In Serbia, unused statutory annual leave can be carried over and must generally be used by 30 June of the following year. Employers cannot forfeit accrued statutory leave by a blanket “use-it-or-lose-it” policy, and unused leave must be paid out on termination.
Back
Payroll and Benefits Guide Serbia
Last updated: Mar 03, 2026
Currency
Serbian Dinar (RSD)
Employer Taxes
15.15%
Payroll Frequency
Monthly
Employee Costs
19.90%
Capital
Belgrade
Date Format
dd/mm/yyyy
Fiscal Year
1 January - 31 December
Contribution
| Employer Payroll Contributions | |
|
10.00%
|
Pension and Disability Insurance* (minimum monthly contribution basis is RSD 45,950 and the maximum monthly contributions basis is RSD 732,820 )
|
|
5.15%
|
Health Insurance
|
|
Minimum not set
|
Meal allowance & holiday allowance
|
| 15.15%+ Allowance |
Total Employment Cost |
| Employee Payroll Contributions | |
|
14.00%
|
Pension and Disability Insurance
|
|
5.15%
|
Health Insurance |
|
0.75%
|
Unemployment Insurance
|
| 19.90% |
Total Employee Cost |
| Employee Income Tax | |
|
10.00%
|
Income above three average annual salaries (approximately 20,000 EUR). |
| 15.00% | Income above three average annual salaries (approximately 40,000 EUR). |
*Non-taxable amount: 34,221 RSD
**Amendments to the Law on Personal Income Tax (PIT Law) and the Law on Contributions for Compulsory Social Insurance (Law on Contributions) regarding relief to employers for taxes and contributions on employees’ salaries. From March 1, 2022, two new tax reliefs for employers will be applied:
- For an employer who establishes an employment relationship with a newly employed person and
- For an employer who, within the scope of his activity on the territory of the Republic of Serbia, performs research and development.
This salary tax relief is applicable towards salaries paid to a newly employed person in the period starting from March 1, 2022, and ending December 31, 2024.
Employer taxes
Highest
Lowest
Employee taxes
Highest
Lowest
Minimum Wage
General
Minimum wages in Serbia is set at 308 RSD per hour. Assuming a typical working time of 176 hours the monthly minimum wage is 73,725 RSD.
MINIMUM WAGE (PER MONTH)
Highest
Lowest
Payroll
Payroll Cycle
In Serbia, the payroll frequency is typically on a monthly basis. The employer must make salary payments at least once a month.
13th Salary
There is no legal requirement for 13-month payments. Employers may issue bonuses at their discretion.
Working Hours
General
The working week in Serbia is typically 40 hours, eight hours per day, five days a week.
Overtime
| Aspect | Regulation Details | Notes |
| Maximum Ordinary Hours | 40 hours per week (typically 8 hours per day). The legal minimum is 36 hours/week. | Overtime (prekovremeni rad) is any work performed beyond the established full-time hours. |
| Maximum Daily Overtime | 4 hours per day. | Total work, including overtime, cannot exceed 12 hours per day. |
| Maximum Weekly Overtime | 8 hours per week. | The total working week cannot exceed 48 hours. |
| Annual Overtime Cap | No statutory annual cap is defined by the Labour Law (though some general documents cite 240 hours). The primary limitation is the strict 8 hours per week cap. | |
| Overtime Requirement | Overtime is permissible only in cases of force majeure, a sudden increase in workload, or when it is indispensable to complete unplanned work within a specific deadline. | |
| Exemptions | Certain employees, such as parents of young children (under 3 or 7 years), may refuse overtime without facing disciplinary action. |
Mandatory Overtime Pay Rates (Cumulative Premiums)
Overtime is compensated with a supplement paid in addition to the employee’s base salary. The compensation rate is not tiered by hours but by the conditions under which the work is performed.
| Condition | Minimum Premium Rate (Supplement) | Total Pay Rate | Notes |
| Standard Overtime Pay | +26% of the base salary. | 126% | This is the minimum rate for all overtime hours (up to 8 per week). |
| Night Work Premium (10 PM to 6 AM) | +26% of the base salary. | 126% | This applies to standard hours and is cumulative with the overtime premium. |
| Public Holiday Work (Non-Overtime) | +110% of the base salary. | 210% | This premium applies to all hours worked on an official public holiday. |
Cumulative Premium Calculation:
If multiple conditions apply (e.g., Overtime + Night Work), the total percentage increase must be equal to or greater than the sum of the individual percentages.
Example: Overtime (26%) + Night Work (26%) = Minimum 52% supplement (152% total pay).
Example: Overtime (26%) + Public Holiday Work (110%) = Minimum 136% supplement (236% total pay).
Compensation and Time Off
| Aspect | Statutory Requirement | Notes |
| Rest Day/Weekend Work | No specific premium is mandated by the Labour Law for working on Saturdays or Sundays unless that day is a Public Holiday. | Compensation for weekend work is usually governed by collective agreements or internal employer policies. |
| Daily Rest | Employees must be granted at least 12 consecutive hours of rest between two working days. | |
| Weekly Rest | Employees are entitled to at least 24 consecutive hours of rest per week, typically including Sunday. | |
| Compensatory Time Off | Overtime pay cannot be substituted for compensatory time off, unless otherwise stipulated in a special law (e.g., for healthcare workers). | Healthcare workers may receive 1.5 hours of compensatory time off for each hour of overtime work, upon request. |
Leave
Annual Leave (vacation)
Employees are entitled to 20 days of annual paid leave following the completion of one year of service with an employer. If the employee has not yet worked for six months within an organization, the employee accrues annual leave at the rate of 1/12 per month.
PTO carryover
Public Holidays
Holidays that fall on a weekend are moved to the next working day. Employees are entitled to paid leave during public holidays based on their average salary in the preceding 12 months.
| Date | Day | Holiday | Holiday Notes |
|---|---|---|---|
| January 1, 2026 | Thursday | New Year’s Day | |
| January 2, 2026 | Friday | New Year (Day 2) | |
| January 7, 2026 | Wednesday | Orthodox Christmas | |
| February 15, 2026 | Sunday | Statehood Day | |
| February 16, 2026 | Monday | Statehood Day (Observed) | |
| February 17, 2026 | Tuesday | Statehood Day (Day 2) | |
| April 10, 2026 | Friday | Orthodox Good Friday | |
| April 11, 2026 | Saturday | Orthodox Holy Saturday | |
| April 12, 2026 | Sunday | Orthodox Easter | |
| April 13, 2026 | Monday | Orthodox Easter Monday | |
| May 1, 2026 | Friday | Labor Day | |
| May 2, 2026 | Saturday | Labor Day (Day 2) | |
| November 11, 2026 | Wednesday | Armistice Day |
Sick Days
Employees are entitled to 30 days of paid sick leave compensated by the employer at 65% of the employee’s standard salary. If an employee has fallen ill due to a workplace injury or sickness, an employer must compensate for this leave at 100% of the employee’s wage. If the sick leave surpasses 30 days of sick leave, the state pays the additional leave, not the employer.
Employers must submit a medical certificate for the sickness within the first three days of sickness.
Maternity Leave
Mothers receive maternity leave that equates to a total of 365 days. Following the birth of a third child, the duration extends to a total of 24 months of leave. Leave may begin at a maximum of 45 days and no less than 28 days before the expected due date. During maternity, the employee receives compensation for their average salary over the past 1 months (capped at a maximum of five times the national average wage), paid for by the Government Republic Fund of Health Insurance from the first day of maternity leave. If the employee returns to work before the end of maternity leave, an employer must provide her with a 90 minutes’ paid lactation break during the workday.
If a mother experiences a miscarriage or a stillbirth, they are entitled to take off 3 months of paid leave.
Paternity Leave
The father or partner is entitled to 5 days of paternity leave after the child’s birth, paid at full salary by the Employer.
Parental Leave
Under certain circumstances, the partner can take over the Maternity Leave entitlement from the mother.
Adoptive parents are entitled to eight months of leave after the adoptive child is placed in their care until the child is five years old. Adoptive parents are entitled to leave when the adoptive child is less than three months old until the child is 11 months.
Other Leave
Bereavement Leave – in the event of the death of a father, mother, spouse, or child, an employee is entitled to 5 days’ leave.
Wedding Leave – workers are entitled to 5 days of leave in the event of their wedding.
Blood Donation Leave- – workers are entitled to 2 days of leave when voluntarily donating blood.
Vacation Days
Public Holidays
Highest
Lowest
PAID MATERNITY LEAVE (DAYS)
Highest
Lowest
Termination
Termination Process
The termination process varies according to the employment agreement and collective agreement in place and is based on the type of contract and reason for termination.
Employers must provide an explanation of the reasoning for the dismissal and must do so in writing at least eight days before the termination initiation. An employee must be allowed to respond to an employer’s termination notice. Failure to provide this opportunity may result in a court invalidating the dismissal.
| Salary payment interval / date | Final payment on termination | Bank account/payment-method requirement |
|---|---|---|
| Salaries must be paid at least once a month and the pay-day must be specified in the employment contract or collective agreement. | On termination of employment, all due wages, salary compensation and other entitlements must be paid. While the law does not specify a universal “within X days” for all payments, employer guides note that payment should be made within 30 days of termination in many cases. | Salary is to be paid in the national currency (RSD) and though bank transfer is common practice, the law does not clearly require payment only into a bank account for all employees without exception. |
Notice Period
Employers must give an employee eight days notice before the dismissal (five days during probation). An employee terminating the employment contract must provide 15 days’ notice.
In the event of layoffs, a notice period of 30 days is required.
Severance Pay
In Serbia, severance pay is only paid in the case of layoffs. The severance payment is equal to at least 1/3 of the monthly average salary for the last 3 months multiplied by the years service at the company.
Probation Period
In Serbia, the probation periods may vary depending on the employment contract in place. However, the probation period can be no more than six months.
During the probation period, either the employer or employee can terminate the employment contract with five days’ notice.
Immigration
There are several requirements for every type of Serbian visa, but the specifics vary from visa to visa. However, some of the general requirements include:
- Valid passport and photos
- Letter of invitation from a Serbian-based company
- Application forms
- Application fees
- Proof of medical insurance
- Proof of funds
Your prospective employee should liaise with the Serbian Ministry of Interior Affairs to supply any relevant documents and application forms to their local embassy/consulate to apply for a work visa. Serbia has a range of visas for foreigners and workers. However, foreign employees’ most frequently requested visas are the C visas, for stays of fewer than 90 days, and D visas, for more than 90 days.
The employer must complete work permit applications. First, the employer must correspond with the National Employment Service to demonstrate that no Serbians can fill the position in question. If no Serbians can be found, the employer can apply for a work permit. The most frequently requested work permit in Serbia is the Type D Work Permit, specifically for foreigners working in Serbia temporarily. It lasts for one year and can be renewed for an additional year. It usually takes three weeks to process.
VAT
General
The standard rate of VAT in Serbia is 20.00%
Stay up to date on payroll & employment law changes
Version History
March 4, 2024
Minimum wage has been updated
February 1, 2024
The maximum and minimum monthly contribution basis has increased.
January 1, 2022
Minimum wages have been increased by 9.4%. From January 2022 until December 2022 the minimum wage will be set at RSD 201.22 net per hour.
October 12, 2021
Parental leave of 5 days.
Questions & Answers
See how Papaya can help you automate your global payroll or EoR whilst staying 100% compliant with local labor laws
While Papaya has made efforts to ensure the accuracy and timeliness of the information provided here, Papaya does not offer any warranties or representations, whether express or implied, regarding its correctness. The information is subject to change without prior notice. Additionally, the content of this publication may be affected by changes in (tax or others) laws in various jurisdictions. None of the information in this publication should be construed as a commercial offer or solicitation, or as a recommendation or any specific transaction. It should not be considered as a substitute for engaging in a legal, tax, financial, investment, or accounting consultancy. Papaya is not responsible for any loss or damage incurred from the use of or reliance on the information provided herein.
Download this guide to read later
Payroll and Benefits Guide
Download free guide
Payroll and Benefits Guide
in Serbia
What’s covered in this guide:
- Employer/employee contributions
- Minimum wage
- Working hours
- Visa requirements
And more...
All questions are answered by our in-house compliance department working in conjunction with our local in-country partner for this specific country
Public Holidays Calendar
Serbia
Download:
CSV
PDF
ICS
| Date | Day | Holiday | Holiday Notes |
|---|---|---|---|
| January 1, 2026 | Thursday | New Year’s Day | |
| January 2, 2026 | Friday | New Year (Day 2) | |
| January 7, 2026 | Wednesday | Orthodox Christmas | |
| February 15, 2026 | Sunday | Statehood Day | |
| February 16, 2026 | Monday | Statehood Day (Observed) | |
| February 17, 2026 | Tuesday | Statehood Day (Day 2) | |
| April 10, 2026 | Friday | Orthodox Good Friday | |
| April 11, 2026 | Saturday | Orthodox Holy Saturday | |
| April 12, 2026 | Sunday | Orthodox Easter | |
| April 13, 2026 | Monday | Orthodox Easter Monday | |
| May 1, 2026 | Friday | Labor Day | |
| May 2, 2026 | Saturday | Labor Day (Day 2) | |
| November 11, 2026 | Wednesday | Armistice Day |
Can you do studies on how much selected positions are paid ?
Hello, existing clients of Papaya can use our Benchmarking tool to request a salary benchmark.
I want know about work permit and food accommodation transport give by employer..? Here in Dubai visa consultancy offering work permit all provided by company is it real how we can conform..?
In Serbia, Employers are required to provide workers a food allowance, however, no specific minimum amount is set and employers can choose the amount in the employment contract. It is common to give at least 15 Euros per month per allowance. This is the same requirement for a holiday allowance. A transportation allowance is not typically required unless applied through the employment agreement of CBA etc.