Employment Cost Calculator for Serbia

Thinking of employing someone in Serbia? As with every country, there are costs on top of the gross salary you offer. In Serbia, the main one is social security contributions, which the employer pays at a combined 15.15% of gross salary. That covers pension and disability insurance at 10% and health insurance at 5.15%, with no employer unemployment contribution. Contributions are worked out on a base that sits between a monthly floor and a ceiling, both reset each year, so nothing is due on the part of a salary above the ceiling. For 2026, the floor is RSD 51,297, and the ceiling is RSD 732,820, which makes senior hires proportionally cheaper to insure than the headline rate suggests.

Use our interactive employment cost calculator to see the total salary costs in Serbia set out above. You can also download a detailed cost breakdown in PDF, which shows the employee’s take-home pay.

In Serbia, employees pay a flat 10% income tax together with social security contributions of 19.9%, both deducted from gross salary by the employer through payroll. The 10% is not charged on the full gross. It applies to the salary base remaining after employee contributions and a monthly non-taxable amount are deducted, which gives lower earners proportionally more relief. For 2026, the non-taxable amount is RSD 34,221 a month. The employer calculates, withholds, and pays both the tax and the contributions every pay period, so employees do not file separately for their salary income. Higher earners may owe an additional annual income tax, which they file themselves.