Taiwan Outsourcing

Outsource to Taiwan: Hiring Software Engineers in Taiwan

Grow your technology team with confidence by tapping into Taiwan's thriving talent pool through Hyperion360. Our Global Staffing & Team Extension Services ensure seamless, efficient, and cost-effective international expansion and outsourcing.

Already found qualified software engineers or other talent to work with in Taiwan? Hyperion360 can be your Employer of Record (EOR) in Taiwan. Hyperion360 helps you pay your team members anywhere in the world. If we don't have a local entity in a particular country we have a vast network of payroll partners who can help allowing you to hire top talent almost anywhere in the world. Need help finding software engineers? Contact us.


Taiwan Hyperion360 Talent Score

Ease of Hiring Developers in Taiwan
Cost of Doing Business in Taiwan
English Proficiency in Taiwan
US-Timezone Overlap with Taiwan
Technical Skills in Taiwan
Internet Reliability in Taiwan
Retention Rate in Taiwan
University Quality in Taiwan
Quality of Life in Taiwan
Political & Economic Stability in Taiwan

The Hyperion360 Talent Score for Taiwan is determined by evaluating and averaging several key factors that influence the attractiveness and viability of hiring software engineers in the country. These factors are assessed on a scale from 1 to 10, where 10 represents the highest performance or most favorable conditions.

Table of Contents

Hiring Software Engineers in Taiwan

Key Facts About Hiring Software Engineers in Taiwan

  • Highly Skilled Workforce: Taiwan offers a robust talent pool of skilled software developers. With a strong emphasis on STEM education, the country produces highly competent engineers.
  • Cost-Effective: Although not the lowest in Asia, the cost of hiring in Taiwan is competitive, especially considering the high skill level.
  • Quality of Work: Taiwan has heavily invested in its IT sector, resulting in a workforce renowned for their technical skills and reliability.
  • Time Zone: Taiwan’s time zone (GMT+8) allows for easy real-time collaboration with many Asian countries and manageable overlap with European and North American time zones.
  • Language: While Mandarin is the official language, English proficiency among IT professionals is generally high, making communication smooth.
  • Ease of Doing Business: Taiwan ranks 15th globally for ease of doing business, thanks to its efficient regulatory environment and business-friendly policies.
  • Innovative Tech Scene: Taiwan boasts a dynamic tech scene with a plethora of startups and established tech giants.
  • Software Market Revenue: Taiwan’s software market is a significant contributor to the economy, driven by a strong focus on innovation and technology.
  • Number of IT Companies: Taiwan is home to numerous IT companies, ranging from small startups to large multinational corporations, fostering a vibrant tech ecosystem.
  • Internet Infrastructure: Taiwan boasts a well-developed internet infrastructure with a high penetration rate. Major cities like Taipei, Taichung, and Kaohsiung have robust broadband connectivity, supporting the needs of tech companies and remote work.
  • Universities and Education: Taiwan’s top universities, such as National Taiwan University (NTU), National Tsing Hua University (NTHU), and National Chiao Tung University (NCTU), offer highly regarded computer science and engineering programs. These institutions are known for their rigorous curriculum, research output, and strong ties with the tech industry, producing graduates who are well-prepared for the demands of the global IT market.

Benefits of Hiring Software Engineers in Taiwan

  • Exceptional Technical Proficiency: Taiwanese software engineers are known for their advanced technical knowledge and problem-solving abilities, proficient in programming languages such as Java, C#, C++, JavaScript, Python.
  • Culture of Innovation and Creativity: Taiwan’s tech sector thrives on innovation and creativity, fostering an environment where software engineers can excel.
  • Cost-Effective Talent: Hiring software engineers in Taiwan is cost-effective, providing high returns on investment due to the skilled talent pool and strong technical education system.
  • Flexible Hiring Options: With Hyperion360, companies can hire Taiwanese software engineers through various methods, including direct hiring through us or setting up a foreign entity in Taiwan with our legal partners’ assistance.
  • Thriving Tech Scene: Taiwan’s tech ecosystem is rich with innovative startups and established tech firms, offering ample opportunities for collaboration and growth.

Benefits of Outsourcing to Taiwan

Taiwan stands as a leading tech hub in Asia, offering numerous advantages for businesses:

  • A Robust Market: Taiwan’s diverse economy includes a strong tech sector, advanced manufacturing, and a growing service industry.
  • Strategic Trade Access: Taiwan’s strategic location provides access to major markets in Asia and beyond, enhancing its trade and business opportunities.
  • Advanced Infrastructure: Taiwan boasts modern infrastructure, including efficient transportation systems and world-class telecommunications, facilitating smooth business operations.

Common Pitfalls of Hiring Software Engineers in Taiwan

While Taiwan offers many benefits, there are some challenges:

  • High Demand for Talent: The demand for skilled engineers is high, leading to competition for top talent. Hyperion360’s extensive network and staffing solutions help you secure the best talent quickly and efficiently.
  • Regulatory Environment: Navigating Taiwan’s regulatory landscape can be complex. Hyperion360 helps manage legal and compliance aspects to ensure smooth operations.
  • Cultural Differences: Understanding and adapting to Taiwan’s business culture is crucial. Hyperion360 bridges cultural gaps, ensuring seamless interactions and successful collaborations.
  • Intellectual Property Concerns: Protecting intellectual property is vital. Hyperion360 offers guidance and support to safeguard your business assets.
  • Language Barriers: While many IT professionals speak English, some language barriers may still exist. Hyperion360 facilitates effective communication and integration with your team.

Hyperion360’s tailored solutions address these challenges, enabling you to successfully hire and manage software engineers in Taiwan with confidence and ease.

Business Etiquette in Taiwan

Understanding cultural nuances is vital for successful business interactions in Taiwan. Here’s a detailed guide to help you navigate these intricacies effectively:


  • Handshakes: A firm handshake is a common and respectful greeting in business settings. It is polite to greet everyone individually when arriving and leaving.
  • Using Titles: Address colleagues by their titles and surnames to show respect, a customary practice in Taiwan.

Communication Style

  • Indirect Communication: Taiwanese professionals often use indirect communication to maintain harmony and avoid confrontation. Reading between the lines and being mindful of non-verbal cues is important.
  • Politeness and Respect: Politeness and respect are crucial in all interactions. Avoid aggressive or confrontational behavior.

Timekeeping and Punctuality

  • Punctuality: Punctuality is highly valued. Arriving on time for meetings is a sign of respect and professionalism.
  • Networking: Building relationships through informal discussions and networking is common and important.

Value on Relationships

  • Personal Connections: Building strong personal relationships is essential for successful business dealings. Trust and rapport are crucial.
  • Hierarchical Structure: Business structures are often hierarchical. Respect for seniority and titles is important.

Business Meetings

  • Small Talk: Meetings often start with informal conversation to build rapport.
  • Networking Focus: Use meetings to strengthen relationships as well as discuss business matters.

By understanding and respecting these cultural nuances, you can foster better relationships and ensure successful business interactions in Taiwan. Hyperion360’s tailored solutions help you navigate these cultural intricacies with ease, enabling seamless integration and collaboration with your Taiwanese team.

Employment Agreements

In Taiwan, while not mandatory, written employment agreements are strongly recommended to outline key conditions clearly. Essential elements to include are:

  • Remuneration: Specify salary and any additional compensation.
  • Job Description: Outline roles, responsibilities, and expectations.
  • Working Hours: Define standard working hours and any flexibility.
  • Place of Work: Mention the primary workplace and any remote work possibilities.
  • Probationary Period: State the duration and conditions of the probation.
  • Contract Type: Indicate whether the contract is fixed-term or indefinite-term.
  • Company Policies: Include relevant workplace policies and guidelines.
  • Travel and Transfers: Detail the conditions and possibilities for travel or relocation.

Some terms are automatically recognized under Taiwanese law, such as:

  • The minimum wage
  • Annual leave entitlement and vacation bonus
  • Social Security payment requirements
  • Benefits provided by collective bargaining agreements

Probationary Periods in Taiwan

The maximum probationary period in Taiwan is three months. This allows employers to assess the suitability of the software engineer within a defined timeframe.

Taiwan Payroll Laws

Tax Due Date

Individual taxes in Taiwan are due by May 31, following the calendar year for the tax period.

Payroll Cycle

The payroll cycle in Taiwan is generally monthly.

Working Hours

Standard working hours are typically eight hours per day and 40 hours per week.

Minimum Wage and Salaries

The minimum wage in Taiwan is set at TWD 26,400 per month as of 2024.

Bonus Payments

It is common for employers in Taiwan to provide annual bonuses, often equivalent to one or two months’ salary, though it is not mandated by law.


Overtime work is compensated at a rate of 1.34 times the regular hourly wage for the first two hours and 1.67 times the regular hourly wage for subsequent hours.

Taxes and Social Security in Taiwan

Tax Thresholds in Taiwan

In Taiwan, individuals are considered tax residents if they stay in the country for more than 183 days in a calendar year. Tax residents are subject to tax on their worldwide income.

As of 2024, the Taiwanese income tax brackets are as follows:

  • Up to 590,000 TWD annually: 5.00%
  • 590,001 TWD – 1,330,000 TWD annually: 12.00%
  • 1,330,001 TWD – 2,660,000 TWD annually: 20.00%
  • 2,660,001 TWD – 4,980,000 TWD annually: 30.00%
  • 4,980,001 TWD and above annually: 40.00%

Non-Resident Income Tax in Taiwan

Non-residents are taxed at a flat rate of 18%.

*The Minimum withholding tax threshold for monthly incomes, part-time, and non-monthly incomes is 88,501 TWD.

Corporate Tax Rate in Taiwan

As of 2024, the corporate tax rate in Taiwan is:

  • General Corporate Income: 20%

Social Security Rates in Taiwan

In 2024, the social security rates for employees and employers are as follows:

Employer Payroll Contributions in Taiwan

Employers in Taiwan are responsible for several additional payroll contributions, which include:

  • Labor Insurance: 7.70% of the employee’s salary
  • Employment Insurance: 0.70% of the employee’s salary
  • Pension Fund: 6.00% of the employee’s salary
  • National Health Insurance: 4.84% of the employee’s salary
  • National Health Insurance - Supplementary Premium: 2.11% of the employee’s salary
  • Workers’ Compensation: 0.12% of the employee’s salary
  • Total Employment Cost: 18.202% - 20.312%

Employee Payroll Contributions in Taiwan

Employees in Taiwan also contribute to their social security as follows:

  • Labor Insurance: 2.20% of their salary
  • Employment Insurance: 0.20% of their salary
  • National Health Insurance: 1.55% of their salary (applied on income between 27,470 TWD and 219,500 TWD)
  • Total Employee Cost: 4.651%

Disability Employment Regulations

Any employer shall not discriminate against any disabled candidates or refuse employment due to their disability. In accordance with the provisions of Paragraph 2 of Article 38 in the “People with Disabilities Rights Protection Act,” any company with fewer than 67 employees shall employ people with disabilities at numbers no less than 1% of the total number of employees and shall not be less than one person. Failure to do so will subject the employer to make a contribution to the Disabled Employment Funds, the contribution amount is based on the required number of disabled employees multiplied by the statutory monthly minimum wage.

The employer is not required to report the recruitment of employees with disabilities to the government. The government will obtain such information from the enrollment of social insurance for such employees.

Health Insurance in Taiwan

Taiwan offers a comprehensive National Health Insurance (NHI) system that provides universal coverage for all residents. Many companies also offer additional private health insurance to access enhanced medical services and shorter wait times.

Pension in Taiwan

Taiwan’s pension system includes mandatory contributions from both employers and employees. Employers contribute 6% of the employee’s salary to the pension fund.

Annual Paid Leave

Taiwan labor law guarantees employees annual paid leave based on their length of service:

  • 1-2 years: 7 days
  • 3-5 years: 10 days
  • 6-9 years: 14 days
  • 10+ years: 15 days plus 1 additional day for each year of service beyond 10 years, up to a maximum of 30 days.

Parental and Maternity Leave

  • Maternity Leave: 8 weeks of paid leave.
  • Paternity Leave: 5 days of paid leave.

Sick Leave

Employees are entitled to paid sick leave, accumulating at a rate of 30 days per year.

Regional and National Holidays

Taiwan observes several national holidays, including:

  • New Year’s Day (January 1)
  • Lunar New Year (3 days, varies)
  • Peace Memorial Day (February 28)
  • Children’s Day (April 4)
  • Qingming Festival (April 4 or 5)
  • Dragon Boat Festival (varies)
  • Mid-Autumn Festival (varies)
  • National Day (October 10)

Employment Benefits in Taiwan

The social security system in Taiwan includes labor insurance, national health insurance, and pension contributions. Contributions are collected from both employers and employees.

Termination and Notice Period in Taiwan

Employers must provide notice of termination as follows:

  • Notice Period: At least 10 days for employment up to 3 months, 30 days for employment between 3 months and 1 year, and 60 days for employment exceeding 1 year.

Upon termination without cause, the employer must pay severance equivalent to one month’s salary for each year of service.

Understanding these aspects of employment benefits in Taiwan helps you navigate the complexities of hiring and managing staff. With Hyperion360, you can ensure compliance with local regulations while optimizing your global staffing strategy. Enhance your workforce with top Taiwanese talent today!

Work-from-Home Arrangements and Remote Work in Taiwan

In response to the growing trend of remote work, Taiwan has implemented regulations to support flexible working arrangements:

  • Legal Framework: Taiwanese labor laws allow for remote work arrangements, provided that both the employer and employee agree to the terms. The Labor Standards Act includes provisions for remote work.
  • Work Environment: Employers are responsible for ensuring that remote employees have a suitable work environment and necessary equipment.
  • Health and Safety: Employers must ensure that remote workers adhere to health and safety standards, including ergonomics and regular breaks.
  • Communication: Clear communication channels and regular check-ins are essential for remote work arrangements.

With Hyperion360 you don’t have to worry about compliance with local regulations for your Taiwanese team.

How Hyperion360 Can Help You Hire Software Engineers in Taiwan

Navigating the complexities of hiring and managing software engineers in Taiwan can be challenging, but Hyperion360 simplifies the process with our comprehensive global staffing services. When you partner with Hyperion360, you pay us directly, and we take on all the legal and compliance risks, managing every aspect of HR, benefits, payroll, and local taxes.

Our Services Include:

  • Assuming Legal and Compliance Risk: Hyperion360 hires the software engineers directly, eliminating the legal risks of complying with Taiwanese law for your company.
  • Managing HR Functions: We handle all HR-related tasks, from recruitment and onboarding to managing paid leave and termination, ensuring a smooth and efficient process.
  • Administering Benefits: Hyperion360 oversees employee benefits, including health insurance, retirement plans, and other statutory benefits, ensuring your workforce is well-supported and highly engaged.
  • Efficient Payroll Management: Our services include managing payroll cycles, payroll taxes, and bonus payments seamlessly. We handle all payroll processing, ensuring accuracy and timely payments for your software engineers.
  • Handling Local Taxes: The monthly fee you pay us for software engineers is inclusive of local payroll taxes, benefits, legal, HR, accounting, etc., so you can focus on your core business operations.

Benefits of Partnering with Hyperion360:

  • Access to Top Talent: Leverage our network to access a pool of highly skilled software engineers in Taiwan, ensuring you hire the best talent for your needs.
  • Streamlined Processes: Our integrated approach simplifies the hiring and management process, reducing administrative burdens and allowing you to focus on strategic business goals.
  • Cost-Effective Solutions: By managing HR, benefits, payroll, and compliance, we help you save time and resources, offering a cost-effective solution for expanding your team in Taiwan.
  • Comprehensive Support: From recruitment to ongoing management, Hyperion360 provides full support to ensure your Taiwanese workforce is effectively managed and aligned with your business objectives.

With Hyperion360, you can confidently expand your tech team in Taiwan, leveraging our expertise to overcome common pitfalls and maximize the benefits of hiring skilled software engineers in this dynamic market.

Ready to hire software engineers in Taiwan? Contact us to learn more about how Hyperion360 can support your global staffing needs.

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