To calculate the salary and taxes in Croatia please click here.
What are the minimum wage requirements?
The minimum wage is HRK 4,687.50 per month.
Contributions & Taxes
How much are the contributions & taxes?
Individual Income Tax
The individual income tax ranges from 20% to 30%. Income tax is calculated according to progressive rates. In addition, there may be local municipality taxes.
|Gross Annual Income (HRK)||Tax Rate (%)|
|Up to 360,000||20%|
The employer cost is generally estimated at 16.5% of the employee salary.
Health insurance – 16.5%
Overtime Pay & Maximum Hours
Standard working hours are 8 hours per day, and 40 hours per week. The standard workweek is from Monday to Friday.
What is the payroll cycle?
Generally, the payroll cycle lasts for a month, with the wages being paid out by the 5th of the next month.
Is there 13th salary in Croatia?
As of now, there is no mandatory 13th salary payment in Croatia.
What are the main Labor Rules?
The employers who wish to terminate the employment agreements must respect complex rules and the regulations of the employee’s employment country. The off-boarding should be handled by the employer with the primary stakeholders. The termination may include ad-hoc fees as well as required or recommended steps on specific termination cases.
Terminations in Croatia can be complex. Outside the probation period, there is no at-will termination in Croatia for employers.
Compliant terminations include:
- Voluntarily by the employee
- By mutual agreement
Unilaterally by the employer based on:
- Economic, technical, or organizational reasons for which the need for employee’s work position no longer exists.
- Employee does not perform his/her duties, due to his/her ability or character.
- Employee breaches his/her obligations.
- By the expiration of the contract.
The minimum notice period in Croatia is 2 weeks and is increased according to the length of the employment.
Leave and Benefits
Leave and Benefits rules
Vacation Days in Croatia
Employees who are employed by Croatian employers are entitled to a minimum of 20 days off per year.
Moreover, they are also entitled to up to 7 days of leave per calendar year for important personal events such as marriage or death of a close family member.
Croatia Sick Leave
Croatian employees get a maximum of 42 days of paid sick leave per year. The amount that is paid during sick leave depends on the employment agreement. Nevertheless, it shouldn’t be less than 70% of the average daily wage in the 6 months preceding the sick leave.
If an employee is sick for more than 42 days, then the income replacement benefit is calculated and paid out by the employer and reclaimed by the HZZO (the Croatian Health Insurance Fund).
Maternity/Paternity Leave in Croatia
Pregnant employees are entitled to:
- 28 days of maternity leave prior to the expected delivery date or 45 days before the delivery date under special circumstances, based on a medical assessment.
- After the birth of a child, female employees are entitled to at least 70 days of maternity leave or until the child turns 6 months of age.
- After the 70-day period expires, the father has the right to use the remaining period of maternity leave, with the mother’s consent.
There is no statutory requirement for paid paternity leave but the employee has the option of using their personal leave.
Parental Leave: Parents are entitled to parental leave of 120 days per parent per child for the first or second child once the child reaches 6 months of age.
- They can use the leave until the child reaches 8 years of age
- The leave can be taken fully, partially (no more than two times per year) or part-time (the duration of parental leave is doubled and the compensation is reduced to 50% of what would be paid for with full-time leave).
Health Security & Private Insurance
The health insurance in Croatia is mandatory and is included within the employer social insurance. With that in mind, it is not common for employers to provide additional private health care coverage.
* Native Teams can support you in finding the best private insurance in the country. Contact us and we will send a comparison of insurance packages and prices*
Relocation and Work Permits
Native Teams will act as your Employer of Record and apply for your work permit in the country. You will be able to upload all the needed documents in our app. Native Teams will support you by giving you regular updates on the progress until you get your work and residence permit.
How long is the Visa / Work Permit process?
2 to 4 weeks depending on the authorities and provided documents.
Which documents do you need?