Serbia offers a fast-growing, cost-competitive tech and services workforce outside the EU but close to it. All-in employer cost runs around 1.16x the gross salary. Here is what to know before your first Serbian hire.
Employment runs under the Labour Law, with written contracts and mandatory social contributions split between employer and employee. Many IT professionals work as flat-rate entrepreneurs, but genuine employment relationships must be formalised.
Employer social contributions add about 15.15% on top of gross salary across pension and health, with the employee paying a larger share.
Serbia splits social contributions between employer and employee, with the employee carrying the larger portion, plus a flat income tax.
Employees pay their contribution share plus a flat 10% income tax above a non-taxable amount, withheld at source. Withholding is the employer's responsibility, which under EOR means ours.
*All figures are estimates from public sources (2025-26), pending ops verification - same basis as the EOR cost calculator. Not tax or legal advice.
Compliant Serbian employment contract, payroll, and social contributions, handled. One invoice, flat $399 per month.