Colombia (CO)

Colombia offers expats an extraordinary combination of year-round spring climate (especially in Medellín), very affordable living, rich culture, improving safety, and one of Latin America's most welcoming visa systems.

Capital: Bogotá

Region: Americas

Language: Spanish

Currency: COP ($)

Cost of living: Very affordable (index 30)

Emergency: 123

Social Security in Colombia

Benefits, contributions, and how the system works for expats.

Colombia's social security system (Sistema de Seguridad Social Integral — Ley 100/1993) covers four pillars: (1) salud (health — EPS), (2) pensión (retirement — Colpensiones or AFP), (3) riesgos laborales (work accidents — ARL), and (4) cesantías (severance savings). All formal employees are mandatorily enrolled. Self-employed must self-enroll. The Reforma Pensional (Law 2381/2024) significantly changed the pension pillar from 2025–2026 by requiring all workers earning ≤ 2.3 SMMLV to contribute exclusively to Colpensiones. Colombia also has robust social assistance programmes (Familias en Acción, Colombia Mayor, Ingreso Solidario) for the poor. Expats on formal employment contracts have identical rights to Colombian nationals across all four pillars.

Cédula de Extranjería / NIT

Número de Identificación Tributaria / Cédula de Extranjería

Employees: your Cédula de Extranjería (CE) number from Migración Colombia is your social security identification. Also register for a NIT (Número de Identificación Tributaria) via DIAN — the RUT document doubles as this. Self-employed: register with DIAN using your CE to get your NIT/RUT. Your employer uses your CE/NIT to register you with the PILA system (Planilla Integrada de Liquidación de Aportes) for all social security contributions.

Used for

EPS (health insurance) enrollment and card
AFP or Colpensiones pension registration
ARL (work accident insurance) registration
Cesantías account at chosen AFP/Fondo
Caja de Compensación Familiar (CCF) registration
DIAN tax filing
Bank account opening
Property purchase and contracts
Driving licence

Benefits & Support Payments

Unemployment Benefit — Mecanismo de Protección al Cesante

Mecanismo de Protección al Cesante (MPC)

Monthly payments from the Caja de Compensación Familiar (CCF). Value: approximately COP $400,000–600,000/month for the duration of the benefit.

Monthly payments and contributions to health insurance for workers who are involuntarily dismissed. Limited in scope compared to European unemployment insurance.

Eligibility

Formally employed workers involuntarily dismissed who have contributed to a CCF for at least 1 year. Must register with the CCF and with the SENA (public employment service) within 30 days of dismissal.

How to Apply

Register at your CCF (Cafam, Compensar, Colsubsidio) within 30 days of dismissal. Show carta de despido (dismissal letter) and proof of CCF contributions. Must complete job-search activities and SENA registration to maintain payments.

This is NOT equivalent to European unemployment insurance. Most Colombians rely on their cesantías (severance) for income between jobs. Duration of MPC benefit: 6 months maximum. Expats on work visas: technically eligible but loss of formal employment requires visa re-assessment via Migración Colombia.

Cesantías (Mandatory Severance Fund)

Fondo de Cesantías

1 month salary per year of service. Annual interest: minimum 12% on balance. Example: 2 years at COP $4,000,000/month = COP $8,000,000 base + interest.

Employer deposits 1 month's salary per year of service into the employee's chosen cesantías fund (AFP: Porvenir, Protección, Old Mutual; or Fondo Nacional del Ahorro for state workers). Annual interest guaranteed at minimum 12%/year paid by employer by February 15 each year.

Eligibility

All formal employees with any employer. Self-employed: not obligatory but can contribute voluntarily.

How to Apply

Automatic — employer registers you with their chosen fondo at hiring. You can choose/change fund by submitting Formulario de Traslado to HR. Access (retiro parcial): approved uses include housing purchase/improvement, education, and marriage. Full access: on termination of employment.

Never withdraw cesantías for non-approved purposes — you lose the 12% interest from the year of partial withdrawal. On leaving Colombia permanently, you can request full withdrawal. Partial withdrawal for approved purposes does NOT affect the interest for remaining years.

Prima de Servicios (Mandatory Half-Year Bonus)

Prima de Servicios

15 days salary × 2 per year = 1 month's full salary in total bonus annually (paid in two instalments)

Legal semi-annual bonus: employer must pay 15 days' salary by June 30 and 15 days' salary by December 20. Proportional if employed less than 6 months in the half-year period.

Eligibility

All formal employees. Not applicable to independent contractors (prestación de servicios).

How to Apply

Automatic — payable by employer without request. File with Ministerio del Trabajo if employer fails to pay.

Many employees are confused: the prima is NOT a discretionary Christmas bonus — it is a legal right. Calculate your expected prima and track the date. Employers who pay late owe moratorio interest.

Subsidio Familiar (Family Subsidy)

Subsidio Familiar — Caja de Compensación Familiar

Subsidy for workers earning up to 4 SMMLV (COP $5,694,000/month): COP $45,000–70,000/month per dependent child. Housing subsidy (subsidio de vivienda): up to 20 SMMLV for first home purchase.

Monthly cash subsidy for workers' dependents (children, spouse) registered through the Caja de Compensación Familiar (CCF). Also provides access to recreational facilities, education loans, health clinics, and housing subsidies.

Eligibility

Employees registered with a CCF. Dependents must be registered with the CCF within 30 days of enrollment. Foreign employees are eligible.

How to Apply

Register at your employer's CCF (determined by employer). Register dependent children and spouse at the CCF. Receive CCF membership card (carné de afiliado) for access to facilities.

Many expats are unaware of CCF benefits — Cafam and Compensar in Bogotá, and Comfama and Confiar in Medellín have excellent gyms, swimming pools, vacation resorts, and children's activities at subsidised rates for members.

Incapacidad por Enfermedad (Sick Pay)

Subsidio de Incapacidad

66.67% of daily IBC from day 3. Maximum 180 days per condition/year.

Sickness benefit paid by EPS from the 3rd day of illness, at 66.67% of the declared IBC (base income). First 2 days: employer pays 100%.

Eligibility

All formally employed workers enrolled in EPS.

How to Apply

Obtain incapacidad médica (medical certificate) from IPS/EPS clinic. Submit to employer's HR department. EPS pays the benefit via your employer (deducted from payroll and claimed back).

Worker cannot be dismissed during sick leave (fuero de incapacidad). Employer must continue contributions to pension and ARL during the sick leave period.

Colombia Mayor (Senior Pension)

Colombia Mayor

COP $80,000–100,000/month (varies by municipality)

Government subsidy for elderly poor Colombians who did not accumulate pension rights. A social assistance payment, not a contributory pension.

Eligibility

Colombian nationals aged 54F/59M+ who are not receiving any pension and are in extreme poverty (Sisbén score ≤ 47). Not available to foreign nationals.

How to Apply

Via Prosperidad Social portal or local ICBF. Not applicable to expats.

Mentioned for context — expats cannot access this benefit.

Familias en Acción

COP $40,000–80,000/month per child

Conditional cash transfer programme for families with children in extreme poverty or displacement. Requires school attendance and health check-ups.

Eligibility

Colombian nationals in Sisbén levels I–II or displaced population. Not available to foreign nationals.

How to Apply

Through Prosperidad Social. Not applicable to expats.

Mentioned for context. The programme covers over 2 million families.

Contribution Overview

All social security contributions in Colombia are made via PILA (Planilla Integrada de Liquidación de Aportes) — a unified online payment platform. Employers submit one monthly PILA declaration covering all employees' EPS, AFP/Colpensiones, ARL, and CCF contributions. Self-employed submit their own monthly PILA via the Mi Planilla app or web platform. The IBC (Ingreso Base de Cotización) is the declared monthly income on which contributions are calculated: minimum = 1 SMMLV = COP $1,423,500 (2026); maximum = 25 SMMLV = COP $35,587,500. Self-employed can declare their actual income but cannot declare below 1 SMMLV.

International Social Security Agreements

Colombia has bilateral social security/totalization agreements with: Spain (the most significant for Spanish nationals), Chile, Ecuador, Perú, Bolivia, Uruguay, Paraguay, Argentina, Brazil, Venezuela (Comunidad Andina + Mercosur protocols), and Italy. Under these agreements, contribution years in both countries count toward the minimum pension threshold. Colombia is negotiating agreements with Canada, USA, and EU member states. Check the Ministerio del Trabajo site for the current list.

The 2024 Reforma Pensional is the most significant change to Colombian social security since Ley 100/1993. Workers earning ≤ 2.3 SMMLV now contribute exclusively to Colpensiones (the public defined-benefit scheme). Workers above this threshold split contributions proportionally. This will significantly affect retirement outcomes for current workers. The reform remains politically contested — monitor Corte Constitucional decisions for any reversal or modification. Expats planning to spend 5+ years in Colombia should obtain a formal pension projection (historia laboral) from Colpensiones and/or their AFP to understand their accrued rights.

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