The basic element of employment costs under an employment contract is gross remuneration. In 2026, the salary for full-time employees will be a minimum of PLN 4,806. In addition, there are social security and health insurance contributions, which are covered by both the employee and the employer.
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The total cost of employment includes not only gross salary, but also social security and health insurance contributions and contributions to Employee Capital Plans (PPK), if the employee decides to participate in this program.
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In fact, the net remuneration, i.e. the amount paid “in-hand” to an employed person, is much higher. The net salary is the gross salary less ZUS contributions: retirement, pension, sickness and health insurance contributions and the advance payment for personal income tax. The amount of deductions depends on the basis of employment
Employment contract: employer's cost and net and gross remuneration
Every employer must ensure that medical examinations (initial, periodic and control) are carried out as well as training in the field of occupational health and safety.
Additionally, in the event of an employee's illness, the employer covers sick pay for the first 33 days of absence (or 14 days for people over 50 years of age). The employee is also entitled to paid holiday leave – 20 or 26 days a year, depending on his or her length of service.
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An employee's remuneration consists of fixed elements, such as a monthly base rate, and variable elements, e.g. bonuses, commissions or allowances for special qualifications or working conditions. In the case of larger companies employing at least 50 people, the remuneration conditions must be specified in the remuneration regulations, unless a collective labor agreement is in force.
When calculating the minimum wage, components such as bonuses, allowances for special qualifications and remuneration for overtime work are taken into account. However, benefits such as jubilee awards, retirement severance pay or allowances for night work are not included.
How much does it really cost to employ an employee under an employment contract in Poland?
The total cost of employing a full-time employee exceeds his gross salary. For example, with a minimum salary of PLN 4,806 gross, the total cost for the employer is PLN 5,790.28. This includes social security contributions, including pension (9.76%), disability (6.5%), accident (1.67%), as well as contributions to the Labor Fund (2.45%) and the Guaranteed Employee Benefits Fund (0.1%).
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In addition to remuneration and contributions, employers must take into account other expenses, such as financing medical examinations, health and safety training, preparation of the workplace and costs related to employee absences. In the case of foreigners, there are also costs related to obtaining work permits.
