Deel Pricing Guide: $49 Contractor Management vs $325 Contractor of Record (CoR)
Quantify Deel CoR vs Contractor Management: pricing, liability transfer, and when to upgrade for a scaling SaaS team.
This guide is for SaaS founders, COOs, HR and Finance leads deciding whether to pay a $276/month premium per contractor for Deel’s Contractor of Record (CoR) plan. The goal: quantify that cost against potential fines, retroactive liability, and operational disruption from misclassification.
TL,DR for buyers
- Choose Contractor Management, $49 per active contract if the work is project-based, low-control, and low-risk. Pricing is listed on Deel’s pricing page.
- Choose Contractor of Record (CoR), $325 per contractor if the work is full-time-like, the country is strict, or you want liability transfer. CoR may also require a deposit equal to one month of wages plus the Deel fee.
Facts you can trust, with sources
- Deel Pricing: $49/month for Contractor Management, $325/month for Contractor of Record.
- Deel CoR Agreement: Deel becomes the legal engager and assumes liability.
- CoR Deposit Policy: A deposit of 1 month’s pay + fee is often required.
- DOL Final Rule: effective March 11, 2024, clarifies the economic realities test.
- DOL Misclassification Hub: official overview and resources.
- DOL Wage & Hour Data: more than $273M in back wages and damages recovered for nearly 152,000 workers in FY 2024.
What each plan actually includes
Contractor Management – $49/month
- Contract creation, onboarding, tax documents, global payments
- You remain the legal engager and retain misclassification liability
- Pricing details and plan info
Contractor of Record – $325/month
- Deel becomes the legal employer
- Local tax, compliance, and classification risk is transferred to Deel
- Official page and legal structure
- Deposit of 1 month of wages + fee required (for fixed-rate contracts)
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Clean cost comparison
| Item | Contractor Management | CoR |
|---|---|---|
| Monthly price | $49 | $325 |
| Annual premium per contractor | – | $3,312 |
| Misclassification liability | You | Deel |
| Typical deposit | None | 1 month of wages + fee (held) |
The real trade off: liability and enforcement
The CoR plan is primarily a liability transfer, not a tooling upgrade. Under the 2024 DOL rule, control, integration, and dependency factors weigh heavily in favor of employment.
- IRS guidance: if you misclassify, you may be liable for employment taxes (FITW, FICA, FUTA), interest, and penalties.
- California penalties: $5,000–$25,000 per willful misclassification, in addition to wage liabilities.
- Germany: retro social contributions and potential criminal exposure for bogus self-employment.
- Canada CRA: retro CPP, EI, and tax obligations if a worker is found to be an employee.
Two minute decision tree
- Do you manage the contractor’s hours, tools, or day-to-day work?
→ Yes: choose CoR or consider EOR - Four or more contractors in the same country?
→ Yes: CoR - Strict country (for example Germany, California, Canada)?
→ Yes: CoR - Fundraising or enterprise sales soon?
→ Yes: CoR - Otherwise: start on $49, review quarterly
Simple ROI calculator
- p = probability of a misclassification issue in 12 months
- L = potential liability (back pay, taxes, fines, legal)
- If p × L ≥ $3,312, choose CoR
- Treat the deposit as working capital, not a sunk cost
Example: 10% chance of $50k liability → $5,000 expected cost → justifies the $276/month premium.
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Country risk quick notes
- California: AB5 penalties and frequent wage actions
- Germany: False self-employment triggers back contributions and fines
- Canada: CRA classification guide RC4110
Market context: what competitors charge
• Deel: $49 contractor management / $325 CoR
• Remote.com: from $29 contractor plan
• Oyster: from $29 contractor
• CoR pricing market average: roughly $300–$500 per contractor per month
• For a platform deep dive, see our Deel Review 2025
Implementation notes that save time
- Upgrade path from $49 to CoR with step-by-step instructions
- Deposit terms apply to fixed-rate CoR roles
- Outcome-based SOWs reduce misclassification risk on $49 plans
FAQs
What’s the difference between $49 and $325?
$49 = contractor paperwork and payments. $325 = Deel becomes the legal engager and assumes misclassification liability. See pricing and CoR terms.
Is the CoR deposit refundable?
Yes. Held as security and returned per your MSA. Details here.
Where can I read a full review of Deel?
Deel Review 2025: The Best Way To Pay and Protect a Remote Team
How do I know if a role is high-risk?
Use the DOL’s 2024 economic realities test and look for control, exclusivity, and integration.
Ready to hire globally without risk?
Start Your Risk-Free Global Hiring Journey Today
