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Profit sharing with staff is mandatory

Last verified: 2026-10-26 · Status: Stable

Abroad, bonuses and profit sharing are voluntary; in Chile profit making businesses that keep accounts must pay staff a legal gratificación every year. The employer either shares at least 30 percent of tax based net profit, or pays each worker 25 percent of yearly pay capped at 4.75 minimum monthly incomes, whatever the profit. With the minimum income at CLP 553,553 from 1 May 2026, the cap is CLP 2,629,377 a year per worker, about US$2,665.

USD figures use the Central Bank exchange rate of CLP 986.58 per US dollar published in the Diario Oficial for 23 October 2026 (CVE 2891564). UF amounts use the SII value of CLP 41,221.08 for 26 October 2026 and UTM amounts the SII value of CLP 72,151 for October 2026. Conversions are for orientation only.

Key facts

Legal gratificación cap per worker (art. 50 route)	4.75 minimum monthly incomes a yearCódigo del Trabajo, art. 50, as of 2026-10-26 · in force
Legal gratificación cap per worker, amount	2629377 CLP a yearCódigo del Trabajo, art. 50; Ley Nº 21.830, art. 1, as of 2026-10-26 · in force
Minimum share of net profit (art. 47 route)	30 %Código del Trabajo, art. 47, as of 2026-10-26 · in force
Minimum monthly income (18 to 65 years)	553553 CLPLey Nº 21.830, art. 1, as of 2026-05-01 · in force

The rule

1. Mining, industrial, commercial or agricultural establishments, companies and any others that seek profit, and cooperatives, that must keep accounting books and earn net profits must give their workers an annual gratificación of not less than 30 percent of those profits, shared in proportion to each worker's pay in the year. Profit is the SII tax liquidation using normal depreciation without deducting past losses, less 10 percent of the employer's own capital; advances are paid on the basis of the filed tax return.
Cost to do it: At least 30 percent of tax based net profit after a 10 percent return on equity.
Example: A subsidiary with tax profit of CLP 500,000,000 and own capital of CLP 1,000,000,000 has net profit for this purpose of CLP 400,000,000, and must share at least CLP 120,000,000 among staff under art. 47. / About US$121,632 on profit of about US$405,441.DFL Nº 1 of 2002, Código del Trabajo, Art. 46, art. 47 and art. 48, 2003-01-16 official text · verified 2026-10-26

2. An employer that pays its workers 25 percent of their monthly pay earned in the financial year is released from the art. 47 obligation, whatever its net profit. In that case each worker's gratificación cannot exceed 4.75 minimum monthly incomes. Workers with less than a year receive it in proportion to months worked, and any other pay agreed as a share of profits is deducted.
Cost to do it: Up to CLP 2,629,377 a year per worker, about US$2,665.
Example: An engineer earning CLP 3,000,000 a month would get 25 percent of CLP 36,000,000, but the cap limits it to CLP 2,629,377 a year, commonly paid as CLP 219,115 a month. / About US$2,665 a year or US$222 a month.DFL Nº 1 of 2002, Código del Trabajo, Art. 50, art. 51 and art. 52, 2003-01-16 official text · verified 2026-10-26

3. From 1 May 2026 the minimum monthly income for workers from 18 to 65 years is CLP 553,553; it will be readjusted from 1 January 2027 by CPI between 1 May and 31 December 2026.
Cost to do it: Sets the gratificación cap base.
Example: Cap: 4.75 times CLP 553,553 = CLP 2,629,377. Workers earning less than CLP 876,459 a month receive the full 25 percent rather than the cap. / The break even monthly salary is about US$888.Ley Nº 21.830, Art. 1, 2026-05-01 official text · verified 2026-10-26 · changed: Ley Nº 21.830 raised the minimum monthly income to CLP 553,553 from 1 May 2026, lifting the art. 50 cap.

Monthly salary (CLP)	Annual gratificación (CLP)	Annual (US$)
553,553	1,660,659	1,683
800,000	2,400,000	2,433
1,500,000	2,629,377	2,665
3,000,000	2,629,377	2,665

Art. 50 gratificación by monthly salary (minimum income CLP 553,553; CLP at 986.58 per US dollar).

Worked example

A company with 20 staff all earning above CLP 876,459 a month pays 20 times CLP 2,629,377: CLP 52,587,535 a year, about US$53,303, regardless of profit.

Step by step

Choose the art. 47 or art. 50 method and state it in contracts.
Budget monthly advances of one twelfth of the cap.
Reconcile at year end with the tax return if using art. 47.
Update the cap when the minimum income changes.

Common traps

The art. 50 route is due even in a loss year, and art. 47 is due on Chilean tax profit even if the group made a loss.
Discretionary bonuses are not deducted unless expressly charged to profits.
The cap moves with each minimum wage law, including the CPI readjustment from 1 January 2027.

Sources

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