§ Legislation
- Law on Pension and Disability Insurance ("Official Gazette of the Republic of Montenegro", No. 054/03 dated 29.09.2003, 039/04 dated 09.06.2004, 061/04 dated 07.10.2004, 079/04 dated 23.12.2004, 081/04 dated 30.12.2004, 029/05 dated 09.05.2005, 014/07 dated 12.03.2007, 047/07 dated 07.08.2007, "Official Gazette of the Republic of Montenegro", No. 012/07 dated 14.12.2007, 013/07 dated 18.12.2007, 079/08 dated 23.12.2008, 014/10 dated 17.03.2010, 078/10 dated 29.12.2010, 034/11 dated 12.07.2011, 039/11 dated 04.08.2011, 040/11 dated 08.08.2011, 066/12 dated 31.12.2012, 036/13 dated 26.07.2013, 038/13 dated 02.08.2013, 061/13 dated 30.12.2013, 006/14 dated 04.02.2014, 060/14 dated 31.12.2014, 060/14 dated 31.12.2014, 010/15 dated 10.03.2015, 044/15 dated 07.08.2015, 042/16 dated 11.07.2016, 055/16 dated 17.08.2016)
- Law on Health Insurance ("Official Gazette of the Republic of Montenegro", No. 006/16 dated 22.01.2016, 002/17 dated 10.01.2017, 022/17 dated 03.04.2017)
- Law on Contributions for Social Insurance (“Official Gazette of Montenegro", No. 013/07 dated 18.12.2007, 079/08 dated 23.12.2008, 086/09 dated 25.12.2009, 078/10 dated 29.12.2010, 040/11 dated 08.08.2011, 014/12 dated 07.03.2012, 062/13 dated 31.12.2013, 008/15 dated 27.02.2015, 022/17 dated 03.04.2017)
- Instruction on the manner of calculation and payment of taxes and contributions from and on personal income in respect of employment ("Official Gazette of the Republic of Montenegro", No. 081/06 dated 29.12.2006, "Official Gazette of the Republic of Montenegro, No.045/08 dated 31.07.2008, 004/10 dated 22.01.2010, 008/13 dated 07.02.2013, 002/15 dated 16.01.2015, 009/15 dated 05.03.2015, 009/16 dated 11.02.2016, 010/17 dated 08.02.2017)
Contributions
Contributions for compulsory social insurance shall be as follows:
- contribution for compulsory pension and disability insurance;
- contribution for compulsory health insurance;
- contribution for insurance against unemployment.
Obligors of contributions
Obligors of contribution shall be:
- persons employed with an employer;
- persons performing part-time and intermittent work assignments;
- elected or appointed persons, if making wage for performance of functions;
- members of boards of directors in a business organization and other legal entity and members of boards of directors in public enterprises and institutions who receive compensation for their work;
- sent persons, if not covered by compulsory insurance according to regulations of such country or unless otherwise determined by international agreement;
- citizens of Montenegro who are, at the territory of Montenegro, employed with foreign or international organizations and institutions, foreign diplomatic and consular representative offices or with foreign legal or natural persons, unless otherwise determined by an international agreement;
- citizens of Montenegro employed abroad;
- foreign citizens and persons without citizenship who are at the territory of Montenegro employed with foreign legal and natural persons, unless otherwise determined by an international agreement, or unless insured in accordance with the regulations of another country;
- foreign citizens and persons without citizenship who are at the territory of Montenegro employed with international organizations and institutions and foreign diplomatic and consular representative offices, if such insurance is envisaged by an international agreement;
- foreign citizens and persons without citizenship who are at the territory of Montenegro employed with local legal or natural persons, based on special contracts and agreements on international-technical cooperation, unless otherwise determined by an international agreement, or unless insured in accordance with the regulations of another country;
- persons realizing pecuniary benefit in accordance with the law governing employment;
- entrepreneurs and persons carrying out professional and other activity as a core profession;
- persons realizing the contracted fee, unless contribution obligors on other grounds;
- clergy, religious professionals, monks, and nuns;
- agriculture producers.
Example: Calculation of taxes, surtaxes and contributions with respect to net salary of EUR 1,000.00 of an employed person
| Paid by the insured (employee) | Rate | in EUR |
| Personal income tax | 9% or 11% | 151.62 |
| Contribution for compulsory pension and disability insurance | 15.00% | 227.24 |
| Contribution for compulsory health insurance | 8.50% | 128.77 |
| Contribution for insurance against unemployment | 0.50% | 7.57 |
| Subtotal | 363.58 | |
| Paid by the employer | ||
| Contribution for compulsory pension and disability insurance | 5.50% | 83.32 |
| Contribution for compulsory health insurance | 4.30% | 65.14 |
| Contribution for insurance against unemployment | 1% | 7.57 |
| Subtotal | 156.04 | |
| Contribution to the Chamber of Commerce of Montenegro | 0% | 4.09 |
| Contribution to the Labor Union (representative) | 0% | 3.03 |
| Contribution to the Labor Fund | 0% | 3.03 |
| Subtotal | 10.15 | |
| Personal income surtax | 15% | 22.74 |
| Net salary | 1,000.00 | |
| Gross salary (all taxes, surtaxes and contributions included) | 1,514.92 |
Example: Calculation of taxes, surtaxes and contributions with respect to EUR 1,000.00 remuneration to an unemployed person
| Position | Base | Ratio / rate | Amount |
| Net remuneration | 1,000.00 | 0.7039 | 1,000.00 |
| Contibution base | 1,420.66 | 30.00% | 994.46 |
| Tax base (Gross remuneration - Contibution base ) | 994.46 | 9.00% | 89.50 |
| Contribution for compulsory pension and disability insurance | 20.50% | 203.86 | |
| Contribution for compulsory health insurance | 12.80% | 127.29 | |
| Personal income surtax | 15.00% | 13.43 | |
| Total contribution | 434.08 | ||
| Gross remuneration | 1,434.08 |
