How much does an employee cost in Croatia?

Salaries throughout Croatia can vary greatly and possibly cause paradoxic situations that however can be explained with differences in income sources: during summer high season a waiter in the seaside town of Poreč can earn four times the salary of an engineer working in Osijek (the provincial capital, located in the mainland of the state near the Hungarian border).

According to the data provided by the Croatian Bureau of Statistics, the average net salary in June 2018 amounted to HRK 5,415 (app. €752.08). Compared to May of the same year, the average net salary was higher for HRK 138 (app. €19.16), which represents an increase of 2.6% in nominal terms.

The increase of June salaries can be linked to changes in the taxation regime (regarding withholding taxes) that imposed a 2% crisis tax abolition for salaries between HRK 3,000‒6,000 (app. €412.66‒833.33).

In the whole year, however, the average net salary has increased by HRK 45 (app. €6.25), which represents an increase of 0.8% in nominal terms compared to June 2017.

As shown in this article, the salary of an employee in Croatia it’s below the average European salary, which among other positive things makes Croatia convenient for foreign entrepreneurs when starting a new business.

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