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Estonian tax rates and benefits 2026

A reference table of the tax rates and state benefit amounts in force in Estonia in 2026. From each figure you can reach the right calculator to work out the exact amount for your situation.

Payroll taxes 2026

ContributionRatePaid by
Income tax22%employee
Basic exemption€700/month (€8400/year)
Unemployment insurance1.6%employee
Funded pension (2nd pillar)2%, 4% or 6%employee
Social tax33%employer
Unemployment insurance0.8%employer
Work out your net salary and employer cost with the salary calculator, or see the effect of the basic exemption with the basic exemption calculator.

Other taxes 2026

TaxRate
VAT (standard)24%
VAT (accommodation)13%
VAT (books, medicines, press)9%
Dividend income tax22/78 (paid by the company)
Sole proprietor social taxprofit ÷ 1.33 (33%)
Motor vehicle tax (base part)€50/year
To add or remove VAT use the VAT calculator; to compare dividend and salary the salary vs dividend calculator; for the annual car tax the motor vehicle tax calculator.

Benefits 2026

ItemRate / amount
Minimum wage€946/month (from 1 Apr 2026)
Parental benefit ceiling€3806.10/month
Sick benefit70% (from the 4th sick day)
Sick benefit daily cap (Health Fund)€126.87
Paternity leave30 calendar days
Unemployment insurance benefit60% (days 1–100), then 40%
Annual holiday28 calendar days per year
For life changes, calculate the benefit: sick benefit, parental benefit, paternity benefit or unemployment insurance benefit. We review the rates at least once a year – mainly in January, when the new year's changes take effect.

Related calculators

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Source: Estonian Tax Board ↗ · Source: Social Insurance Board ↗