How net pay is calculated in Kosovo
- Gross salary is the amount in the employment contract.
- Employee pension (Trusti): 5% of gross is withheld for the employee's pension account.
- Taxable pay = gross minus the employee's 5% pension.
- Personal income tax on monthly taxable pay: 0% up to €250, 8% from €250 to €450, 10% above €450.
- Net salary = taxable pay minus income tax.
These tax brackets apply since 23 August 2024, under Law No. 08/L-142 amending the Law on Personal Income Tax.
Example: €1,000 gross, primary job
| Step | Calculation | Amount |
|---|---|---|
| Gross salary | contract amount | €1,000.00 |
| Employee pension | €1,000.00 × 5% | − €50.00 |
| Taxable pay | €1,000.00 − €50.00 | €950.00 |
| Income tax | €0.00 + €16.00 + €50.00 | − €66.00 |
| Net salary | €950.00 − €66.00 | €884.00 |
Gross to net for common salaries
| Gross | Net (primary job) | Net (secondary job) | Total employer cost |
|---|---|---|---|
| €500.00 | €456.50 | €427.50 | €525.00 |
| €800.00 | €713.00 | €684.00 | €840.00 |
| €1,000.00 | €884.00 | €855.00 | €1,050.00 |
| €1,500.00 | €1,311.50 | €1,282.50 | €1,575.00 |
| €2,000.00 | €1,739.00 | €1,710.00 | €2,100.00 |
| €3,000.00 | €2,594.00 | €2,565.00 | €3,150.00 |
| €5,000.00 | €4,304.00 | €4,275.00 | €5,250.00 |
What an employee costs the employer
The employer pays an extra 5% pension contribution on top of the gross salary. It is not deducted from the employee's pay. A €1,000.00 gross salary therefore costs the employer €1,050.00 a month.
Minimum wage in Kosovo in 2026
Under Government Decision No. 10/273 of 31 October 2025, the full-time minimum wage rose from €350.00 to €425.00 gross on 1 January 2026 and to €500.00 gross on 1 July 2026.
| Period | Gross | Net | Employer cost |
|---|---|---|---|
| 1 January – 30 June 2026 | €425.00 | €391.45 | €446.25 |
| From 1 July 2026 | €500.00 | €456.50 | €525.00 |
Secondary employment
The 0% · 8% · 10% brackets apply only at the employee's primary employer. A secondary employer withholds a flat 10% on all taxable pay. The 5% + 5% pension applies to both.
Overtime and premiums
The Labour Law (No. 03/L-212) sets premiums on the hourly rate: +30% for overtime, +30% for night work, +50% for weekend work and +50% for public holidays. With 176 working hours a month, €1,000.00 gross is €5.68 an hour.
Withholding and filing
- The employer withholds income tax and both pension contributions every month.
- They are declared and paid through the Tax Administration of Kosovo's EDI system by the 15th of the following month.
- Since 1 February 2022 these declarations are electronic only.
openpaga runs this whole cycle for businesses in Kosovo: payroll, the EDI XML file, payslips and bank payment orders. The app is in Albanian. Start free.
Frequently asked questions
How much is €1,000 gross in net pay in Kosovo?
€884.00 for a primary job: €50.00 pension and €66.00 income tax are deducted. In a secondary job it is €855.00.
What is the income tax rate in Kosovo?
0% on monthly taxable pay up to €250, 8% on the part from €250 to €450 and 10% above €450. Secondary employment is taxed at a flat 10%.
How much does an employee cost an employer in Kosovo?
Gross salary plus the employer's 5% pension contribution. For €1,000.00 gross that is €1,050.00 a month.
What is the minimum wage in Kosovo in 2026?
€425.00 gross from 1 January 2026 and €500.00 gross from 1 July 2026 for full-time work, which is €456.50 net.
Sources
The figures on this page come from the same engine as the openpaga calculator and payroll. For a final legal or tax interpretation, use the official texts and professional advice.
- PwC Tax Summaries: Kosovo, taxes on personal income
- RPHS Law: ndryshimi i Ligjit për tatimin në të ardhurat personale
- Trusti: funksionet dhe përgjegjësitë
- Balkanweb: 425 euro nga janari dhe 500 nga korriku
- Ligji Nr. 03/L-212 i Punës (Gazeta Zyrtare)
- ATK: Udhëzues për deklarimin e pagave dhe pensioneve përmes EDI