#Honduras 🇭🇳 #BDS_LaborAlert: Updated RAP Contribution Caps and Rates for 2026

Regarding the Labor Reserve Fund, the following parameters have been established for 2026:

• Reference minimum wage (highest wage bracket): L 19,298.72
• 2026 contribution cap (3 minimum wages): L 57,896.16
• Contribution rate (Labor Coverage): 4.0%

Likewise, with respect to the Housing and Financial Inclusion Fund (FOVIIF in Spanish), the RAP indicated that:

• Contributions must be withheld on the portion of salary exceeding the cap established by the Honduran Social Security Institute (IHSS) for the Old-Age, Disability, and Survivorship (IVM) regime.
• The minimum contribution threshold for 2026 will be L 11,903.13.
• The employer contribution will be 1.5% of the employee’s ordinary salary exceeding such threshold.
• The employee contribution will also be 1.5% of the ordinary salary exceeding the established minimum threshold.

As these provisions have been in effect since January 2026, we recommend that organizations verify that their payroll systems, salary parameters, and contribution calculation processes have been properly updated to ensure compliance with applicable labor and social security obligations.

Please contact us should you have any questions or require assistance with this update process.