Increase of National Minimum Wage Changes Social & Health Insurance Contributions

On 14.09.2022, the Council of Ministers adopted Decision no. 604, dated 14.09.2022 “On
Determining the National Minimum Wage”, which repeals Decision no. 158, dated 12.03.2022 of the
Council of Ministers.
Based on this decision, the minimum monthly wage is increased to ALL 34,000 (thirty-four
thousand) (instead of the previous minimum monthly wage of ALL 32,000). The basic minimum
hourly wage is increased to ALL 195.4 (one hundred and ninety-five point four) (instead of
ALL 183.9). The said wage is paid for 174 (one hundred and seventy-four) working hours per
month, performed during normal working time.
The new minimum wage is effective starting from 1 September 2022.
As a result of the increase of the minimum wage, starting from 1 September 2022, the monthly
minimum and maximum bases for purposes of calculating mandatory social insurance contributions become ALL 34,000 (the minimum gross monthly salary) and ALL 149,953
respectively, while health insurance contributions shall continue to be calculated on the gross salary
of the insured employee.

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