Your Guide to Hiring Employees and
Contractors in Hungary
Hungarian forint (Ft, HUF)
Ease of doing business
Salaries must be paid on a monthly basis.
Minimum Wage Requirements:
Hungary differentiates between the minimum wage and the guaranteed minimum wage.
The guaranteed minimum wage only applies to full-time employees hired for jobs that require at least a secondary school qualification or secondary vocational qualification
The guaranteed minimum wage is 260,000 HUF gross/month.
Individual Income Tax:
The individual income tax in Hungary is 15%. Income tax is calculated using a flat rate.
The employer cost is generally estimated at 13.0% of the employee salary.
Social Contribution Tax – 13.0%
Monday to Friday.
Overtime Pay & Maximum Hours
Overtime payment is mandatory. Employees can work a maximum of 4 hours of overtime daily and 8 hours of overtime weekly.
Employers in Hungary are usually required to provide a reason (in writing) to every employee being terminated.
To terminate an employee in Hungary, the employer must provide advance notice of between 30-90 days.
In Hungary, the maximum probation period is three months. After the probationary period ends, the employee is considered a full employee and entitled to all the protections of Hungarian labor law.