Payroll and Benefits Guide Greece
Last updated: May 09, 2023
Contributions
Employer
Employer Payroll Contributions
|
13.33% |
Pension Fund |
|
4.30% |
Health Care (applied on salary up to EUR 7,126.94 monthly) |
|
0.25% |
Health in Benefit (applied on salary up to EUR 7,126.94 monthly) |
|
3.25% |
Supplementary Insurance (applied on salary up to EUR 7,126.94 monthly) |
|
1.20% |
Unemployment (applied on salary up to EUR 7,126.94 monthly) |
|
20 EUR/year |
EFKA summer campsite programs |
|
24.74%+ 20 EUR/year |
Total Employment Cost |
Employee
Employee Payroll Contributions
|
6.67% |
Pension Fund (applied on salary up to EUR 7,126.94 monthly) |
|
2.15% |
Health Car (applied on salary up to EUR 7,126.94 monthly) |
|
0.40% |
Health in Benefit (applied on salary up to EUR 7,126.94 monthly) |
|
3.25% |
Supplementary Insurance (applied on salary up to EUR 7,126.94 monthly) |
|
1.20% |
Unemployment (applied on salary up to EUR 7,126.94 monthly) |
|
15.87% |
Total Employee Cost |
Employee
Employee Income Tax
|
9.00% |
0 – 10,000 |
|
22.00% |
10,001 – 20,0000 |
|
28.00% |
20,001 – 30,000 |
|
36.00% |
30,001 – 40,000 |
|
44.00% |
Over 40,001 |
Employer taxes
Employee taxes
Minimum Wage
General
In Greece, the minimum wage is 780.00 EUR per month.
MINIMUM WAGE (PER MONTH)
Payroll
Payroll Cycle
The payroll cycle in Greece is generally monthly, and payments must be made on the same day of the month and no later than the last working day of the month.
13th & 14th Salaries
According to Greek law, all employees in the private sectors are entitled to two additional monthly salaries divided into three payments – Christmas (one full monthly salary), Easter (half a monthly salary), and Vacation Bonus (half a monthly salary) and all the above bonus payments must be paid only in cash and not be paid in kind.
The payment of the Christmas Bonus must be made by December 21st. In case the Christmas Bonus is not paid on time, the employees should apply to the relevant Labor Inspectorate. The Labor Inspectors of SEPE are responsible for the imposition of the relevant fines.
Working Hours
General
The standard working week in Greece consists of 40 hours a week, typically eight hours a day for a five-day working week. The working week can be increased to 48 hours per week if agreed upon by the employer and the employee.
Overtime
All work above standard weekly working hours is overtime regulated by employment contracts or collective agreements. When an employee is requested to work overtime or work on holidays, the maximum is 48 hours per week inclusive of overtime over four months. There are also different maximum working hours for minors.
Overtime hours exceeding 40 hours per week and one additional hour per working day are paid at 120.00% of the employee’s basic salary rate for daytime hours and 125.00% of the employee’s basic salary for night time work for the first hour and a rate of 140% salary for a further two hours. 150 overtime hours can be worked per year.
Working Week
Monday-Friday
Leave
Paid Time Off
During the first calendar year of employment, the employee is entitled to proportionate holiday time. In a five-day employment schedule, the holiday time is calculated at twenty working days of paid holiday for the year of employment, rounding up the result for shorter periods.
In the second calendar year, once twelve months of employment are completed, holiday time increases by one working day. Therefore, by the end of the second calendar year, the employee is entitled to 21 working days of paid holiday in a five-day employment schedule.
In the third calendar year, the employee is entitled to receive the entire holiday time at any time of the year, even on the 1st of January. Once 24 months of employment are completed, the employee is entitled to receive 22 working days of paid holiday in a five-day employment schedule.
For employees who have been working for more than 12 years for any employer or for more than 10 years for the same employer, holiday time is calculated on a basis of 25 working days for a five-day employment. Once 25 years of service are completed, an extra day of paid holiday is added, and the employee is entitled to 26 working days of paid holiday.
Public Holidays
Public holidays that fall on the weekend are usually lost.
Sick Days
Employees who provide a professional medical certificate within 48 hours are entitled to an amount of paid sick leave dependent on the number of years of completed service.
- Employees who have completed between one and four years of service are entitled to one month of paid sick leave
- Employees who have completed between four and ten years of service are entitled to three months of paid sick leave
- Employees who have completed between ten and fifteen years of service are entitled to four months of paid sick leave
- Employees who have completed more than fifteen years of service are entitled to six months of paid sick leave
- During the first year of employment, half pay is given for the first three days of illness followed by 15 days at full pay
Maternity Leave
Pregnant employees are entitled to a maternity leave of 119 calendar days. This benefit is paid on the condition that the employee is not working during the 56 days before the due date and the 63 days following the birth of the child.
The employer pays the first month of the maternity benefit at 100% of the employee’s regular salary rate. From the second month onwards, the employer and e-EFKA pay the benefit at a rate of 50.00% of the regular salary rate (corresponding to the insurance contribution class of the insured person), plus payment of child benefit for each child. There is also a supplementary maternity allowance payable from the second month of an amount equal to the difference (if there is any) between the salary rate paid by the employer and the maternity benefit.
For any employees who are not insured, a standard maternity benefit of 220.10 EUR is paid.
PAID MATERNITY LEAVE (DAYS)
Paternity Leave
Every working father is entitled to 14 working days of paid paternity leave, which must be taken upon the birth of the child.
This leave may either:
a) be granted two days before the expected date of delivery, in which case the remaining 12 days are granted in whole or in part within 30 days from the date of birth
or
b) granted after the date of birth.
Paternity leave is compulsorily granted by the employer and does not depend on previous employment or seniority or on the employee’s marital or family status. In case of adoption or fostering of a child up to eight years of age, paternity leave is granted from the time the child joins the family.
Parental Leave
Parental leave is available to any parent having completed one year of service, equal to four months (continuously or intermittently, as agreed with the employer) until the child reaches eight years old.
Childcare leave is available for 30 months after birth or adoption, entitling an employee to a reduction in the daily working hours by one hour (paid) or 18 months of a reduction of two hours in the daily working hours during the first 12 months. This reduces to one less working hour in the remaining six months or 3.5 months of paid leave taken in one period.
Other Leave
Depending on the collective agreement/employment contract terms, an employee may be allowed additional leave types on approval between the employer and employee for the following:
- Marriage Leave: Employees are entitled to up to five paid days when getting married
- Bereavement Leave: Employees are entitled to paid leave of two days due to the death of a member of the immediate family
- Caretaker Leave: Each employee who completed six months of employment with the employer is entitled to five days paid leave for taking care of a relative or other person living in the same home with the employee
- School Leave: For every child up to 18 years of age who attends school, both parents (full-time or part-time employees) may be absent from work (without any deductions from their salaries and upon their employers’ permission) for some hours or a full day and up to four working days per year
- Leave in case of sickness of dependent family members: Employees are entitled to a maximum of six days’ unpaid leave per year (used continuously or intermittently) if a child or other dependent member of their family is sick The days are increased to eight if the employee has two children and 14 if the employee has three or more children.
Termination
Termination Process
The termination process varies according to the employment agreement and collective agreement in place and based on the type of contract and reason for termination. To terminate an employee on an indefinite contract, an employer must provide a written notice of termination, and the employee must have been registered with the Unified Social Security Fund (EFKA).
Notice Period
Collective agreements may contain provisions on notice periods if the notice periods in the collective agreement differ from the statutory periods of notice. In that case, the employer and the employee must observe the periods of notice laid down in the collective agreement.
The amount of notice is dependent on the length of service and reason for termination. If the contract is terminated by the employer, the notice period is as follows:
- No notice is required during the probation period (1st year)
- Employees with between 1- and 2 years’ service -1-month notice period
- Employees with between 3- and 5 years’ service – 2 months’ notice period
- Employees with between 6- and 10 years’ service -3 months’ notice period
- Employees with more than 10 years’ service – 4 months’ notice period
Severance Pay
The amount of severance is based on the length of the employee’s service. After completing one year’s service, workers will be entitled to severance as follows:
Probation Period
There is no provision for a probation period in Greece, however, during the first year of employment, a worker in Greece can be dismissed without notice or severance during the first year of employment.
VISA
VISA
Non-EU employees must acquire a Type D visa before arriving in Greece, allowing employees to stay in Greece for over 90 days to work. Once an employee has arrived in Greece, they must apply for a residence/work permit within 30 days at the local municipal office or police station. Work permits typically last one year, and any work permit renewal must be done at least 60 days before its expiration.
Business visitors to Greece typically use a local version of the Schengen C Visa unless they are visa-exempt. The Schengen Area limits stay to 90 days in 180 days. Business visits must generally be limited to a few days; Greek authorities determine the exact duration of stay on a case-by-case basis.
The main work authorization categories are the Installation of Equipment Visa, suitable for short-term installation, testing, and maintenance of supplied items by technical staff under a service agreement; the Work and Residence Permit for Senior Employees, suitable for long-term work and residence under a local employment contract; the EU Blue Card, suitable for highly skilled local hires; and the EU Intra-Company Transferee (ICT) Permit, suitable for intra-company transfers of managers, specialists or trainees from outside the European Union.
Remote Working
Hone Working
Employers are obliged by law to reimburse homebased workers, in addition to the regular salary amount, as follows:
Item 1 – The minimum monthly reimbursement for the use of the home for employment purposes is 13 Euros net.
Item 2 – The minimum reimbursement for communication is 10 Euros net (not applicable where Employers are paying for the worker’s phone/internet directly).
Item 3 – The minimum reimbursement for the maintenance of equipment is 5 Euros net (not applicable if the equipment used by the worker has been provided by the Employer).
Where a worker has spent less than 22 days of the month at home (including as a result of sickness, annual leave, or strikes) the home allowance will be prorated by 1/22 per workday at home.
VAT
General
The standard rate of VAT in Greece is 24%.
Stay up to date on payroll & employment law changes
Version History
Questions & Answers
See how Papaya can help you automate your global payroll or EoR whilst staying 100% compliant with local labor laws
Payroll and Benefits Guide
in Greece
What’s covered in this guide:
- Employer/employee contributions
- Minimum wage
- Working hours
- Visa requirements
And more...
Public Holidays Calendar
| Day | Date | Holiday | Notes |
|---|---|---|---|
| Sunday | Jan-1 | New Year's Day | |
| Friday | Jan-6 | Epiphany | |
| Monday | Feb-27 | Green Monday | |
| Saturday | Mar-25 | 25th of March (national holiday) | |
| Friday | Apr-14 | Orthodox Holy Friday | |
| Sunday | Apr-16 | Orthodox Easter Sunday | |
| Monday | Apr-17 | Orthodox Easter Monday | |
| Monday | May-1 | Labor Day | |
| Monday | Jun-5 | Orthodox Holy Spirit Monday | |
| Tuesday | Aug-15 | Dormition of the Holy Virgin | |
| Saturday | Oct-28 | The Ochi Day | |
| Monday | Dec-25 | Christmas Day | |
| Tuesday | Dec-26 | 2nd Day of Christmas |
Are people who work a six day week entitled to more paid time off than people who work a five day week?
Yes, people who work a six day week are entitled to more PTO. They get 24-31 days, depending on the length of their service at the company. People who work a five day week are entitled to 20-26 days.
When calculating bonuses, is it mandatory that the additional payments (Easter, Vacation, Xmas) should be included in base pay or should it be calculated on base pay only. Thanks
Hi Elaine, Bonuses and allowances should be itemized separately from the basic salary on a payslip. This allows for the complete and accurate reflection of the remuneration granted to the employee and provides visibility for an employer, employee, or necessary authority.
Thanks Erez, so when calculating what bonus payout is, should I be basing this off the employees annual salary including the easter, vacation and xmas bonus or base pay only? Thanks
Hi Elaine, mandatory bonuses are calculated using a formula that uses the employee’s basic monthly salary and time worked. For instance, the calculation for Christmas is done between May 1-Dec 31, and Easter is done between Jan 1-Apr 30. For non-mandatory bonuses that are fully optional, the employer can choose what to calculate it off.
Hi, is it possible to give payment instead of notice?
Hi Aris, you can pay your employee in lieu of notice, however, there must be mutual agreement between the employee and employer.
Hello! If working five days a week but one of the days is Saturday having a day off on Sunday and another rotative day off in the week, the employer has to pay extra for Saturday, or just normal wage? Thanks
Hi Fernanda, thank you for your question. This is correct, in addition to an alternative day off, the employer would have to pay an additional 30% on top of the regular salary rate. Please note, however, that if there is a collective bargaining agreement in place, the percentage of additional pay for work on Saturday may differ slightly.
I am not Greek employee, after the termination of my employment could I have the right to ask back some taxes that the company paid for me ?
Hi Luca, I don’t have all the details regarding your employment, but generally, employees cannot ask for money back.
Dear all!
I would like to know, which one are the most common benefits that companies offer the employees (others than benefits by law)
Thank you so much
Kind regards
Diana
Hi Diana, thank you for your question. The most common benefits are private health insurance, housing allowance, or car allowance.
on such allowances Is there any tax liability exist on part of Employee?
Yes, benefits are taxed unless agreed otherwise with the employer that the benefit can be grossed up.
Hello!
If I worked legally in a hotel in Greece which is open only for summer, is there any legal way to force employer to pay the salary? I’ve worked shortly in hotel like that. Unfortunately conditions of work weren’t good and I resigned after 6 weeks (worked in August and September). Unfortunately I still didn’t get payed for August even though upon leaving I was assured that my payment will be done till the end of September. Now we are in the middle of October and still nothing. During my work there I was told by other employees that this hotel is often late with payments. Some of them didn’t even got the last part of their money for last year. Many was getting very nervous cause they didn’t get any payments from 3 months.
So my question is: How can I “force” my recent employer to pay me for my 6 weeks of work? I really can’t wait a year to get paid.
Thank you.
Hi Estera, unfortunately this is out of the scope of what we offer. I advise that you speak with a labor lawyer.
Hi,
About that extra December salary. It’s it still payable if I stop working before December 1st?
Hi Anders, thank you for your question. Generally yes, however the amount you receive would be prorated.
Please I am a mechanic technician living in Cyprus but I always dream of relocating to greece.am seeking for a help
Hi Jonadab, if you hold EU citizenship, this is a fairly straightforward process. You would need to apply for the Greek Schengen Visa. You can find all the requirements of what you need to fill out and submit on the government website https://e-visa.mfa.gr/ElvisPortal. If you are not an EU citizen, the process is a bit more complicated, and due to current COVID-19 restrictions, this might not be possible at the moment. I suggest that you reach out to an immigration lawyer to further assist you.
I work at a restaurant but they didn’t give me any bonus in summer.does any law about this Matter?
Hi, you are entitled to a 13th salary, I suggest that you speak with your employer.
Are Greek employees allowed to carry over their holiday time into the next year?
Hi Anna, the employer is not required to allow their employees to carry over paid leave. In general, paid leave must be used by December 31st of each year. Any unused leave is paid out.
Can an employer state that they are allowed to rollover “x” number of days into the following year without having to pay them out?
Hi Anna, it is possible, however, this would need to be outlined in the employment contract.
https://www.synigoros.gr/?i=stp.en.submission-of-a-complaint
Hello! Can employers in Greece pay for home office equipment? And can this paid in the payroll without taxes, or does the employee need to purchase the equipment and claim the invoice?
Hi Carmen, The Greek government has passed new legislation relating to employees who work from home, effective as of December 2021. Home-based workers should be compensated with the following payments:
Item 1 – The minimum monthly reimbursement for the use of the home for employment purposes is 13 Euros net.
Item 2 – The minimum reimbursement for communication is 10 Euros net.
Item 3 – The minimum reimbursement for the maintenance of equipment is 5 Euros net.
Additional Information:
Item 2 is not applicable if you are already paying for the worker’s phone/internet directly.
Item 3 is not applicable if the equipment used by the worker has been provided by the employer.
If a worker works for less than 22 days of the month at home (including as a result of sickness, annual leave, or strikes), the amount will be prorated by 1/22 per workday at home.
The reimbursement associated with the above must not replace/deduct from the regular salary of the employee.
Ηello Erez 🙂 So , the above mentioned reimbursements must be given to all the employees working from home in Greece? I mean is it something that has to do with COVID19 or it should be paid no matter what? Thank you! 🙂
All home-based workers should be compensated with the above-mentioned reimbursements.
Hi guys! So, I work for a contact center company in Greece, but I represent a client in Latin America (Brazil) therefore I work night shifts due to timezone.
We only have Christmas as a paid holiday and I have to work all other bank holidays.
When there is a bank holiday in Greece I’m obliged to work (with the additional payment) as it is not a holiday in Brazil.
When there is a holiday in the Brazil, my shift starts early in the morning, so they don’t have to pay night surcharge.
According to Greek labor law, how many PAID holidays would I have the right to claim?
Company’s suggestion was to use vacation days to cover these holidays but this sounds really unfair.
Thank you in advance! 🙂
There are typically 10 mandatory public holidays in Greece and 3 optional (though most companies give all 13 off); holidays falling on weekends are lost. If the worker is receiving the correct additional pay for working on a public holiday then technically they would not be owed additional days off to compensate. In terms of her right not to work on the public holiday, it really depends on the specifics of what was agreed in the contract and any Collective Bargaining agreement which applies.
Hi,
I would like to know the allowance will be treated as salary and subject to social contribution and income tax? I am referring home office allowance, mobile allowance, and car allowance.
Hi, the car allowance is subject to taxes and social contributions, but the WFH and mobile allowance do not.
Hi, thank you very much of your reply.
is there the tax free ceiling of WFH and mobile allowance
When you work for 4 month and then leave (1 years) and come back to the same company for 8 month, for the vacation is it count for 12 month or only 8 month ?
The company can decide if they want to acknowledge prior service or start from fresh upon rehire.
I have been working in Santorini for 2 and a half months, I am a European citizen but I live in England. My question is, am I entitled to compensation or a bonus that employees receive after the end of each summer season. thanks
The worker’s contract should state what their entitlements will be. Contractual terms are based on the contract of hire; really, workers living in Greece should be on a local contract and receive local benefits. Workers based in the UK should be on a UK contract based on UK benefits meaning Greece bonuses would not be paid. The worker needs to check which contract they are on.
is the summer bonus mandatory?
A mandatory cash bonus is given for Christmas, Easter, and vacation.
hellow i want to ask i work only summer season and i work from april to september do i intitle to recieve april and christmas bunos? thank you
The bonus will be prorated since you did not work the entire period from May 1 – December 31.
Hi, if you leave your job before the christmas bo us has been paid out like 3 months prior. Like 6 month you have worked. Do they still pay the bonues? If yes how much and when.
Employees who work from May to December are entitled to the full Christmas Bonus – anyone who has not worked this full period will receive a pro-rated bonus.
Hi, If an employee uses their personal car for business travel – is there some allowance/rate per kilometer to reimburse the employee that will not be taxed?
There are no set rates in place for mileage reimbursement.
Hello. I got 500 euro BONUS in my job offer for each month than plus my salary. But when i got the paycheck the bonus amount was reduced to 380 euro. Is this normal? is the bonus given in net to the employee
Hi Luca, yes, a bonus is taxable.
Employee benefits taxation – if im employed by Greek company and they want to pay for me my kids school payments – they have to pay additional tax on it ? do i need to pay additional tax on it ? thank you
Hi Dan, yes this will be a taxable Benefit in Kind.
Hello, if you are required to travel to start work/training and the travel is the day or two days before, are you entitled to pay, or time off for the days of travel before your contract starts???
In Greece, the entitlement to pay or time off for days of travel before the start of a new job or training depends on the specific circumstances and any relevant labor laws and company policies.
Generally, if an employee is required to travel for work or training purposes and the travel takes place before the start of their contract, they may be entitled to pay or time off for the time spent traveling. However, this will depend on the specific terms of their employment contract and the agreement between the employee and their employer.
I was paid 5 euros for 2 days of vacation. How is that calculated? 🤔
Unfortunately, this question is too general, are you able to provide additional information?
Hi,
I just started my summer season job this 1st week of April . I had a week of training without payment as agreed. Last week i have signed my contract with the accountant of the hotel without explaining to me as its written in Greek. I have asked my greek husband to read and explained it to me and found out that they have declared a part time job instead of full time with 4Hrs per day total of 20days per month. The next day i went back in the account to check with her why it was stated in my contract that im only working part time and the only answer i get is she said it was a mistake and will make new one. I was asking to destroy the wrong contract but they doesn’t want to give as they said still they need to keep it. I cant understand why they have to keep the wrong contract that they have made knowing that they have to correct it?
Then my second concern is today i have signed my new contract stating that i will be working 5days/week and 40Hrs per month(but the truth is im working 28days). I do understand that here in Greece most of the hotels are working this way they are making an agreement that you have to work for 2 days off per month. Anyway my primary concern is when i have check my account in myergani.gov today what i see is the wrong contract that i signed as part time still i cant able to see the new contract with 5days a week /40hrs per month and the salary is still the one stated with the wrong contract with 500++ euros. Im expecting that they have updated it already with correct working hrs of full time job before they ask me to sign. Is it possible to print the new contract without updating and declaring it online?
I have no problem if they declare in my contract that im working for 20days per month(real is i have to work 28days). My concern is they have not updated it into full time job with 8hrs/day and 40H per month. And the salary was not updated too.
What is your feedback about this issue?
I will really appreaciate any advise.
Warm regards,
Jhanet
Hello,
I am afraid we are not able to help you with your issue since we only answer payroll related questions. I would recommend getting in touch with a qualified employment lawyer.
How long does an employer have after the termination date to payout your last paycheck?
Hello, from what i know, you pay taxes on your salary based on the amount of the payslip, if the amount is bigger you pay more taxes.Is it correct to insert the bonus (offered by the company as welcome) in the general payslip, hence changing the percentage of deducted taxes because the salary amount is higher than usual?
Correct, the bonus will be taxable along with the salary.