North Macedonia Increases Social Security Contribution Base

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In a procedure customary to the start of each new fiscal year, the Public Revenue Office of the Republic of North Macedonia has revised the minimum and maximum amounts used for the payment of mandatory social security contributions. Although the total rate of contributions remains unchanged at 28% of the gross salary (same as 2020), the inevitable change of the national average gross salary triggers a change mostly affecting employees at the very extremes of the earning spectrum. 

The national average gross salary (published annually) is used as a calculation base for both the minimum and the maximum social security contributions amount. The minimum on which contributions are calculated is set at 50% of the average national monthly gross or MKD 20,571 for the year 2021. On the other hand, the monthly maximum contributions are payable on 16x average national salaries; therefore setting the ceiling on which contributions can be paid at MKD 658,256 for this year.  

The national average monthly gross to be used in 2021 is MKD 41,141, up 7% from MKD 38,319 set in 2020, one of the highest increases in recent years despite the economically challenging year.  

For additional information, please contact Elena Kostovska, at our Eurofast office in North Macedonia via email at elena.kostovska@eurofast.eu. 

Eurofast is a regional business advisory organisation employing local advisors in over 23 cities in South East Europe & Middle East (SEEME). The Organisation is uniquely positioned as one stop shop for investors and companies looking for professional services in South East Europe & the Middle East. 

17/3/21