Whether you want to set up a company in bulgaria or go to work in bulgaria, it is good to have as much information as possible about salaries in bulgaria. Here are the main points to remember.
Developing a business and recruiting in Bulgaria
In 2023, the minimum wage in Bulgaria is BGN 933 (about EUR 460).
The average gross monthly salary in Sofia is around BGN 2.800 (about EUR 1.400), resulting in a net salary (after tax and social contributions) of about BGN 2.200 (EUR 1.000).
In the rest of the country, the average gross salary is around BGN 2.000 (about EUR 1.000), but with important regional diversity.
The average salary in Bulgaria has thus increased by about 50% over the last 5 years, and it even increased by 20% in a single year from 780 BGN in 2023 to 933 BGN in 2024.
Wages in Bulgaria usually take place once a month, and sometimes twice a month.
Income taxes and payroll taxes are withheld.
The highest-paying jobs are in the ICT information and communications technology sectors (average wage of EUR 2,500 to 3,500), in the electricity, gas and water production and distribution (average wage EUR 1,500) and finance (average salary EUR 1,400). Agriculture and logging are the sectors that pay the least (average wage 500 EUR).
Contributions and expenses on salaries in Bulgaria
Contributions in case of illness, work-related accidents, occupational illness, maternity, disability and loss of employment, old age and death are shared between the employer and the employee.
Social security contribution rates are capped on the basis of a salary of BGN 3.750 (about EUR 1.900). Social security contributions are divided between the employer and the employee: about 20% for the employer and 13% for the employee.
Hourly cost of a Bulgarian employee
In Bulgaria, an employee costs in average 7 euros per hour, which is 4 times less than what it costs in country like Luxembourg or Belgium or France.
Working in Bulgaria: Negotiating Wages, Bonuses and Other Benefits
During recruitment negotiations, Bulgarian routinely exaggerate their previous salary, in order to negotiate on a higher basis.
Bulgarian, however, do not feel comfortable discussing wages, which remains a taboo subject in companies.
Premiums are usually considered motivating by Bulgarian but are poorly developed in companies.
In-kind benefits are becoming more common and are even mentioned in job offers (for example, the 13th month that employees perceive in December, after a year of seniority is common for so-called "attractive" companies).
The most common in-kind benefits are supplementary health insurance, restaurant tickets, fitness club memberships, transportation reimbursements, clothing costs, discounts on the prices of company products.
The company car, mobile phone and registration in different clubs are relatively common in-kind benefits for managers and deemed as incentives. However, it should be borne in mind that all these benefits are subject to payroll taxes and taxes.
Update: 2024