From 1 January 2026, the minimum wage in the Czech Republic will increase by CZK 1,600 to CZK 22,400 per month. This applies to employees with a weekly standard working time of 40 hours. The minimum hourly wage will increase from CZK 124.40 to CZK 134.40.

The average monthly wage will increase from CZK 46,557 to CZK 48,967 in 2026.

Lowest levels of guaranteed wage 2026 (in CZK)

The increase in the minimum wage will affect the lowest levels of the guaranteed wage. The guaranteed wage represents minimum earnings determined by the state for individual professions, which were classified into 8 groups until the end of 2024. From 2025, guaranteed wages in the commercial sector were abolished. Only guaranteed wages in the state sector remain in force, which are now divided into only 4 groups. Inclusion in the group is determined by the level of education achieved.

• 1^st group – basic education
• 2^nd group – secondary education with teaching certificate
• 3^rd group – secondary education
• 4^th group – higher education

The following table shows the guaranteed wages for 2026 according to the length of the weekly standard working time of 40 hours / 38.75 hours / 37.5 hours.

Other effects of the increase in the minimum and average wage

Minimum wage

• The limit for the exemption of regularly paid pensions will be increased to CZK 806,400 / year (36 times the minimum wage), i.e. CZK 67,200 / month.
• The health insurance, which must be deducted from the minimum wage, e.g. persons without taxable income, will increase to CZK 3,024 / month (13.5% of the minimum wage).
• The income limit for entitlement to a tax bonus will be increased to CZK 134,400 / year (6 times the minimum wage), i.e. CZK 11,200 / month.

Average wage

• The limit for the application of the second tax rate will increase – the monthly limit is increased by CZK 146,901 (3 times the average wage), and the annual limit is CZK 1,762,812 (36 times the average wage).
• The maximum assessment base for social security premiums will increase on CZK 2,350,416 (48 times the average wage).
• The threshold for tax exemption of non-monetary benefits provided by the employer will be increased to 24,483.50 / year (1/2 of the average wage) and for health-related benefits the limit will be up to the average wage i.e. CZK 48,967 / year.
• Limit for the participation in sickness insurance when employed on the agreement to complete a job (Czech: DPP) will increase upon reaching an income of CZK 12,000 (25% of the average wage rounded down to nearest CZK 500).
• The minimum advances to social security for self-employed persons will be increased to CZK 3,575 (29.2% of ¼ of the average wage) for starting entrepreneurs, CZK 5,720 for other entrepreneurs (29.2% of 40% of the average wage) and CZK 1,574 for entrepreneurs performing secondary activities (29.2% of 11% of the average wage.
• The minimum advances to health insurance for self-employed persons will be increased to CZK 3,306 (13.5% of ½ of the average wage).
• The flat-rate tax for self-employed persons in the first bracket will increase to CZK 9,984, in the second bracket to CZK 16,745 and in the third bracket to CZK 27,139.

If you’d like to to learn more about the taxes in the Czech Republic and calculate your indicative net salary, take a look at our 2024 payroll calculator for the Czech Republic.

Evolution of minimum wage in the Czech Republic during the past years

If you have any questions, please do not hesitate to contact us. We will be happy to assist you!

Lan Anh Mai

Senior Tax Consultant | Accace Czech Republic

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Kateřina Hrůzová

Tax Director | Accace Czech Republic

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