Hiring in Romania: Employer Costs, Labor Laws and How to Hire
Romanian employers pay a 2.25% work insurance contribution (CAM) on gross pay in 2026. The employee pays 25% pension (CAS) and 10% health (CASS) contributions, plus 10% income tax, all withheld by the employer. On a RON 10,000 monthly salary, the employer's cost is RON 10,225 a month.
Hiring someone in Romania? This guide covers what an employee costs, the CAS, CASS and CAM contributions, the labor rules that apply, income tax, work visas and the ways a company outside Romania can employ someone there.
Employer and employee contributions in Romania, 2026
Key employment rules in Romania
How to hire in Romania
Hiring in Romania comes down to two decisions: who you hire, and how you employ them.
- Find the person. Write the role, set the salary against Romanian 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.
- Choose how to employ them. A Romanian entity running payroll, an employer of record or a contractor agreement. Each option is explained below.
- Make the offer. The contract has to meet the rules in the employment table above. Pay in Romania is usually quoted as a gross monthly salary.
Your options for employing someone in Romania
- Romanian entity: you register a company in Romania, run payroll, file the monthly D112 declaration with ANAF and pay the employer's CAM yourself. It suits a team of several people in Romania.
- Employer of record (EOR): a third-party provider becomes the legal employer and runs Romanian payroll for a monthly fee per employee. Your company directs the work.
- Contractor: the person invoices you through their own business, for example as a PFA (authorized self-employed person). 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 Romania
In Romania most social contributions are paid by the employee and withheld by the employer. The employer itself pays only the 2.25% work insurance contribution (CAM) in normal working conditions.
Take a salary of RON 10,000 gross a month in 2026, which is RON 120,000 a year.
- Employer CAM: RON 10,000 x 2.25% = RON 225 a month
- Employer's cost: RON 10,000 + RON 225 = RON 10,225 a month, or RON 122,700 a year
The employee pays CAS of 25%, or RON 2,500, and CASS of 10%, or RON 1,000. Before any personal deduction, income tax is 10% x RON 6,500 = RON 650, which leaves RON 5,850 net. Roles in particular or special working conditions carry an extra employer pension contribution of 4% or 8%.
Minimum wage and pay
The national minimum wage is RON 4,050 gross a month from 1 January to 30 June 2026, under HG 1506/2024, and RON 4,325 from 1 July 2026, under HG 146/2026. For some workers paid the minimum wage, part of it is free of tax and contributions: RON 300 a month to June 2026 and RON 200 from July 2026. The 2026 social insurance budget law uses average gross earnings of RON 9,192 a month. See our Romania minimum wage page.
Income tax in Romania
Romania has a flat income tax on salaries. The employer withholds it each month:
| Income tax on salaries, 2026 | Rule |
|---|---|
| Rate | 10% flat |
| Base | Gross pay minus the employee's CAS and CASS, the personal deduction where it applies, and other allowed deductions |
| Who pays | The employer withholds it from each monthly payment |
Work visas
- Highly qualified workers: a long-stay employment visa needs a full-time contract of at least 6 months and a salary at least equal to the average gross salary. The employer applies on the WorkinRomania.gov.ro platform.
- Digital nomad visa: people who work remotely for a company outside Romania need income of at least 3 times the average gross monthly salary in Romania for each of the 6 months before they apply. OUG 194/2002, article 49.
Public holidays in 2027
Romania has 17 public holidays in 2027, and 9 of them fall on a weekday. See every date on our Romania 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 Romania to see who is hiring there now.
This is general information, not legal or tax advice. Rules change and collective agreements can set different terms. Confirm with a local accountant or lawyer before you hire.
Frequently asked questions
How much does an employer pay in contributions in Romania?
2.25% of gross pay in 2026, the work insurance contribution (CAM), in normal working conditions. Roles in particular or special working conditions add an employer pension contribution of 4% or 8%.
What does a RON 10,000 monthly salary cost a Romanian employer?
RON 10,000 plus RON 225 in CAM, for RON 10,225 a month or RON 122,700 a year. The employee's CAS, CASS and income tax come out of the gross salary.
How long is the notice period in Romania?
At least 20 working days when the employer dismisses. An employee who resigns gives up to 20 working days of notice, or up to 45 working days in a management role.
How much paid leave do employees get in Romania?
At least 20 working days a year under the Labor Code, plus the public holidays it sets.
Can a company outside Romania 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
- ANAF, D112 declaration structure, version from 01/2026. Checked 3 Nov 2026.
- ANAF Galati, Informative note on CAS and CASS, 20 Jan 2026. Checked 3 Nov 2026.
- ANAF Brasov, Fiscal Code changes by OUG 8/2026, 27 Feb 2026. Checked 3 Nov 2026.
- ANAF Brasov, Fiscal changes 2026. Checked 3 Nov 2026.
- Inspectia Muncii, Labor Code (Law 53/2003), consolidated text. Checked 3 Nov 2026.
- Inspectia Muncii, Frequently asked questions on the Labor Code. Checked 3 Nov 2026.
- Inspectia Muncii, Working and rest time. Checked 3 Nov 2026.
- Inspectia Muncii, HG 146 of 12 Mar 2026. Checked 3 Nov 2026.
- ITM Arges, Minimum gross wage, HG 1506/2024. Checked 3 Nov 2026.
- ANAF, Law 44/2026 on the state social insurance budget for 2026. Checked 3 Nov 2026.
- IGI, Long-stay visa for employment. Checked 3 Nov 2026.
- IGI, Long-stay visa for other purposes. Checked 3 Nov 2026.
