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Czechia

Hiring in Czechia: Employer Costs, Labor Laws and How to Hire

EMPLOYER SOCIAL AND HEALTH INSURANCE, 2026

Czech employers pay 24.8% social insurance and 9% health insurance on gross pay in 2026, 33.8% in all. The employee pays 7.1% and 4.5%. On a CZK 60,000 monthly salary, the employer's cost is CZK 963,360 a year.

33.8%
Minimum wage, 2026
CZK 22,400 / month
Average gross pay, Q2 2026
CZK 51,966 / month
Annual leave
4 weeks
Employer contributions
33.8%

Hiring someone in Czechia? This guide covers what an employee costs, social and health insurance, the labor rules that apply, income tax, work visas and the ways a company outside Czechia can employ someone there.

Employer and employee contributions in Czechia, 2026

<table class="ert-table"><thead><tr><th>Contribution, 2026</th><th>Employer</th><th>Employee</th><th>Total</th></tr></thead><tbody><tr><td>Pension insurance</td><td>21.5%</td><td>6.5%</td><td>28.0%</td></tr><tr><td>Sickness insurance</td><td>2.1%</td><td>0.6%</td><td>2.7%</td></tr><tr><td>State employment policy contribution</td><td>1.2%</td><td>None</td><td>1.2%</td></tr><tr><td><strong>Social insurance, total</strong></td><td><strong>24.8%</strong></td><td><strong>7.1%</strong></td><td><strong>31.9%</strong></td></tr><tr><td>Public health insurance (13.5%: two thirds employer, one third employee)</td><td>9.0%</td><td>4.5%</td><td>13.5%</td></tr><tr><td><strong>All contributions</strong></td><td><strong>33.8%</strong></td><td><strong>11.6%</strong></td><td><strong>45.4%</strong></td></tr></tbody></table>

Key employment rules in Czechia

<table class="ert-table"><thead><tr><th>Rule</th><th>What the law sets</th><th>Legal basis</th></tr></thead><tbody><tr><td>Working time</td><td>Up to 40 hours a week. A shift can last up to 12 hours</td><td>Labor Code (Act 262/2006 Sb.)</td></tr><tr><td>Annual leave</td><td>At least 4 weeks a year</td><td>Labor Code (Act 262/2006 Sb.)</td></tr><tr><td>Probation</td><td>Up to 4 months, or up to 8 months for managers. For a fixed-term contract, at most half of its length. Agreed in writing by the first day of work</td><td>Labor Code, § 35</td></tr><tr><td>Notice</td><td>At least 2 months for both sides. 1 month in some cases under § 52 f) to h). From 1 June 2025 it starts on the day the notice is delivered</td><td>Labor Code, § 51</td></tr><tr><td>Severance, organizational reasons</td><td>At least 1 month's average earnings with under 1 year of employment, 2 months from 1 year, 3 months from 2 years</td><td>Labor Code, § 67</td></tr><tr><td>Sick pay</td><td>The employer pays wage compensation for the first 14 days of sickness. From day 15 the ČSSZ pays sickness benefit, up to day 380 at most</td><td>Labor Code (Act 262/2006 Sb.); sickness insurance paid by the ČSSZ</td></tr><tr><td>Work on a public holiday</td><td>Pay for the work plus paid time off within 3 months, or by agreement a supplement of at least average earnings</td><td>Labor Code, § 115</td></tr><tr><td>Minimum wage</td><td>CZK 22,400 a month and CZK 134.40 an hour from 1 January 2026, for a 40-hour week</td><td>Labor Code, § 111; MPSV notice 356/2025 Sb.</td></tr></tbody></table>

How to hire in Czechia

Hiring in Czechia comes down to two decisions: who you hire, and how you employ them.

  1. Find the person. Write the role, set the salary against Czech pay levels, then source and interview candidates. You can run the search yourself with a job post, or use a placement service that delivers a shortlist.
  2. Choose how to employ them. A Czech entity running payroll, an employer of record or a contractor agreement. Each option is explained below.
  3. Make the offer. The contract has to meet the rules in the employment table above. Pay in Czechia is usually quoted as a gross monthly salary.

Your options for employing someone in Czechia

  • Czech entity: you register a company in Czechia, run payroll and pay social and health insurance yourself. It suits a team of several people in Czechia.
  • Employer of record (EOR): a third-party provider becomes the legal employer and runs Czech payroll for a monthly fee per employee. Your company directs the work.
  • Contractor: the person invoices you as a self-employed trader. The relationship has to be genuinely independent, or it can count as employment.

Euro Remote Talent does not employ people on your behalf. We handle the placement: we find and shortlist the candidate, and you employ them through the route that fits.

What an employee costs in Czechia

Take a salary of CZK 60,000 gross a month in 2026, which is CZK 720,000 a year.

  • Employer social insurance: CZK 720,000 x 24.8% = CZK 178,560
  • Employer health insurance: CZK 720,000 x 9% = CZK 64,800

The employer's cost is CZK 963,360 a year, or CZK 80,280 a month. The employee pays 7.1% social insurance, or CZK 51,120, and 4.5% health insurance, or CZK 32,400, plus income tax, all withheld by the employer. Social insurance stops once pay in the year reaches CZK 2,350,416, 48 times the average wage of CZK 48,967. Health insurance has no ceiling. Employers in risky jobs pay 27.8% social insurance instead of 24.8%.

Minimum wage and pay

The minimum wage is CZK 22,400 gross a month and CZK 134.40 an hour from 1 January 2026, for a 40-hour week. MPSV has announced CZK 24,900 a month and CZK 148.30 an hour from 1 January 2027. The average gross wage was CZK 51,966 a month in the second quarter of 2026, according to the Czech Statistical Office, and CZK 49,215 for 2025 as a whole. See our Czechia minimum wage page.

Income tax in Czechia

The employer withholds income tax advances from each salary payment. The 2026 rates:

Annual tax base, 2026Rate
Up to CZK 1,762,81215%
Over CZK 1,762,81223%

The 23% rate applies to the part of the tax base above CZK 1,762,812 a year, 36 times the average wage. For monthly advances the line is CZK 146,901 a month. Every taxpayer gets a basic credit of CZK 30,840 a year, or CZK 2,570 a month, which is taken off the tax due.

Work visas

  • EU Blue Card: for jobs that need high qualification, with a contract of at least 6 months. Gross annual pay has to be at least 1.5 times the average gross annual wage, which MPSV sets at CZK 590,580 from 1 May 2026 to 30 April 2027. That makes the minimum about CZK 885,870 a year.

Public holidays in 2027

Czechia has 13 public holidays in 2027, 9 of them on a weekday. See every date on our Czechia public holidays 2027 page.

How Euro Remote Talent can help

We do placement. We source, screen and interview remote professionals across Europe, then deliver a shortlist of 3 candidates within 21 days for a flat $6,500, or your deposit back. Prefer to run the search yourself? Post a job for $299 and reach candidates who want to work remotely.

See how placement works, post a job or book a 30-minute call. Browse remote jobs in Czechia to see who is hiring there now.

Frequently asked questions

How much does an employer pay in social and health insurance in Czechia?

33.8% of gross pay in 2026: 24.8% social insurance (21.5% pension, 2.1% sickness, 1.2% employment policy) and 9% health insurance. The employee pays 7.1% and 4.5%.

What does a CZK 60,000 monthly salary cost a Czech employer?

CZK 720,000 a year plus CZK 178,560 social insurance and CZK 64,800 health insurance, for CZK 963,360.

How long is the notice period in Czechia?

At least 2 months for both employer and employee, under Labor Code § 51. For notice delivered from 1 June 2025, it starts on the day of delivery.

How long can probation last in Czechia?

Up to 4 months, or up to 8 months for managers, under Labor Code § 35. For a fixed-term contract it can be at most half of the agreed length.

Can a company outside Czechia hire someone there without a local entity?

Yes. The usual routes are an employer of record, a third-party provider that employs the person for you, or a genuine contractor agreement. Euro Remote Talent handles the placement: we find, screen and shortlist the person, and you choose the route.

Sources

  1. ČSSZ, Contribution rates (sazby pojistného). Checked 3 Nov 2026.
  2. MPSV, Social insurance in 2026. Checked 3 Nov 2026.
  3. VZP, Assessment base and premium calculation. Checked 3 Nov 2026.
  4. VZP, Premium calculation. Checked 3 Nov 2026.
  5. Finanční správa, Employees and employers, general information, 2026. Checked 3 Nov 2026.
  6. MPSV, Working conditions for EU citizens. Checked 3 Nov 2026.
  7. MPSV, Handbook IV.1.4, probation (§ 35). Checked 3 Nov 2026.
  8. MPSV, Handbook VI.2.1, notice (§ 50, § 51). Checked 3 Nov 2026.
  9. MPSV, Handbook VI.2.2.3, severance (§ 67). Checked 3 Nov 2026.
  10. MPSV, Handbook XIX.4, pay for holidays (§ 115). Checked 3 Nov 2026.
  11. MPSV, Minimum wage. Checked 3 Nov 2026.
  12. MPSV, Handbook XVIII.1, minimum wage. Checked 3 Nov 2026.
  13. ČSÚ, Average wages, Q2 2026. Checked 3 Nov 2026.
  14. MPSV, Blue Card, information for employers. Checked 3 Nov 2026.
  15. MPSV, Notice 44/2026 Sb., average gross annual wage for Blue Cards. Checked 3 Nov 2026.
Julien Sicard
Written by
Julien Sicard
Founder, Euro Remote Talent

Julien founded Euro Remote Talent, which helps people in Europe find remote jobs and places European remote professionals with remote companies.

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