring seamless and accurate management of your organisation's payroll functions. With cutting-edge technology and a team of experienced professionals, we handle payroll processing, tax compliance, and regulatory requirements with precision.

Calculate Your Employer of Record Taxes in Seconds

Employment Cost Calculator in Israel

Our Employment Cost Calculator simplifies complex tax calculations for global businesses. Accurately assess tax obligations, ensuring compliance with local regulations. Streamline payroll management effortlessly with our user-friendly tool, providing transparency and efficiency in international workforce taxation.

In addition to calculating your EOR taxes, our calculator can also help you:

  • Understand the different types of EOR taxes
  • Stay up-to-date on the latest changes to EOR tax regulations
  • Avoid penalties for non-compliance
Our author

Mark Robbins

Global Sales Director

Mark is the Sales Director at Topsource Worldwide. He has been a pioneering figure in the global expansion space since 2013. He is the first salesperson to sell EOR services in Europe, a feat he accomplished in 2013. 

Published 2023-11-14 00:00:00

Updated 2023-11-15 00:00:00

Adrian Cooney

Reviewed by:

Adrian Cooney

Adrian Cooney

Fact checked by:

Adrian Cooney

Employer of Record FAQ

Frequently Asked Questions about Israeli employment solutions

What is an Employer of Record in Israel?

An Employer of Record (EOR) is a professional services provider that assumes the responsibility of being the legal employer for a company's workforce in Israel. This entails managing tasks such as payroll processing, tax withholding, benefits administration, and ensuring compliance with local labour laws and regulations.

How do global employment services work?

Global employment services operate as a comprehensive solution for businesses seeking to expand their workforce across borders. These services, often provided by Employer of Record (EOR) companies like TopSource Worldwide, streamline the complexities of international employment.

What are the benefits of working with an Employer of Record in Israel?

Employer of Record companies assume the legal responsibilities associated with employment, alleviating the burden of compliance, payroll, and HR management in Israel. This allows companies to expand globally without the complexities of establishing legal entities in each location.

What is the difference between EOR & PEO?

An EOR acts as the legal employer, handling tasks like payroll, tax compliance, and benefits administration. This allows companies to expand internationally without establishing legal entities. On the other hand, a PEO shares employer responsibilities with the client company, often co-employing workers.

How are employer payroll taxes calculated in Israel?

Calculating employer payroll taxes involves understanding the various taxes associated with employing workers and complying with tax regulations in Israel. Key components include federal and state income taxes, Social Security, Medicare, and unemployment taxes.

What global employment solutions does TopSource offer?

TopSource Worldwide facilitates hassle-free global expansion by acting as the legal employer, handling payroll, tax obligations, and HR responsibilities. With expertise in global entity management, TopSource assists businesses in navigating the intricacies of legal structures across borders.

Let's get started

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