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Countries › Paraguay › Guide › 16. What is normal abroad but not here › Thirteenth salary (aguinaldo) and vacation by seniority

Thirteenth salary (aguinaldo) and vacation by seniority

Last verified: 2026-10-28 · Status: Stable

Abroad, many workers are paid twelve salaries a year and vacation is set by contract. In Paraguay, every worker earns an aguinaldo of one twelfth of all pay in the calendar year, due before 31 December or on exit. Paid leave grows from 12 to 30 business days with seniority, and late or unpaid vacation costs double.

USD figures use PYG 5,868.31 per US dollar, the Banco Central del Paraguay reference quotation for 28 October 2026 (planilla de cotizaciones). Conversions are for orientation only.

Key facts

Aguinaldo as a fraction of annual remuneration1/12 fractionCódigo del Trabajo art. 243, as of 1993-06-29 · in force
Minimum paid annual leave (up to five years of service)12 business daysCódigo del Trabajo art. 218 (Ley 496/1995), as of 1995-08-22 · in force
Paid annual leave beyond ten years of service30 business daysCódigo del Trabajo art. 218 (Ley 496/1995), as of 1995-08-22 · in force
Minimum wage, monthly, from 1 July 20263044000 PYGDecreto 6225/2026; Res. MTESS 670/2026, as of 2026-07-01 · in force
BCP reference rate, PYG per US dollar, 28 October 20265868.31 PYGBCP planilla de cotizaciones, as of 2026-10-28 · in force

The rule

1. A 13th salary for everyone. The aguinaldo equals one twelfth of all remuneration accrued in the calendar year (salary, overtime, commissions and other items) and is paid before 31 December, or when the job ends if earlier. On resignation or dismissal the worker receives the proportional aguinaldo on top of any indemnity. The aguinaldo cannot be garnished.
Cost to do it: About 8.3 percent of annual pay, on top of salary.
Example: A worker paid PYG 10,000,000 every month of 2026 receives an aguinaldo of PYG 10,000,000; at the minimum wage of PYG 3,044,000 it is PYG 3,044,000. / About US$1,704, or about US$519 at the minimum wage.Ley Nº 213/1993, Código del Trabajo (promulgated 29 June 1993), art. 243, 244 and 245 (not amended by Ley 496/1995), 1993-06-29 official text · verified 2026-10-28
2. Vacation by seniority. After each year of continuous service the worker is entitled to paid leave of at least 12 business days up to five years of service, 18 business days from five to ten years and 30 business days beyond ten years, starting on a Monday. The employer sets the dates within six months after the right arises, with 15 days of written notice, and pays in advance.
Cost to do it: Leave grows from 12 to 30 business days.
Example: For a worker paid PYG 10,000,000 a month, 12 days of leave at the daily rate of PYG 333,333 is worth about PYG 4,000,000. / About US$682.Ley Nº 213/1993, Código del Trabajo; art. 218 as reworded by Ley Nº 496/1995 (promulgated 22 August 1995), art. 218 (text given by Ley 496/1995); art. 220 and 222, 1995-08-22 official text · verified 2026-10-28
3. Late or unpaid vacation costs double. Vacation granted after the deadline must be paid double, without losing the rest. Vacation earned but not taken when the contract ends is paid in cash on the current salary, and double if the end is a dismissal after the period to take it. Vacation is not cumulative, except for two years at the worker's request. The employer must keep a register of hiring dates and vacations; without it, vacation is presumed not granted.
Cost to do it: Double pay for late or unpaid vacation on dismissal.
Example: Late vacation of 12 days for a worker paid PYG 10,000,000 a month costs PYG 8,000,000 instead of PYG 4,000,000. / About US$1,363 instead of US$682.Ley Nº 213/1993, Código del Trabajo, art. 221, 223, 224 and 226, 1993-06-29 official text · verified 2026-10-28
ServiceMinimum leave
Up to 5 years12 business days
More than 5 to 10 years18 business days
More than 10 years30 business days

Vacation by seniority (Código del Trabajo art. 218, Ley 496/1995)

Worked example

  • A team of 10 at PYG 10,000,000 (US$1,704) a month costs PYG 1,300,000,000 a year in salary plus aguinaldo, not PYG 1,200,000,000: budget 13 payments, before social security.

Step by step

  1. Accrue one twelfth of every payment each month for the aguinaldo.
  2. Pay the aguinaldo before 31 December, or with the final settlement.
  3. Schedule vacation within six months of the anniversary and notify it in writing 15 days ahead.
  4. Keep the vacation register required by art. 226.

Common traps

  • Leaving overtime and commissions out of the aguinaldo base: it covers all remuneration (art. 243).
  • Reading art. 218 in the 1993 text, which said calendar days: Ley 496/1995 changed it to business days.
  • Letting vacation lapse: late vacation is paid double (art. 223).

Sources

Related pages

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