One of the very best things about being resident and working in Uruguay is that everyone who pays into BPS (social security) is entitled to participate in one of the Health Insurance Plans, which I have found to be very good. As you know, from previous articles, I use COSEM, and have been delighted with the results.
But there is a catch: directors of corporations cannot participate in the BPS connected health insurance plans, even though they pay into BPS. So much for socialist fairness. Directors have to pay for private insurance–what a great way to encourage new business in Uruguay.
So, even though the owner/director pays into BPS for himself and his employees, he is barred from benefiting. I wonder who thought this idea up: Larry, Curly or Moe (or maybe Shemp or Curly Joe)…
However, there is a way out. You can set up an Uruguay domestic company and then hire nominee corporate directors from outside the country. Those directors can then give you a total power of attorney to operate the company, bank accounts etc, as an EMPLOYEE, and thus eligible for health insurance.
Another way is to set up an unipersonal, a sole proprietorship, but that has other issues.
This is one more example of why I say I love living in Uruguay but hate doing business here. Sometimes I think the government is trying to intentionally keep Uruguay poor…
This is more of a question. We have lived in Panama for the last 6 years and are considering a move to Uruguay based upon much of what we have read plus the reports of some good friends who have bought there.
A Uruguayan living in Panama just gave other friends these comments. Any truth in them?
It has become too expensive and harder for foreigners to survive
there. The government keeps coming up with new taxes or tax increases.
Various things have dramatically gone up in price:
o ATM charges: 22% on everything
o Average monthly maintenance fees (where applicable): $1000
o Average tax on cars: $1800/yr.
o Average car insurance: $3000/yr.
o When you rent a place, they will say heating is included. What they
don’t tell you is they only pay for 4 hrs/day and you have to supplement the rest.
Their winters are very gloomy. Lots of cloudy days.
Some of this is subjective, but what are the facts?
Thanks, Honey, Panama
>>Some of the above is simply wrong, some is exagerated, and I agree that I hate the winters.
I suggest you join our Open Forum at
http://www.SociedadSouthron.net
where you can discuss and even debate these issues we a lot of people who live here and know more about these things. I admit to being somewhat insulated by my employees since I am running a goodly sized business.
Left by honey on March 25th, 2009
If you are the director of your own company….
isn’t it FAIR that you pay YOUR OWN medical insurance? After all, you ARE doing lucrative business in my country. When you are a director, you are supposed to earn enough to pay yourself for it.
That is the thing I love most about Uruguay. I bet, that if everyone got it government sponsored, you would be criticizing us about being too much like Cuba.
I love your blog and I love how you feel in love with Uruguay….
but this, sorry, I don’t agree.
By bypassing this with legal tricks, I think that you already acquired the “uruguayo vivo” mentality.
>>I am not the direct of the local companies so it doesn’t hurt me at all–it is simply a case of stupid class warfare that will discourage other outsiders from investing here. All who pay BPS should have the same access to benefits.
PERHAPS YOU WOULD PREFER I CLOSE MY OFFICES AND THE 30 JOBS THAT GO WITH THEM–WOULD THAT MAKE YOU HAPPIER?
By the way, what have YOU done lately to promote investments and create jobs in Uruguay?
The Southron
Left by myka_uy on April 2nd, 2009