Notes on Croatian payroll and the law
Latest Advice
Articles on employing people in Croatia: pay and tax by town, leave, contracts, permits and ending employment. Each one is dated, and we revise it when a rate or a rule changes.
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Work permit Croatia 2026: hiring non-EU staff after the Aliens Act changes
A Croatian work permit in 2026 means an HZZ labour market test, strict employer conditions and up to 90 days for MUP to decide. What the 2025 and 2026 changes mean.
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Income tax rates in Croatia: why the same salary nets differently by town
Croatian income tax rates are set town by town, so €3,500 gross leaves about €2,294 net in Zagreb but €2,360 in Rijeka in 2026. Here is how it works.
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US vs Croatia dismissal: what replaces at-will for your Croatian staff
US vs Croatia dismissal compared: no at-will in Croatia. Four lawful reasons, written decisions, notice up to 3 months and severance after 2 years of service.
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FICA vs Croatian contributions: a 16.5% levy against US payroll tax
US vs Croatia payroll costs: where a US employer meets FICA, FUTA and state unemployment tax, a Croatian one pays a single uncapped 16.5% for health.
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UK company hiring in Croatia after Brexit: permits, contracts and pay
A UK company hiring in Croatia now works outside EU rules: British staff need permits, and a local contract and euro payroll are needed. Here is how to plan it.
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US company hiring in Croatia: the EOR route, costs and contracts
A US company hiring in Croatia can employ through an EOR with no Croatian entity: a written contract, euro payroll, 16.5% employer health contribution and no at-will.
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Non-compete Croatia rules: restraints, IP and inventions for your staff
A Croatian non-compete lasts at most 2 years and binds only if you pay at least half the worker’s recent pay each month. IP and inventions explained too.
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Social security in Croatia: pension pillars, health insurance and 2026 caps
Croatian social security splits into a 20% employee pension deduction and a 16.5% employer health contribution, with a pension cap of €11,958 a month in 2026.
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Remote work in Croatia: the Labour Act rules and the home-office allowance
Croatia separates home working at an agreed place from remote work at a location the employee chooses, with different contract terms and a €4 a day allowance.
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Employment contract rules in Croatia: form, probation and fixed terms
Every employment contract in Croatia must be written, handed over before work starts and cover twelve set items, with tight limits on probation and fixed terms.
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Sick leave in Croatia: who pays, how much and for how long
Croatian employers fund six weeks of every sickness absence, paying 70% or more of average pay, before HZZO takes over on day 43.
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Termination in Croatia: notice, severance and the grounds you need
Termination in Croatia needs a justified reason, written notice tied to service and, after two years, severance worth at least a third of monthly pay for each year served.
Looking for a Croatian rule we haven’t covered?
Describe the puzzle, be it a bonus, a notice period or a permit, and a specialist will send you an answer by email with the rule behind it.
Elsewhere
Fourteen answers for employers
Cost, contracts, tax, leave, sick pay, termination and home working, each answered with 2026 figures and the law it comes from.
Hub questions →What we do as employer
How we take on the contract, payroll, filings with Porezna uprava and HZMO, HR support and benefits for your Croatian hire.
Our services →The team behind it
Why we focus on Croatia alone, the principles we work by and the support your account gets from a named specialist.
About us →