Taxation

Overview of taxes in Romania

Taxation

 

Income tax on any gross salary is 16%. Employers also pay contributions for the public maintenance of employment record books, workers’ compensation insurance, etc. Every year the government sets the compulsory gross minimum wage.

In Romania, all employees and employers pay income tax as follows:

Contributions to the social security budget (pension scheme)

  • 9.5% of the employee’s gross monthly income
  • 19.75% of the total gross monthly wages earned by employees paid by the employer

Contributions to the unemployment benefit scheme

  • 1% of the gross monthly income for the insured employees, based on a contract
  • 2.25% of the total gross monthly wages earned by employees and paid by employers

Contributions to the social health insurance scheme

  • 6.5% of the employee’s gross monthly income
  • 7% of the total gross monthly wages earned by employees, paid by employers

Further reading

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