Argentina | Employment Tax | Labor Assistance Fund (FAL) implementation delayed to December 1, 2026


October 30, 2026

Employment Tax

Argentina | Labor Assistance Fund (FAL) implementation delayed to December 1, 2026

Summary

On October 20, 2026, the Argentine Executive Branch published Decree 1228/2026 in the Official Gazette, postponing the entry into force of the Labor Assistance Fund (FAL) from November 1, 2026, to December 1, 2026. The decree also extends the period during which employers cannot access accumulated FAL funds from six months to twelve months.

The detail

The decree modifies the implementation timeline and operational requirements of the Labor Assistance Fund (FAL), providing employers with additional time before the system becomes effective while simultaneously extending restrictions on the use of accumulated contributions.

Key details:

  • FAL implementation is postponed to December 1, 2026, from November 1, 2026.
  • Employers must wait 12 months before accessing accumulated FAL funds, increased from 6 months.
  • The waiting period begins in the calendar month when the Tax Authority records payment of the employer’s first contribution.
  • Employers must complete 12 full and consecutive monthly contribution and payment periods before funds may be accessed.

What this means for employers

The postponement provides employers with an additional month to prepare for compliance with the Labor Assistance Fund requirements. However, the extension of the waiting period from six to twelve months may affect workforce planning and the timing of access to accumulated FAL funds.

Organizations should review payroll processes, budgeting assumptions, and workforce-related funding strategies to ensure readiness for the revised implementation date and extended fund-access restrictions. Employers planning to rely on accumulated FAL resources should consider the longer lock-in period when assessing future labor cost obligations.

Contact us

For a deeper discussion on the above, please reach out to your Vialto Partners’ point of contact, or alternatively:

Lilian Andrea Falcon
Director

Javier Ignacio Fernandez Biondi
Senior Manager

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