Minimum wage from October 2025 - what it means for employers and employees

The Government of the Republic of Serbia made a decision to increase the minimum wage, which will from October 1, 2025. amount to 337 dinars net per working hour. This is a significant jump from the previous 308 dinars and represents the continuation of the trend of adjusting wages to the rising cost of living and inflation.

What exactly does the new minimum labor price bring?

• Higher costs for employers - an increase in net hourly wages automatically raises total labor costs, especially in industries with a large number of minimum wage employees.
• Increase in wages for employees - an increase in hourly wages means higher monthly incomes for workers, especially in the trade, catering and manufacturing sectors.
• Necessary changes in calculations - payroll software, calculators and internal HR policies must be adapted to the new rules.

   

How much will the monthly minimum wage be?

The amount of the monthly minimum wage depends on number of working hours per monthFor example:

• For a month with 168 working hours (21 working days × 8 hours), the minimum wage will be 56,616 RSD net.
• For a month with 176 working hours - 59,312 RSD net.

Example of calculation for 176 working hours (minimum salary)

Type	Amount in RSD	Amount in EUR (exchange rate 117)
Net profit	59.312	507
Gross I	81.875	700
Gross II (total employer cost)	95.000	812

Note: the amounts are approximate and may vary depending on the number of working hours, tax credits and contributions. The calculation is based on average contribution rates and an exchange rate of 117 RSD for 1 EUR.

Impact on business

The increase in the minimum wage brings challenges for budget planning and liquidity. Businesses with a large number of employees on the minimum wage will have to revise their calculations and costs. At the same time, salary growth can have a positive effect on spending and employee motivation, but it is necessary to adjust business plans in a timely manner.

How can the VRB Team help you?

• Preparing simulations of the impact of the minimum wage increase on your business.
• Updating salary calculator and HR documentation.
• Providing tax and financial advice to optimize operating costs.
• Practical solutions for cash-flow planning in the coming months.

Learn more about our services in the area earnings and human resources (HR) you can read on our website.

Also, online calculators for calculating wages and labor costs are available to all our clients through our portal client.

👉 Our advice: don't wait for the last minute. Calculate now what the total expenses per employee will be from October and plan your finances in time.

Contact us for simulation and advice