New minimum gross monthly salary in Estonia is 320 euros.

Estonian government approved the new minimum with its decree yesterday 10th of January 2013. The Estonian Trade Union Confederation and The Estonian Employers’ Confederation signed on 21st of December 2012 an agreement, which stated a new minimum gross monthly salary of 320 euros in effect from 1st of January 2012.

Minimum gross hourly wage is now 1.90 euros and the minimum monthly gross wage for full-time work is 320 euros.

Companies need to take into account the new minimum when paying January salaries. Declaring and paying taxes for January salaries can be in February or March, depending on the salary payment month.

Estonian 2013 state budget adopted by the Parliament of Estonia states 290 euros minimum salary base for calculating social tax minimum payment of 95,7 euros for each employee per month. During 2012 it was respectively 278,02 and 91,75 euros.

Increase of minimum gross salary does also apply to the minimum salary paid to the members of the board in Estonia.