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Minimum wage in Estonia 2026: €886, then €946 from 1 April

In 2026 the Estonian minimum wage changes mid-year: €886 a month (€5.31/h) from January to March, then €946 a month (€5.67/h) from 1 April. Here is what that means for employers and payroll.

Minimum wage in Estonia 2026: €886, then €946 from 1 April

Minimum wage 2026 – two periods

2026 is unusual: the minimum wage rose on 1 April, not 1 January. The Estonian Trade Union Confederation and the Estonian Employers’ Confederation signed a collective agreement on 17 February 2026, and the Government confirmed the new minimum wage by regulation on 19 March 2026.

PeriodMinimum monthly wage (full-time)Minimum hourly wage
1 Jan 2026 – 31 Mar 2026€886€5.31
from 1 Apr 2026€946€5.67

The increase is €60 a month, or about 6.8%.

Previous years

YearMinimum monthly wageHourly wage
2024€820€4.86
2025€886€5.31
2026 (Jan–Mar)€886€5.31
2026 (from Apr)€946€5.67

Minimum social tax 2026

The monthly base for the minimum social tax is €886 in 2026, so the employer’s minimum social tax is €292.38 a month (€886 × 33%). This base is set for the whole year in the state budget and does not change on 1 April with the minimum wage.

If the employee’s main job is with you, the minimum social tax is due every month even when the actual pay is below the monthly base (part-time work or unpaid leave, for example).

What the employer needs to do

  • Employment contracts that refer to the statutory minimum wage or minimum hourly rate must be paid at the new rate from April. If the contract says “the minimum wage”, you do not need to amend it; if it states a fixed euro amount, you need an addendum.
  • In payroll, March’s pay is still calculated at €886 / €5.31, and April’s at €946 / €5.67.
  • For part-time employees, the minimum is calculated pro rata from the minimum hourly rate.
  • Also check your holiday pay and average pay calculations if they are based on the minimum wage.

Sources

Anu Allikvee

Author

Anu Allikvee

CEO of AR Tähelend OÜ

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Anu Allikvee CEO and chief accountant anu@tahelend.ee
Anu Allikvee

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