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Thirteen salaries, 20 days of leave and a vacation bonus

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

Budgets built on twelve monthly salaries undercount Uruguayan payroll: every private employer pays a 13th salary (aguinaldo) equal to one twelfth of the year's remuneration. Every worker also earns at least 20 days of paid annual leave, plus one extra day per four years after five years of service, to be taken in one continuous block. On top of leave pay, a vacation bonus (salario vacacional) of at least 100 percent of net leave pay is paid before the leave starts.

USD figures use UYU 40.210 per US dollar, the BCU quotation for DLS. USA BILLETE on 27 October 2026; UI amounts use UYU 6.6803 per UI (BCU, 28 October 2026), except cash limits, which the law converts at the first day of the month: UYU 6.6516 per UI on 1 October 2026 (BCU). Retrieved from the BCU quotations service on 2026-10-28; conversions are for orientation only.

Key facts

13th salary (aguinaldo)	1/12 of annual pay ratioLey 12.840 art. 1 and 2, as of 2026-10-28 · in force
Fine for not paying the aguinaldo	2 times the amount owedLey 12.840 art. 7, as of 2026-10-28 · in force
Minimum paid annual leave	20 daysLey 12.590 art. 1, as of 2026-10-28 · in force
Extra leave day per four years after five years of service	1 dayLey 12.590 art. 2, as of 2026-10-28 · in force
Vacation bonus (salario vacacional), minimum	100 % of net leave payLey 16.101 art. 4, as of 2026-10-28 · in force

The rule

1. The aguinaldo is one twelfth of the year's pay. Every private employer and non state public person must pay a sueldo anual complementario within the ten days before 24 December, equal to one twelfth of all salaries paid in the twelve months before 1 December. All cash payments with a remunerative nature count; profit shares and the aguinaldo itself do not. When employment ends by resignation, retirement or dismissal (other than for serious misconduct) the proportional amount is due at that time, on top of any indemnity. Employers who breach the law are fined double the aguinaldo owed per worker.
Cost to do it: About 8.3 percent of annual pay, before employer social security contributions; fine for non payment equal to twice the amount owed.
Example: A worker paid UYU 80,000 every month from December 2025 to November 2026 receives an aguinaldo of UYU 80,000 between 14 and 23 December 2026. / About US$1,990; non payment would expose the employer to a fine of about US$3,979 for that worker.Ley Nº 12.840 (aguinaldo for the private sector), art. 1, 2, 3 and 7, 1960-12-22 official text · verified 2026-10-28

2. At least 20 days of paid leave, taken in one block. All private sector workers are entitled to a minimum of 20 days of paid annual leave, taken in a single continuous period excluding public holidays. Collective agreements may allow splitting into two periods (the shorter at least ten days). Workers with more than five years in the same company get one additional day for every four years of seniority. Leave pay for monthly workers is one thirtieth of the monthly salary per day, and unused leave is paid out on termination for any reason.
Cost to do it: Twenty days of pay without work each year, rising with seniority.
Example: A worker on UYU 80,000 a month earns UYU 53,333 of leave pay for 20 days (80,000 / 30 x 20). / About US$1,326.Ley Nº 12.590 (annual leave in the private sector), art. 1, 2, 9 and 10, 1958-12-23 official text · verified 2026-10-28

3. A vacation bonus of at least 100 percent of net leave pay. All private sector workers receive from their employer a sum for the better enjoyment of annual leave, at least equal to 100 percent of the net daily leave pay, paid before the leave starts and in proportion to the days of leave.
Cost to do it: The net amount of the leave pay, a second time.
Example: For the worker above, the bonus equals the UYU 53,333 leave pay net of the worker's own contributions and withholdings, paid before the leave begins. / Somewhat less than US$1,326, depending on the worker's deductions.Ley Nº 16.101, art. 4 and 5, 1989-11-10 official text · verified 2026-10-28

4. Overtime raises leave pay and the bonus. Overtime worked in the calendar year that generates the leave is averaged and included when computing leave pay and the vacation bonus, at the overtime rate in force when they are paid.
Cost to do it: Higher leave pay and bonus for workers with regular overtime.
Example: A worker who averaged UYU 4,000 of overtime a month sees that average built into leave pay and the bonus. / About US$99 a month of overtime flows into both items.Ley Nº 15.996 (overtime), art. 4, 1988-11-17 official text · verified 2026-10-28

Item	UYU	USD	Rule
12 monthly salaries	960,000	23,875	Contract
Aguinaldo	80,000	1,990	Ley 12.840 art. 2
Vacation bonus (net leave pay, below gross 53,333)	up to 53,333	up to 1,326	Ley 16.101 art. 4
Total before contributions	up to 1,093,333	up to 27,191

Annual cost of a UYU 80,000 monthly salary before social security

Worked example

A foreign company hiring an analyst at UYU 80,000 (US$1,990) a month should budget about UYU 1,093,333 (US$27,191) a year before employer social security contributions, not UYU 960,000: twelve salaries, the aguinaldo and the vacation bonus, while 20 working days are paid as leave.
If the analyst resigns on 31 May 2027, the employer pays the proportional aguinaldo for December to May (six months of pay / 12, UYU 40,000 or US$995) plus any unused leave and its bonus.

Step by step

Accrue one twelfth of every payroll item for the aguinaldo each month.
Pay the aguinaldo between 14 and 23 December, unless an annual decree sets other payment dates for the year.
Schedule each worker's 20 days of leave in one block and pay the vacation bonus before the leave starts.
On any exit, include the proportional aguinaldo, unused leave pay and the vacation bonus in the final settlement.

Common traps

Excluding variable pay, commissions or overtime from the aguinaldo base: all remunerative cash payments count (Ley 12.840 art. 2).
Paying the vacation bonus after the leave: it must be paid before the leave begins (Ley 16.101 art. 5).
Splitting leave into short breaks without a collective agreement authorising it (Ley 12.590 art. 1).
Forgetting the extra seniority days for long serving staff (Ley 12.590 art. 2).

Sources

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