The Government of the Republic of Serbia has adopted a Decision on the Amount of the Minimum Work Price for the period January-December 2021, which was published in the Official Gazette of the RS no. 116 dated September 16, 2020.

The amount of minimum work price

The amount of the minimum work price, without taxes and contributions for mandatory social insurance is increased from 172.54 RSD to 183.93 RSD (net amount) per working hour. Therefore, the minimum work price in Serbia in 2021 will be increased by 6.6%.

For example, the minimum work price for a month with 160 working hours in 2021 will amount to 29,428.80 RSD (net amount), while in a month with 184 working hours it will amount to 33,843.12 dinars.

Non-taxable amount of salary

An increase in the non-taxable amount of salary was also announced, namely, instead of the current non-taxable amount of salary of 16,300 RSD, the amount of 18,300 RSD was proposed.

Having in mind that the issue of the non-taxable amount of salary is regulated by the Law on Personal Income Tax, it should be expected that this proposal will be in the procedure of the National Assembly of Serbia by the end of 2020, and its application should be expected as of January 1, 2021.

This article is to be considered as exclusively informative, with no intention to provide legal advice.
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