Aguinaldo

Mexican workers employed in the so-called formal economy receive various job benefits, known as prestaciones.

Religious sign, Mexico City

Religious sign, Mexico City

The aguinaldo is a year-end bonus equivalent to two weeks of pay, una quincena. It is usually paid in early- or mid-December, although some employers give the option of receiving it in November. Workers employed for only part of the year receive a pro-rated payment.

Additional job benefits

Some additional prestaciones required by law: Días de descanso: days off; Vacaciones: 6+ days a year; Prima vacacional: cash benefit earmarked towards vacation expenses; IMSS (Seguro Social): basic medical care.

Job postings often boast prestaciones superiores a la ley, benefits above and beyond the mininum legally required. Afore: retirement pension; Infonavit: home purchase assistance; Vales de despensa: cash card for purchasing groceries; Fondo de ahorro: savings plan; Utilidades: profit sharing; Gastos médicos mayores: Major Medical, a private comprehensive health care benefits package than IMSS.

Workers who are laid off are entitled to a liquidación payment corresponding to the amount of time they worked for the company. El finiquito is the payment you receive if you voluntarily quit: vacation pay and bonuses already accrued.