Working in Mongolia as a French National: Work Permit, Minimum Wage, Tax and Contributions

France Diplomatie (the French foreign ministry) recalls that, for any non-tourist trip, the visa remains compulsory, and that French nationals on a long stay must register within 48 hours of entry. The government investment portal specifies that the employer files the work permit application through an online portal, which is not fully operational: it must also submit paper copies of the documents to the competent authority, and issue generally takes about ten working days. The local employer pays a monthly fee equal to twice the minimum wage per foreign employee, from which the Cabinet may exempt certain eligible employers by resolution. Quotas and permit duration do not appear on the page: confirm them with the labour authority.

The labour code, in force since 1 January 2022, applies to all work performed in Mongolia. The probation period can reach three months, extendable by three months by agreement of the parties; annual leave is at least fifteen working days; overtime is paid at 1.5 times the average wage, night work at 1.2 times and work on public holidays at 2 times. See the guide to working abroad.

The National Tripartite Committee on Labour and Social Partnership, made up in equal parts of representatives of the government, employers and employees, decided to raise the minimum wage to nearly 800,000 tugriks a month, according to the Ministry of Labour and Social Protection. To set this amount, the committee took into account the subsistence level, the ratio of productivity to average wages, the minimum full pension, economic growth and employment, and inflation. The mining, construction and road transport sectors may set their own level by sectoral regulation. The base salary cannot be lower than the legal minimum; the committee periodically reviews the amount, which you should confirm with the ministry at the date of your contract.

Mongolia does not publish a pay scale for expatriates. For a local contract, negotiate the gross salary, the currency of payment, benefits in kind (housing, heating, schooling, health insurance) and who bears the cost of evacuation. To compare a local contract with a secondment, see the guide to seconded or expatriate employee.

The personal income tax law (revised version of 22 March 2019, in force since 1 January 2019) applies a rate of 10% to employment income, after deduction of social and health insurance contributions. Other rates apply to real estate capital gains (2%), gambling winnings (40%) and Mongolian-source income of non-residents (20%). A resident is anyone who stays in Mongolia 183 days or more during 12 consecutive months, or receives at least 50% of their taxable income from Mongolian sources; employment of 183 days or more, proven by an employment contract and a permit, allows registration as a resident. This unofficial translation is published on the State legal portal: consult the up-to-date text and its amendments.

France and Mongolia signed in Paris, on 18 April 1996, a convention to avoid double taxation, in force since 1 December 1998 and applicable to income of years beginning on or after 1 January 1999. It is accompanied by a protocol that forms an integral part of it. For an employee in Mongolia who remains tax resident in France, or the reverse, the text of the convention determines which State taxes; have it validated by a professional. The page on retirement in Mongolia summarises its effects on pensions.

The General Law on Social Insurance (revised edition of 7 July 2023, in force since 1 January 2024) defines the insured person as a Mongolian citizen, a foreigner or a stateless person, and makes insurance compulsory for foreigners who work for an employer in Mongolia, unless a treaty provides otherwise and with exceptions for diplomatic and international organisation staff. The rates, as a percentage of salary, are as follows:

• Pensions: 8.5% employer and 8.5% employee.
• Benefits (sickness, maternity, etc.): 1.0% employer and 0.8% employee.
• Workplace accidents and occupational diseases: 0.5%, 1.5% or 2.5% paid by the employer depending on the risk.
• Unemployment: 0.5% employer and 0.2% employee.
• Total: 10.5%, 11.5% or 12.5% for the employer and 9.5% for the employee; health insurance is governed separately by the health insurance law.

No social security agreement links France and Mongolia: the CLEISS does not list it. An employee sent by their French employer can remain affiliated to the French scheme, under domestic law, for three years renewable once; contributions are paid in France as if the employee worked there, and staying in the scheme does not exempt you from any contributions due in Mongolia. Care is reimbursed within the limit of what France reimburses, on paid invoices with form S 3125c. See the page on healthcare reimbursement in Mongolia.

The self-employed person who works in Mongolia falls under income tax on individual activities: the law notably provides a simplified regime at 1% for the previous year’s income up to 50 million tugriks, and a rate of 10% on operating income. A non-tourist visa and registration of the activity with the competent administrations remain necessary: confirm the steps with the Immigration Agency.

Remote work for a foreign employer has no dedicated visa in the official pages consulted; the 30-day visa-free stay, extendable by 30 days, suits tourism. To compare countries, see the guide to digital nomad visas and the page on digital nomad insurance. Business stays fall under the non-tourist visa. Filming or any journalistic project requires accreditation from the Mongolian authorities.

A foreign employee is subject to local law in daily life as at work. France Diplomatie recalls that foreigners must carry their passport at all times, that drinking alcohol in public is prohibited, that the sale and consumption of alcohol are prohibited on the first day of each month and that there is zero tolerance for drink-driving. Smoking is banned in all public spaces, including outdoors, since 2013; narcotics, cannabis included, expose you to 2 to 15 years in prison. Filming or carrying out a journalistic project requires accreditation, and visiting border zones requires a special permit from the border guards.

For travel, flights with a connection via Moscow often delay checked baggage by several days: keep medicines and essentials in the cabin. Use registered taxis with a meter, refuse to carry luggage that may contain illegal products, and avoid night travel. Bringing in a vehicle requires prior registration with the central customs directorate, the vehicle having to leave with the traveller.

According to France Diplomatie, the country ranks fourth in the world among those best endowed with natural resources. The high-potential sectors are mining, food processing, telecommunications and tourism; coal supplies 70% of energy, oil 27% and renewables 2%. The currency is the tugrik (or togrog). Mongolia considers France one of its “third neighbours”, along with the United States, Japan, South Korea, the European Union and Germany. The exchange rate, inflation and unemployment are shown continuously in the economic benchmarks block of this page.

For a job or business-creation project, the French embassy in Ulaanbaatar is the first-level contact. Whatever your status, compare expat health insurance contracts with Expavy before signing.