Remote’s guide to employing in

Iceland
iceland flag

Make employment in Iceland easy. Let us handle payroll, benefits, taxes, compliance, and even stock options for your team in Iceland, all in one easy-to-use platform.

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Services available in this country:
Employer of Record ProductContractor Management
  • Capital City

    Reykjavík

  • Currency

    Icelandic krona (kr, ISK)

  • Languages

    Icelandic

  • Population size

    364,134

Services available in this country:
Employer of Record ProductContractor Management
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Grow your teamTaxesTypes of leaveEmployment Termination

Types of leave in Iceland

Employees accumulate paid time off, depending on their tenure in the same line of work.

The minimum PTO entitlement is 24 weekdays annually, compensated at a rate of 10.17% of your normal wages. With five years of experience working in the same industry, you’re entitled to 25 weekdays off, paid at 10.64% of your normal wages.

After five years of employment with an employer, you’re entitled to 27 weekdays, paid at an 11.59% rate. This increases to 30 weekdays, compensated at a 13.04% rate after 10 years of employment with the same employer.