To hire developers in Brazil from the US, choose a route first: a contractor with a Brazilian company number (CNPJ) who invoices you, an employer of record (EOR) that employs the developer for you under Brazil’s CLT labour code, or your own Brazilian entity. Then plan how you will pay in reais: Wise’s limits differ for personal and business accounts.
This page has no affiliate links. It is general information, not legal or tax advice; confirm the details with a Brazilian accountant or lawyer before you sign.
Which route fits: contractor, EOR or your own entity?
| Route | What you need from the developer | Who runs contracts and payroll | Worth knowing (checked 27 Oct 2026) |
|---|---|---|---|
| Contractor with a CNPJ (company) | Company name, CNPJ, business bank account or Pix key, an invoice | You pay invoices; the developer’s company handles its own taxes | Wise Business: up to USD 10,000 per transfer to a business account in Brazil |
| Individual freelancer (CPF) | Full name, CPF, personal bank account or Pix key | You pay directly, or find and pay freelancers through a marketplace such as Upwork or Workana | Wise Business: up to USD 3,000 per transfer to a personal account |
| Employee through an employer of record (EOR) | What the EOR asks for at onboarding | The EOR employs the developer in Brazil and runs payroll; Deel, for example, offers EOR and names Brazil as an example | CLT costs apply: 13th salary, vacation with one-third extra, FGTS, employer INSS |
| Employee of your own Brazilian company | What your payroll provider asks for | Your entity | Same CLT costs, plus setting up and running the company |
A contractor is the fastest route for a short project. For a long-term, full-time developer who works your hours and reports to your team, look at the EOR or entity routes, because of how Brazilian law defines an employee (next section).
Contractor or employee: where is the line in Brazil?
Article 3 of the CLT (Consolidação das Leis do Trabalho) defines an employee as any individual who provides services of a non-occasional nature to an employer, under the employer’s dependence and for a salary. Article 9 says acts meant to distort, prevent or defraud the application of the CLT are null and void.
In practice, a contract that says “contractor” does not settle the question on its own. If the developer works fixed hours set by you, takes daily orders like your staff and is paid a monthly salary for open-ended work, the relationship looks like employment under article 3. Ask a Brazilian lawyer to review the setup before a long engagement.
What does a CLT employee cost on top of salary?
These items come from Brazilian law and apply on top of the agreed salary:
- 13th salary: the Constitution (art. 7, VIII) guarantees a thirteenth salary based on full pay.
- Paid vacation with one-third extra: annual paid vacation with at least one-third more than normal pay (art. 7, XVII).
- FGTS: employers must deposit 8% of each worker’s monthly pay into a linked account (Law 8,036/1990, art. 15).
- Employer INSS: the company’s social security contribution is 20% of the pay of its employees (Law 8,212/1991, art. 22, I), the general rate; ask an accountant which rate applies to your case.
Compare EOR quotes on the same salary and ask each provider to list these legal items separately.
How do you pay a developer in Brazil from the US?
Wise’s BRL guide lists what it needs for a bank transfer to Brazil:
- full name;
- local account number (4 to 12 digits) and account type;
- branch code (4 to 5 digits);
- bank name and 3-digit bank code;
- tax ID: CPF (11 digits) for a person or CNPJ (14 digits) for a company.
Wise can also send to the recipient’s Pix key instead of bank details. For BRL 10,000 or more sent to a Pix key from another currency, Wise asks for the recipient’s email.
Limits per transfer from a Wise Business account: up to USD 3,000 (or equivalent) to personal accounts and up to USD 10,000 to business accounts. From a personal Wise account: up to BRL 250,000 to personal accounts and USD 10,000 to business accounts. A monthly payment above USD 3,000 to a freelancer’s personal account therefore needs more than one transfer, or a contractor with a business account.
Timing: once Wise receives and converts the money, it usually takes 1 working day to reach the bank account; conversion can take up to 2 working days. Wise also applies a 5% rate limit to Brazil: if the rate moves by 5% or more before the transfer completes, it may be delayed or cancelled and refunded.
What should you avoid when hiring in Brazil?
- A “contractor” who works like an employee. CLT articles 3 and 9 look at how the work is done, not at the contract title.
- Comparing EOR quotes without the legal items. Ask for salary, 13th salary, vacation, FGTS and employer INSS line by line.
- Paying a personal account above the limit. Wise Business caps transfers to Brazilian personal accounts at USD 3,000 each.
- Wrong tax IDs. A CPF has 11 digits and a CNPJ 14; Wise asks for one of them with the bank details.
- Large Pix payments without the recipient’s email. Wise asks for it from BRL 10,000.
- No written terms. Put scope, rate, currency, invoicing and intellectual property in writing before work starts.
What is the next step?
Decide whether the role is a project (contractor) or a long-term position (EOR or entity). For a contractor, collect the CNPJ and bank or Pix details and agree on invoicing in USD or BRL. For an employee, ask two EOR providers for a quote on the same salary and compare the legal items line by line.
Trabalho Freela Editorial. Sources: CLT (Decree-Law 5,452/1943, arts. 3 and 9), Brazilian Constitution art. 7, Law 8,036/1990 and Law 8,212/1991 on planalto.gov.br, and the Wise Help Centre guide to BRL transfers, checked on 27 October 2026.