Legal matters

Employment related taxes/Legal matters

TariffEmployerEmployee
1. Pension social insurance22,3%3 (5)%*
2. Sickness social insurance1,2%
3. Maternity social insurance2,2%
Unemployment social insurance1,6 (3,2)%**
Mandatory health insurance3%6%
Guarantee fund0,2%
Long-term work payments fund0,5%
Accidents at work and occupational diseases social insurance0,18***
Income tax15%****

* A 5% tariff is applied to people individually accumulating in the stage II pension funds.

** A 3,2% tariff is applied to fixed-term employment contracts only.

*** Employers are attributed to a group depending on the level of risk associated with engaging an individual: I group – 0,18%, II group – 0,39%, III group – 0,9%.

**** The average tax-free income (NPD) for income tax application is being calculated according to the formula: NPD = 310 – 0,5 x (monthly income – 380 EUR).

Minimum monthly wages in Lithuania

MMW from 2018-01-01MMW until 2017-12-31
400 EUR/month380 EUR/month
2,45 EUR/h2,32 EUR/h