What is the security deposit for?
When you onboard an international employee through Plane, we collect a security deposit. As the Employer of Record (EOR), Plane is legally responsible for paying the employee’s salary and required payroll taxes in their country.
The security deposit helps ensure employees are paid on time if we are ever unable to collect funds from your account after multiple attempts.
This safeguard allows us to meet local payroll obligations and protect employees from payment delays.
How much is the security deposit?
The security deposit is equal to one month of the employee’s expected payroll and employer taxes.
The deposit is collected when the employee is first onboarded.
When will the deposit be refunded?
The deposit is held for the duration of the employee’s employment with your company.
Once the employee leaves the company (for example, through resignation or termination), the deposit will be refunded within 30 days after the employee’s final payroll has been processed.
Questions?
We’re here to help! You can find more of our guides here, reach out to us at support@plane.com, or use Plane's in-app chat.