Guatemala
ISR income tax 5% / 7% (two-tier) · Personal deduction GTQ 48,000 · Employee IGSS 4.83% · Employer contributions 12.67% combined
Guatemala Tax Facts
— 2026Quick Country Comparison
— at $100,000| Country | Take-home | Eff. Rate | vs Guatemala |
|---|---|---|---|
 Guatemala | $89,743 | 10.3% | — |
 Panama (foreign-source) | $100,000 | 0% | +$10,257 |
 El Salvador | $65,892 | 34.1% | -$23,851 |
Guatemala figure applies ISR (5%/7% two-tier) + employee IGSS (4.83%) to a $100,000/year salary (~GTQ 775,000, at about 7.75 GTQ per USD, the rate this page has always implied). Panama reflects its 0% tax on foreign-source income. The Guatemala figure also reflects the GTQ 3,024 extraordinary 2026 deduction (confirmed by secondary sources only). El Salvador applies its own published 0/10/20/30% brackets plus employee pension and health contributions. Approximate, illustrative calculations — not tax advice.
Want your exact figures? Use the full Guatemala calculator →Comparison Guides
See how Guatemala's low ISR rates compare to other Central American tax systems.
Salary Guides
Guatemala's ISR (Impuesto Sobre la Renta) uses a simple two-tier structure: 5% on net taxable income up to GTQ 300,000/year, and 7% above that threshold, after a flat GTQ 48,000 annual personal deduction. The Superintendencia de Administración Tributaria (SAT) administers income tax. Employee IGSS (social security) contributions are 4.83% of gross salary; employers pay a combined 12.67% covering IGSS (10.67%, pension + health/maternity programs), INTECAP (1%, technical training institute), and IRTRA (1%, worker recreation institute).
Moving from Guatemala
Guatemala's low, simple two-tier ISR system and modest cost of living make it an accessible base in Central America, particularly around Antigua and Guatemala City, though the country doesn't offer the specialized digital nomad visas found in Costa Rica or Panama.
Last Updated: October 2026 · Daniel · CountryTaxCalc