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Your guide to the employment landscape, working customs and local labor laws in Bulgaria.
Capital
Sofia
Currency
Bulgarian Lev (BGN)
Languages
Bulgarian, Turkish, Romani
GDP per Capita
$12,505
Employer Tax
19.32% - 20.72%
Payroll Frequency
Monthly
Bulgaria, a land of rich culture and folklore, is a developing country in the south-eastern part of Europe, with an upper-middle income economy. A part of the European Single Market, the prominent sectors are service and industry. The private sector contributes more than 70% of Bulgarian GDP. In 2021, Bulgaria ranked 35th in the Global Innovation Index published by the World Intellectual Property Organization (WIPO) for the innovative accomplishments of the country.
Major economic hubs:
Sofia, Plovdiv
Skills in demand:
Local: 1
World: 942
Local: 2
World: 1953
Local: 3
World: 3151
Local: 4
World: 3723
Local: 5
World: 3833
Karieri.bg, jobs.bg, jobtiger.bg, Zaplata.bg, DEV.bg, Buljobs.bg
1,030,000
Top Local Job Boards:
Top Local Job Boards
Number of LinkedIn users:
Number of LinkedIn users
Top Recruitment Agencies:
The table mentions the average annual salary in Bulgaria
Job Title | Average Annual Salary (BGN) | Average Annual Salary (USD) |
Executive Management and Change | 107,950 BGN | $58560 |
Finance Control and Strategy | 62,725 BGN | $34026 |
Sales and Business Development | 55,748 BGN | $30242 |
IT and Software Development | 47,030 BGN | $25512 |
Consulting, Accounting and Professional Service | 45,285 BGN | $24566 |
Human Resource | 26,126 BGN | $14172 |
According to Bulgarian labor law, employees are classified into three categories – one, two, and three. The third category is the most popular and has favorable working conditions. The Council of Ministers does the segregation of employees.
Employment contracts signed by both employer and employee can be in any language. However, the Bulgarian authorities can request a copy of the Bulgarian translation (if needed).
In Bulgaria, the probation period is up to six months.
Date | Name | Type |
1 Jan | New Year’s Day | National holiday |
2 Jan | Day off for New Year’s Day | National holiday |
3 Mar | Liberation Day | National holiday |
14 Apr | Good Friday | National holiday |
15 Apr | Holy Saturday | National holiday |
16 Apr | Easter Sunday | National holiday |
17 Apr | Easter Monday | National holiday |
1 May | Labor Day | National holiday |
6 May | St. George’s Day / Army Day | National holiday |
8 May | St. George’s Day / Holiday | National holiday |
24 May | Culture and Literacy Day | National holiday |
6 Sep | Unification Day | National holiday |
22 Sep | Independence Day | National holiday |
1 Nov | Day of the Bulgarian Enlighteners | National holiday |
24 Dec | Christmas Eve | National holiday |
25 Dec | Christmas Day | National holiday |
26 Dec | Second day of Christmas | National holiday |
27 Dec | Christmas holiday | National holiday |
Type of leave | Time Period | Mandatory |
Annual leave/Earned Leave | 20 days | Yes |
Sick Leave | 18 Months | Yes |
Maternity Leave | 410 days | Yes |
Leave Compliance
Payroll cycle
In Bulgaria, salary administration is managed every month, with salaries paid on the last working day of each month.
Minimum wage
As of 2022, the minimum wage for employees in Bulgaria is 363 EUR or 710 BGN.
Overtime pay
Work done beyond normal hours is compensated as per the mutually accepted employment contract. Also, there are maximum limits put in terms of working hours for the extra.
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Employers have to make the following contributions to every employee they maintain.
Type of Contribution | Contribution |
Social Security | 14.12% – 14.82% |
Health Insurance | 4.80% |
Every employee is entitled to a monthly salary, from which the following contributions will be made.
Type of Contribution | Contribution |
Social Security | 10.52% |
Health Insurance | 3.2% |
In Bulgaria, the income earned is taxed at a flat rate. Tax residents have to pay for their worldwide income, while non-residents only pay for their income sourced from Bulgaria.
Employee Income tax | Slab |
10.00% | Flat Rate |
The standard VAT rate in Bulgaria is 20%.
There is no legal provision for the 13th-month salary.
Bulgaria maintains a standard process for termination based on the reasons listed in the labor law. The termination notice must be communicated in writing and sent to relevant government departments.
Legally, the notice period is 30 days, but in common practice, it can even be 90 days.
The pay varies based on the termination type, but severance pay is mandatory when applicable. The amount of severance should not be less than four months’ gross salary and has to be paid no later than seven days after the termination.
The essential documents to obtain if you are planning to work in Bulgaria:
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Overtime Pay
Minimum Wage
Overtime Pay
Overtime working hours | Compensation |
Hours >40 on weekdays | 150% of employees’ standard salary rate |
Overtime during weekend hours | 175% of employees’ standard salary rate |
Hours worked on public holidays | 200% of employees’ standard salary rate |
Visa and Immigration
By use case
By team
By company size