Mexico's vacation premium (prima vacacional) is an extra payment of at least 25% of the salary paid for vacation days, required by article 80 of the Federal Labor Law (LFT). Since the 2023 reform, employees get 12 vacation days after their first year, so the minimum premium equals 3 days of salary. At the Talentosy Salary Index national median of $34,500 MXN a month (≈ $1,900 USD; active listings as of October 13, 2026), the first-year vacation premium is $3,450 MXN (≈ $200 USD), rising to $5,750 MXN (≈ $300 USD) in year five.
What is the prima vacacional?
The prima vacacional is an additional percentage the employer pays on top of the salary for vacation days. It is separate from vacation pay itself: vacation days are paid at the normal salary and the premium is added. The Federal Labor Law sets a 25% floor (art. 80); many employers pay 50% or more by contract.
- Paid vacation: days off at regular salary (art. 76).
- Vacation premium: at least 25% extra on the salary for those days (art. 80).
- No cash-out while employed: article 79 prohibits replacing vacation with a payment; it is only paid in cash when employment ends.
How many vacation days does Mexican law require?
Mexican law requires 12 vacation days after the first year of service, rising by 2 days a year to 20 in year five, then by 2 days every five years (art. 76 LFT, amended in the Official Gazette on December 27, 2022, effective 2023). The minimum premium, in days of salary, is one quarter of the vacation days:
| Years of service | Vacation days | Vacation premium (days of salary) |
|---|---|---|
| 1 year | 12 | 3 |
| 2 years | 14 | 3.5 |
| 3 years | 16 | 4 |
| 4 years | 18 | 4.5 |
| 5 years | 20 | 5 |
| 6 to 10 years | 22 | 5.5 |
| 11 to 15 years | 24 | 6 |
| 16 to 20 years | 26 | 6.5 |
| 21 to 25 years | 28 | 7 |
| 26 to 30 years | 30 | 7.5 |
At least 12 of those days must be continuous if the employee asks (art. 78), and vacation must be granted within six months of each work anniversary (art. 81).
How is the vacation premium calculated?
The vacation premium equals daily salary × vacation days × 25% (or the contract rate, if higher):
- Daily salary = gross monthly salary ÷ 30.
- Vacation pay = daily salary × vacation days.
- Vacation premium = vacation pay × 0.25.
Worked example with the Talentosy Salary Index national median: $34,500 ÷ 30 = $1,150 MXN a day. In year one, $1,150 × 12 = $13,800 MXN of vacation pay, and the premium is $13,800 × 0.25 = $3,450 MXN (≈ $200 USD). Talentosy's Spanish-language vacation premium calculator runs it for any salary and tenure.
How much is the vacation premium by salary level?
The minimum first-year vacation premium in Mexico ranges from $945.12 MXN (≈ $50 USD) at minimum wage to $8,400 MXN (≈ $450 USD) for a senior role, at Talentosy Salary Index medians. The 2026 general minimum wage is $315.04 MXN a day, per CONASAMI.
| Profile | Monthly salary (median) | Premium, year 1 (12 days) | Premium, year 5 (20 days) |
|---|---|---|---|
| General minimum wage | $9,451 MXN | $945.12 MXN (≈ $50 USD) | $1,575.20 MXN (≈ $100 USD) |
| Junior level | $25,000 MXN | $2,500 MXN (≈ $150 USD) | $4,166.67 MXN (≈ $250 USD) |
| National median | $34,500 MXN | $3,450 MXN (≈ $200 USD) | $5,750 MXN (≈ $300 USD) |
| Mid level | $48,750 MXN | $4,875 MXN (≈ $250 USD) | $8,125 MXN (≈ $450 USD) |
| Senior level | $84,000 MXN | $8,400 MXN (≈ $450 USD) | $14,000 MXN (≈ $750 USD) |
USD figures use 18.33 MXN/USD (ECB reference rate via Frankfurter, October 13, 2026). The premium grows with tenure (more days) and with salary, so a promotion or a well-negotiated job change also lifts benefits; city medians are in which cities pay most in Mexico.
When is the vacation premium paid?
The vacation premium is paid when the employee takes vacation, because the law calculates it on "the salary corresponding to the vacation period" (art. 80). The LFT sets no fixed date, so employers pay it with the payroll before the vacation, on the work anniversary or in a fixed month, as long as the contract does not eliminate it.
Employers must also give each employee an annual statement of tenure, vacation days owed and the dates to take them (art. 81).
Is the vacation premium taxed?
The vacation premium is taxed only above an exempt amount. The Income Tax Law (art. 93, section XIV) exempts vacation premiums up to 15 days of minimum wage a year. Most payroll providers apply the cap using the UMA, which INEGI set at $117.31 MXN a day for February 2026 through January 2027: 15 UMA = $1,759.65 MXN (≈ $100 USD) tax-free. On a minimum-wage basis the cap would be $4,725.60 MXN.
What happens to the vacation premium when employment ends?
When an employee resigns or is dismissed, the final settlement must include prorated unused vacation plus its premium; article 79 grants "pay proportional to the time worked" if employment ends before the year is complete. See how the finiquito is calculated.
Employees can file free claims with PROFEDET. The LFT (art. 994, section I) fines employers 50 to 250 UMA for violating article 76, or $5,865.50 to $29,327.50 MXN (≈ $300 to $1,600 USD) at the 2026 UMA.
How should job seekers compare benefits?
When comparing offers, ask for the vacation premium rate and the vacation days from year one: a 50% premium instead of 25% doubles that payment every year. The legal minimums are summarized in mandatory employee benefits in Mexico, and the December bonus is covered in when the aguinaldo is paid.
Talentosy job listings publish the salary range before you apply, jobs by city and field let you compare the same role across cities, and salary data breaks pay down by field.
Frequently asked questions
How much is the vacation premium in Mexico in 2026?
The vacation premium in Mexico is at least 25% of the salary for vacation days. With 12 days in year one, that is 3 days of salary: $3,450 MXN (≈ $200 USD) at the Talentosy Salary Index national median.
Can Mexican employees cash out vacation instead of taking it?
No, not while employed: article 79 of the LFT prohibits replacing vacation with money. Unused vacation and its premium are paid only when employment ends.
How many vacation days does an employee get after 6 years in Mexico?
After 6 years of service, Mexican law grants 22 vacation days and a minimum premium equal to 5.5 days of salary.
