Israel Payroll The legal, easy way to manage employees
Outsource Israeli payroll to NETO and stay 100% compliant - payslips, pension, national insurance and reporting handled for you. Built for local businesses and global companies hiring in Israel.
Compliant payslippension & insurance
One USD invoicemulti-currency
Quick answer
Israeli payroll is detailed and heavily regulated - pension, national insurance, tax, vacation, convalescence and more. NETO runs it for you under licensed manpower contractor #1565: every employee gets a fully compliant payslip, and you get one clean monthly invoice.
Local businesses cut admin and risk; global companies hire in Israel without opening an entity via our Employer of Record. Freelancers and employees are managed on the same platform.
- Fully compliant payslips for every employee, every month.
- Pension, national insurance, vacation & severance by default.
- NETO runs payroll under licensed contractor #1565, audited by the Ministry of Labor.
- Hire in Israel with no local entity via Employer of Record.
- Multi-currency payments in NIS, USD, EUR and more.
- Live in days · freelancers and employees on one platform.
Why NETO
Why companies outsource Israeli payroll
Full compliance
Licensed #1565 and audited by the Ministry of Labor - every payslip is correct and lawful.
Set up in days
Once employee data is provided, payroll is live within a few days.
Multi-currency
Pay in NIS, USD, EUR and more - ideal for international clients.
Automated & checked
Automated calculations, double-checks and experienced payroll experts prevent mistakes.
Everything a compliant payslip needs
Salary & tax
Gross-to-net, income tax withholding and accurate monthly payslips.
Pension & insurance
Pension contributions, national insurance and health tax - all by default.
Leave & benefits
Vacation, holiday and convalescence pay calculated and tracked automatically.
Freelancers too
Manage freelancers and employees on one platform.
Reporting & filings
Authority filings and clear reports - accurate, on time, audit-ready.
Termination
Severance calculation, notice and release handled in line with the law.
Who it's for
Built for local and global teams
Local businesses
Cut payroll admin and risk - from a single employee to a growing team.
Global companies
Hire in Israel with no local entity through our EOR.
NGOs & nonprofits
Accurate reporting and low administrative cost, as we already do for nonprofits.
The platform
One clear dashboard for payroll & invoicing
See total payments, active employees, invoices and compliance status at a glance - fast, clear and built for modern business. Smart invoicing, accurate payroll and full compliance in a single place.
- Live overview of payments, payslips and reports.
- Smart invoicing and accurate payroll, side by side.
- Compliance and security, always up to date.
From your team to compliant payroll · in 6 steps
Once we have your employee data, NETO sets up payroll and runs the full monthly cycle for you · or acts as the legal employer through our Employer of Record.
1
Tell us about your team
Share headcount, roles and salaries · local employees, freelancers or both.
2
Send employee data
We collect the details needed for compliant payslips and authority registration.
3
Choose your model
Standard payroll, or full Employer of Record when you have no Israeli entity.
4
Payroll goes live
Setup typically takes just a few days · then payroll runs on schedule.
5
Monthly run & payslips
Salary, tax, pension, national insurance, leave and benefits · calculated and checked.
6
Filings & one invoice
Authority filings handled, employees paid, and you get one clear monthly invoice.
DIY payroll vs a local accountant vs NETO
| What you get | DIY in-house payroll | Local accountant | NETO payroll / EOR |
|---|---|---|---|
| Legal employer of record | No (you are) | No (you are) | Optional (EOR) |
| Compliant payslips & authority filings | Manual, error-prone | Yes, billed per task | Built in |
| Pension, national insurance & severance | You track each one | Calculated, you remit | Handled by default |
| Freelancers + employees in one place | No | Rarely | Yes |
| Multi-currency payments | No | Limited | NIS/USD/EUR |
| Setup time | Weeks | Weeks | Days |
| Termination handled end-to-end | Your responsibility | Partly | Yes |
FAQ
Frequently asked questions
Is the service legal?
Yes. NETO operates under official Labor Contractor License No. 1565 and is regularly audited by the Ministry of Labor.
How long does it take to switch?
In most cases, setup takes just a few days once employee data is provided.
Do employees still receive all their benefits?
Yes. By default, every employee gets a payslip that includes pension contributions, national insurance, vacation, and holiday pay.
Does NETO also manage freelancers?
Yes - one of NETO's key advantages. Freelancers and employees can be managed on the same platform. See freelance payroll.
What about foreign currency?
NETO supports payments in NIS, USD, EUR and other currencies, making it ideal for international clients.
Is it suitable for NGOs and nonprofits?
Absolutely. NETO already works with nonprofits that require accurate reporting and low administrative costs.
How does NETO prevent mistakes?
Through automated calculations, double-checks, and supervision by experienced payroll experts.
How is this different from an accounting firm?
An accountant records and reports; NETO can be the legal employer of record and runs the whole cycle - contracts, payslips, contributions, filings and termination.
Israeli payroll, handled end to end
Israeli payroll is detailed and tightly regulated: gross-to-net salary and income tax, pension contributions, national insurance and health tax, vacation, holiday and convalescence pay, severance and authority filings. NETO runs all of it for you under licensed manpower contractor #1565, audited by the Ministry of Labor · every employee receives a fully compliant payslip and you get one clean monthly invoice. Local businesses cut admin and risk from a single hire to a growing team, while global companies hire in Israel with no local entity through our Employer of Record. Freelancers and employees live on the same platform, payments can be made in NIS, USD, EUR and more, and setup usually takes just a few days. Start with NETO to simplify Israeli payroll, or talk to us and we'll map the right model for your team.
Ready to simplify Israeli payroll?
Tell us about your team and we'll set up compliant payroll - or full EOR - in days, with one clear monthly invoice.
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