Contributions
Social Contributions
Social contributions calculation in Montenegro after the October 2024 reform. Pension 10%, unemployment 0.5%, health contribution abolished.
Monthly
10.5% employee + 0.7% employer
5 steps
Procedure
Gross salary is the basis for calculating contributions. The minimum base is 50% of the average gross salary in Montenegro. The maximum base is unlimited.
Employer / accountant
Employment contract
Required Documents
- IOPPD form (monthly contributions return)
- Employment contract
- Salary payment records
Legal Basis
- Law on Mandatory Social Insurance Contributions (Zakon o doprinosima za obavezno socijalno osiguranje)
- Law on Pension and Disability Insurance (Zakon o penzijskom i invalidskom osiguranju)
- Law on Employment (Zakon o zapošljavanju)
Competent Institutions
- Tax Administration of Montenegro
Calculation and collection of contributions
- PIO Fund
Pension and disability insurance
- eUprava
Electronic IOPPD filing
Contribution rates (2026, after Oct. 2024 reform)
| Type | Employee | Employer | Total |
|---|---|---|---|
| Pension and disability (PIO) | 10% | — | 10% |
| Health | 0% (abolished) | 0% (abolished) | 0% |
| Unemployment | 0.5% | 0.5% | 1.0% |
| Labour Fund | — | 0.2% | 0.2% |
| Total | 10.5% | ~0.7% | ~11.2% |
Calculator
Calculate your obligations
Additional notes
Key change from the Oct. 2024 reform: employer contributions reduced from ~9.6% to ~0.7%, significantly lowering the tax burden on labour.