Payroll Services in Bulgaria

Hiring your first employee in Bulgaria is a good sign for your business. It also brings a new set of rules. Employment contracts have to be registered before the person starts working, contributions are calculated and paid every month. None of it is difficult, but mistakes in payroll can mean fines, and they also affect your people directly. We take care of the whole process, so you can focus on your team and your business.

What is included

Preparing employment contracts and job descriptions in Bulgarian, with English translations for you
Registering every new contract with the National Revenue Agency before the person starts
Monthly payroll calculation: gross and net salary, social and health contributions, income tax
Payslips for your employees
Monthly declarations and payment instructions, so contributions and tax are paid by the 25th
Tracking annual leave, sick leave and other absences
Changes to contracts, for example a new salary or position
Ending employment, with the correct documents and final payments
Annual income statements for your employees
Answers to your questions in English when something comes up

Paying yourself a salary

Payroll is not only for companies with a team. Many of our clients are the only person in their company and want to pay themselves a salary as a manager, for example to have health insurance and social security in Bulgaria. This works differently from a normal employment contract, and the contributions depend on how much you pay yourself. We help you set it up correctly, and we look at the balance between salary and dividends together with you, because often a combination makes most sense.

Before the first employee starts

Before you hire your first person, a few things need to be ready:
A registered employment contract, submitted before the first working day
A risk assessment for the workplace, also for office and remote work
Basic internal documents, like rules for working time and pay
We tell you exactly what is needed for your company and help you organise all of it, so your first hire starts without problems.

The costs of an employee

In Bulgaria, the gross salary is not the full cost for the employer. On top of it the company pays its part of the social and health contributions, and from the gross salary the employee’s part of contributions and the 10% income tax are held back. Contributions are capped at a maximum insurable income, so for higher salaries they don’t keep growing. Before you hire, we can calculate the full monthly cost for the salary you have in mind, so you can plan your budget.

Hiring foreigners or people living abroad

If you want to hire someone from outside the EU, they will usually need a work and residence permit, and this takes time. If you want to employ someone who lives and works in another country, different rules apply, often the rules of that country. In both cases it’s important to plan before you make an offer. Talk with us early, and we will tell you what is possible.

How it works every month

Before the end of each month you send us the changes: new people, salary changes, leave, sick days and bonuses. We calculate the payroll, send you the payslips and the amounts to pay, and file the declarations. You pay the salaries and contributions, and everything is reported on time.
Payroll works best together with our accounting service, so the salaries are also correctly booked in your company accounts.

Who is this for

This service is for foreign owned companies in Bulgaria that are hiring their first employees, growing a small team, or paying a salary to the owner as manager. Whether you have one employee or twenty, you get the same clear communication and correct filings every month.

Let’s talk

Tell us how many people you plan to hire, when, and roughly what salaries you have in mind. We will come back with what you need to prepare and a clear offer for the monthly payroll.