Employment and minimum salaries

Companies recruiting or hiring full time employees, must first enter an employment contract with employees with specific skills. Hungarian nationals and EU citizens do not need a separate work permit. For non-EU persons the company must sponsor a work permit and will qualify for hungarian residence permit based on employment.

As of 1 Jan 2017, the minimum wage has been increased in Hungary. The minimum wages for 40 hour work

  • Minimum wage: EUR 350 per month
  • Minimum wage with secondary education degree: EUR 415 per month

Employers have to pay 22% social security contribution for employees.

Employers in Hungary are required to pay the following taxes and contributions on the gross salaries of their employees:




Social contribution tax

22 %

Vocational contribution

1.5 %

Personal income tax

15 %

Pension contribution

10 %

Social security contribution


Employment contribution

1.5 %


33.5 %

23.5 %

Steps to hire an employee

  1. Enter an employment contract with work conditions and salary
  2. Register the employee with accountant who will  register for payroll, notify the tax authority and employment office.
  3. Pay salary and social contributions.

The daily work time is 8 hours with 20 days vacation and 15 days sick leave.

Employment contract may be terminated by mutual consent, employer or termination without notice in 30 days. All salaries must be paid by 12th of every month.

Source: https://accace.com/wp-content/uploads/2017/02/2017-Labour-Law-and-Employment-Hungary-EN.pdf