EOR by country · United States
Hiring in Vietnam from the United States.
How US companies employ people in Vietnam without an entity: tax, payments, time zone, staff and cost.
Updated 22 October 2026 · Written and checked by Nhân Kiệt's payroll and employment-law team (labour leasing licence 029/LĐTBXH-GP, employing people in Vietnam since 2009) · About 5 min read · General information, not legal or tax advice
Short answer
How can a US company hire employees in Vietnam?
A US company can employ people in Vietnam without a Vietnamese entity by using an employer of record such as Nhân Kiệt, which signs the labour contract, runs payroll in dong, pays social insurance and income tax, and charges US$99–199 per employee a month plus VAT. Three things differ for US companies. First, the US–Vietnam tax treaty signed in 2015 has never entered into force, so your exposure to Vietnamese tax is judged under Vietnamese law alone. Second, there is no at-will employment in Vietnam: contracts end only on lawful grounds with notice. Third, Vietnam is 11 to 15 hours ahead of US time zones, so teams plan a daily overlap. US companies most often hire software engineers, QA, designers and customer-support staff this way.
Key takeaways
- No Vietnamese entity needed: Nhân Kiệt employs your team for US$99–199 per employee a month plus VAT.
- The 2015 US–Vietnam tax treaty is not in force, so no treaty relief applies.
- No at-will employment: contracts end on lawful grounds with at least 45 days’ notice for indefinite terms.
- Vietnam is 11 to 15 hours ahead of US time zones.
- US accounts payable usually asks a foreign vendor for Form W-8BEN-E, not a W-9.
How it works
Hiring in Vietnam from the US through an EOR.
Your company in the US signs one service agreement with Nhân Kiệt. Nhân Kiệt signs a bilingual Vietnamese–English labour contract with each person, runs payroll in dong, pays social insurance and personal income tax, and applies for work permits for foreign hires. You choose the people, set salaries and direct their daily work, and pay one monthly invoice covering salary, statutory contributions and the service fee. Nothing is registered in Vietnam in your company’s name.
Tax
Tax treaty and tax exposure.
The United States and Vietnam signed an income tax treaty in 2015 and Vietnam ratified it in 2017, but it has not entered into force, so neither side can rely on it. Whether your company has a taxable presence in Vietnam is therefore judged under Vietnamese law alone, without a treaty’s permanent establishment test: keep contract signing and pricing in the US and let your Vietnam staff support rather than close sales. Employees resident in Vietnam pay Vietnamese income tax at 5% to 35%, withheld monthly by Nhân Kiệt. US citizens working in Vietnam rely on the US foreign tax credit or the foreign earned income exclusion rather than on treaty relief.
Paying
Paying from the US.
Nhân Kiệt sends one invoice a month covering salary, statutory contributions and the fee, and US clients usually pay by international wire. Because the service is provided by a Vietnamese company outside the US, your accounts-payable team will normally ask for Form W-8BEN-E rather than a W-9. Employees are paid in dong in Vietnam.
Working together
Time zone and holidays.
Vietnam is 11 hours ahead of New York during US daylight saving time and 12 hours in winter, and 14 or 15 hours ahead of California. The US afternoon is the start of the Vietnamese working day, so many teams hold a short daily overlap in the US late afternoon. Thanksgiving and Christmas are working days in Vietnam; the main break is Tết, five days from 16 to 20 February in 2026.
People
Staff, contracts and work permits.
US-style offer letters do not replace a Vietnamese labour contract, and employment cannot end at will: the employer needs a lawful ground and at least 45 days’ notice on an indefinite-term contract. Employees get 12 working days of annual leave and 12 paid public holidays in 2026. To send a US manager to Vietnam, Nhân Kiệt applies for the work permit as employer; US degrees and records need consular legalisation and a certified Vietnamese translation.
See also social insurance 2026, personal income tax 2026 and work permits.
Worked example
What one hire costs.
A senior software engineer on ₫50,000,000 a month. Employer contributions for a Vietnamese employee are 23.5% — 21.5% social, health and unemployment insurance plus the 2% trade-union fee — or ₫11,750,000, so the monthly employment cost is ₫61,750,000. Add Nhân Kiệt’s fee of US$99–199 plus VAT. The salary is illustrative; use the employer cost calculator for your own figures.
Common mistakes
Mistakes US companies make in Vietnam.
- Assuming at-will termination, then ending a contract without a lawful ground or notice.
- Relying on the 2015 treaty, which is not in force, when planning tax exposure.
- Paying people as contractors when the work looks like employment under Vietnam’s Labour Code.
- Copying home-country contracts and policies instead of a Vietnamese labour contract.
- Letting Vietnam staff conclude sales contracts, which can create a permanent establishment.
Questions
Hiring in Vietnam from the US: FAQ
Is there a tax treaty between the US and Vietnam?
A treaty was signed in 2015 and ratified by Vietnam in 2017, but it has not entered into force, so no treaty relief applies.
Can a US company fire an employee in Vietnam at will?
No. The employer needs a lawful ground under the Labour Code and must give notice — at least 45 days on an indefinite-term contract.
Which tax form do we need for Nhân Kiệt?
US companies usually request Form W-8BEN-E from a foreign vendor providing services outside the US.
What time difference should a US team plan for?
Vietnam is 11 to 15 hours ahead of US time zones, so the US afternoon overlaps the start of the Vietnamese day.
Does a US company need a Vietnamese entity to hire in Vietnam?
No. Nhân Kiệt employs your staff in Vietnam under one service agreement with your company.
How much does it cost a US company to employ someone in Vietnam?
Salary, employer contributions of about 23.5% for a Vietnamese employee, and Nhân Kiệt’s fee of US$99–199 per employee a month plus VAT.
How quickly can we hire in Vietnam?
A Vietnamese national can start once the service agreement and labour contract are signed; a foreign hire typically takes four to eight weeks for the work permit.
Hiring in Vietnam? We handle all of this as your employer.
Nhân Kiệt employs your team, runs payroll, insurance, tax and work permits. Fee: US$99–199 per employee a month, plus VAT.
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