Minimum wage higher from October, and non-taxable part of salary to increase from January 2026

As of October 1 this year, the minimum wage will be EUR 500, it was announced after a meeting of the Social-Economic Council. The new increase is planned for January, and the non-taxable part of income for employers is also to increase from 28,423 dinars to 34,322 dinars then.

– What is particularly important to me, and it is also important for employers, if you take into account the extraordinary salary increase of 9.4 percent, is the projected one that is the proposal by the Government of the Republic of Serbia of 10.1 percent from January 1. That’s a cumulative increase of 20.4 percent, and that is precisely by how much we propose the non-taxable part of the salary to increase, so, from 28,423 dinars to 34,322 dinars – said Finance Minister Sinisa Mali.

President of the Association of Serbian Employers and member of SEC Milos Nenezic said that employers had agreed with the decision for several reasons.

– The most important reason is that the Government of Serbia has absolutely set a mini record in terms of empowering employers and private entrepreneurs. If we look at the data for the last seven years, we see that the number of business entities is constantly growing, as well as the profits of business entities, employment, and the minimum and average wage. This is an indicator that the Serbian Government is working on behalf of the economy, and when it works on behalf of the economy, of course it is for the benefit of the citizens – he said, as reported by Blic.

He pointed out that in the preceding seven years, employers had had a burden reduction of 4.75 percent, where taxes and contributions on the employers’ behalf had been reduced by two percent, unemployment tax by 0.75 percent and wage tax by two percent, while the non-taxable part of wages increased by 148 percent.

Unija poslodavaca Srbije Beograd

Association of Serbian Employers

Miloš Nenezić

minimum wage increase

minimum wage