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UAEstonian net salary calculator
See what an employee takes home and what the company really pays: 33% social tax on top, and the €700 basic exemption, the same at every income in 2026.
What does this salary come to?
More options
Turn on JavaScript to try your own numbers. Below is a worked example.
Example:
€2,409.76 take-home a month
The company pays €4,014.00 in total — €1,014.00 on top of the salary.
- Take-home pay
- €2,409.76
- Total cost to the company
- €4,014.00
Payroll and form TSD, every month
Show the calculation
- Gross salary
- €3,000.00
- Unemployment insurance, employee (1.6%)
- €48.00
- II pillar pension (2%)
- €60.00
- Income tax (22%)
- €482.24
- Take-home pay
- €2,409.76
- Social tax (33%), paid by the company
- €990.00
- Unemployment insurance, employer (0.8%)
- €24.00
- Total cost to the company
- €4,014.00
- A year at this salary
- €48,168.00
Below €886 a month, social tax is charged as if the salary were €886 — €990.00, whatever the salary.
Rounded to the cent, the closest take-home pay is €2,409.76.
Declared on form TSD and paid by the 10th of the month after the salary is paid.
Figures checked 22 September 2026 · Sources
How is net salary calculated in Estonia?
For an employee who is tax resident and works in Estonia, the employer withholds unemployment insurance and the II pillar pension from the gross salary, deducts the basic exemption — €700 a month in 2026, the same at every income — and charges 22% income tax on the rest. Social tax and the employer’s unemployment insurance come on top.
- Withheld from gross: unemployment insurance 1.6% and the II pillar pension — 2% unless the employee chose more.
- Deducted next: the basic exemption, €700 a month.
- Income tax: 22% of what’s left. Take-home pay is gross minus all three.
- On top, the employer pays social tax of 33% — for most employees on at least €886 a month — and unemployment insurance of 0.8%.
Worked examples
| Salary | Take-home | Income tax | Cost to the company |
|---|---|---|---|
| €3,000 gross, II pillar 2% | €2,409.76 | €482.24 | €4,014.00 |
| €800 gross — the minimum social tax applies | €755.54 | €15.66 | €1,098.78 |
| €3,000 gross, II pillar 6% | €2,316.16 | €455.84 | €4,014.00 |
What doesn’t this calculator include?
- Board member fees
This calculator models an employee on an employment contract. A management board member’s fee is a different case — ask us and we’ll work yours out.
- Employees of pension age
Their basic exemption is higher — €776 a month — and this calculator doesn’t model that case.
- Employees who live or work abroad
This calculator assumes an employee who is tax resident in Estonia and works here. A non-resident gets the basic exemption only as a resident of another EEA country, with a residence certificate; for someone working abroad, other rules may apply. Ask us before you offer a salary.
- Exempt employees and part months
For some employees — for example a student or someone receiving a state pension — the minimum social tax doesn’t apply: switch it off. The calculator assumes a full calendar month.
- Holiday pay, sick pay, benefits
Only a regular monthly salary is shown. Fringe benefits and holiday or sick pay follow their own rules.
What else do employers ask about payroll tax?
How much is the tax-free amount in Estonia in 2026?
For an Estonian resident, €700 a month, €8,400 a year. In 2026 it is the same at every income level — it no longer shrinks as pay rises. A non-resident gets it only as a resident of another EEA country, with a residence certificate.
What does an employee cost an Estonian company?
The gross salary plus 33% social tax and 0.8% unemployment insurance. For most employees, social tax is owed on at least €886 a month — at least €292.38, even on a lower salary.
Which II pillar rate should the employee choose?
It’s the employee’s choice of 2, 4 or 6% — 2% unless they choose otherwise. A higher rate means less take-home pay now — switch the rate in the calculator to see by how much.
When are payroll taxes paid in Estonia?
By the 10th of the month after the salary is paid, on form TSD: income tax, social tax, unemployment insurance and pension contributions together.
Is there a security tax on salaries?
No. Estonia passed a security tax on income and profit, but repealed it before it ever applied, so this calculator has no such line.
Where do these figures come from?
Only official sources. Each line shows when we last checked its figures there — the oldest of the dates, if it carries several.
- Tax rates (private client)
- Income Tax Act (in Estonian)
- Tax changes in 2026 (in Estonian)
- Income from employment (non-residents)
- Social tax
- Income and social taxes
- Submission of declaration form TSD
- Security Tax Act, never in force (in Estonian)
This information is general in nature and current as of its publication date. It is not individual advice.
Hiring your first employee?
We set up payroll, file form TSD every month and tell you what each salary costs before you offer it.
We reply within one working day