Workforce Calculator
Salary Calculator
Use our salary calculator to calculate a quick estimate of net salary, Gross 1 and total employer cost in Serbia for an employment contract. The calculator supports amounts in RSD, EUR and USD.
Taxes and Employee Contributions
- Salary tax 10%
- Pension and disability insurance 14%
- Health insurance 5.15%
- Unemployment insurance 0.75%
Employer Contributions
- Pension and disability insurance 10%
- Health insurance 5.15%
Parameters Used in the Calculation
- Minimum net hourly wage
- Non-taxable salary amount (gross)
- Maximum monthly contribution base
- National Bank of Serbia middle exchange rate
Indicative calculation for . Exchange rate: . Please verify the final calculation with your accounting department.
FAQs
Frequently Asked Questions
How is net salary calculated from the gross amount?
When the gross salary is known, the net salary is calculated by deducting the applicable salary tax and employee social security contributions. The net salary represents the amount paid directly into the employee’s bank account and it is lower than the gross salary.
How is gross salary calculated from net salary?
Gross salary is calculated by adding the applicable salary tax and employee social security contributions to the desired net salary. It represents the employee’s total salary before these statutory deductions are applied.
What is the difference between net salary, Gross 1 and Gross 2?
Net salary is the amount paid into the employee’s bank account after the applicable taxes and contributions have been deducted.
Gross 1 includes the net salary, salary tax and mandatory social security contributions payable by the employee.
Gross 2 represents the employer’s total employment cost. It includes the Gross 1 amount, as well as the mandatory social security contributions payable by the employer.
How is the total employment cost calculated?
The total employment cost is calculated by adding the employer’s mandatory social security contributions to the Gross 1 salary.
The resulting amount, referred to as Gross 2, represents the employer’s total salary-related cost for one employee.
This calculation is particularly useful for workforce budgeting, estimating employment costs and comparing different salary levels.
Which taxes and contributions are included in salary calculations in Serbia?
Salary calculations in Serbia include salary tax and mandatory social security contributions for:
- pension and disability insurance;
- health insurance; and
- unemployment insurance.
The applicable contributions are calculated either at the employee’s expense or at the employer’s expense, depending on the type of contribution.
What is the minimum salary, and how is it calculated?
The minimum salary in Serbia is calculated based on the applicable minimum hourly wage.
The monthly amount is determined by multiplying the minimum hourly wage by the number of working hours in the relevant month. As the number of working hours varies, the minimum monthly salary may differ from one month to another.
The calculation also takes into account the applicable taxes, social security contributions and the non-taxable salary amount.
Does the salary calculator support calculations in RSD, EUR and USD?
Yes. The salary calculator supports calculations in RSD, EUR and USD.
Users can calculate and compare net salary, Gross 1, Gross 2 and total employment costs in different currencies, making the tool useful for salary planning, cost comparisons and workforce budgeting.
How do meal and annual leave allowances affect salary calculations?
Meal and annual leave allowances are additional components of an employee’s remuneration and are included in the salary calculation.
These allowances may increase both the amount received by the employee and the employer’s total employment cost, as they are treated as salary components and calculated in accordance with the applicable tax and labour regulations.
Including them correctly provides a more accurate overview of the employee’s total remuneration and the employer’s overall cost.