* Playroll continues to analyse immediate opportunities and fulfilled roles by recruitment partners, contractors and employers to identify in-demand jobs.

Capital City
Pristina
Currency

Euro (€)

Timezone

CEST (GMT +1)

Payroll
Monthly
Employment Cost

5%

Annual Leave

4 weeks

In-demand Specialties*
Ict, Technical Skills, Marketing

The Ultimate Guide to Hiring Employees in Kosovo

Simplify hiring employees in by partnering with Playroll. Our Employer of Record (EOR) handles hiring, onboarding, payroll, taxes, immigration, benefits administration, and compliance. While you maintain control of day-to-day tasks and responsibilities.

hiring-in-Kosovo-guide

Key Considerations Before Hiring In Kosovo

Employing in Kosovo requires employers to own a legal entity in the country and manage payroll, tax, benefits and compliance through their own in-country resources. Grow your team in Kosovo with our Employer of Record solution, ensuring streamlined, compliant business expansion with no entity.

Playroll allows you to hire employee's in Kosovo quickly, easily and we even automate tax document collection, benefits, payroll and more.

Good To Know

Kosovo boasts low income tax rates, affordable employer social security charges, and relatively low wages compared to other European countries. This creates a favorable environment for businesses in terms of cost management.

Kosovo's young population contributes to a significant talent pool. This demographic advantage can be attractive to companies seeking a skilled and dynamic workforce.

Employment contracts in Kosovo can be terminated during the probation period with a notice period of seven days.

The tax system in Kosovo is characterized as fairly simple, which can be advantageous for businesses navigating the regulatory landscape.

playroll-good-to-know

Fundamental Aspects of Employment in Kosovo

When considering employing in Kosovo, it is crucial to be well-versed in the formalities that govern the hiring process in the territory. Employment contracts hold significant weight, and a key aspect is that they must be documented in writing, with both the employer and the employee signing the agreement. Employment agreements must include, at a minimum, the following information:

  • Comprehensive job description
  • Basic salary information
  • Date of commencement of employment
  • Workplace details

Probationary Period in Kosovo

The probationary period for employees in Kosovo is subject to a maximum duration of six months.

Working hours in Kosovo

The standard work week is set at 40 hours, distributed evenly across five days which equates to eight hours per day.

Overtime in Kosovo

Beyond the standard 40-hour work week, overtime pay is mandatory, but it cannot be included in the regular salary. Employees are limited to a maximum of 8 overtime hours per week. The payment for overtime varies 120% of the hourly rate for day shifts, 130% for night shifts, and 150% for work on national holidays and weekends.

Navigating Key Aspects of Payroll in Kosovo

Kosovo has a robust and complex payroll and tax system, and as an employer, it pays to understand payroll process basics.

1 January - 31 December

Fiscal Year in Kosovo

1 January - 31 December is the 12-month accounting period that businesses in Kosovo use for financial and tax reporting purposes.
monthly

Payroll Cycle in Kosovo

The payroll cycle in Kosovo is usually monthly, with employees being paid on or before the last day of the month.
1.65 EUR p/h

Minimum Wage in Kosovo

The minimum wage for employees in Kosovo is typically 1.65 EUR per hour, amounting to ~264 EUR per month for a typical 40 hour work week.

Minimum wages and salaries in Kosovo

As of the last available information, the monthly minimum wage in Kosovo is 264 EUR

Bonus Payments in Kosovo

There is no legal requirement to provide a 13th-month salary or any other form of annual bonus to employees

Comprehensive Overview of Employment Taxes in Kosovo

Understanding the tax obligations for both employers and employees is crucial when operating in Kosovo's business landscape. This section explains how taxes and statutory fees affect payroll and individual earnings in Kosovo.

Employer Tax Contributions

Employer payroll contributions are generally estimated at an additional 5% on top of the employee salary in Kosovo.

Tax Rate Tax Type

Employee Payroll Tax Contributions

In Kosovo, the typical estimation for employee payroll contributions cost is around 5%.

Tax Rate Tax Type

Individual Payroll Tax Contributions

Income tax in Kosovo is for individuals and business entities, who are considered taxpayers. The tax rates are progressive, ranging from 0% to 10%, applied to the total income as follows:

Tax Rate Income Bracket

Pension in Kosovo

Pensions begin at age 65, and the amount you receive depends on two things. It's based on the contributions you've made to your personal savings account. The more you contribute, the higher your potential pension. Since January 2016, the level of education you've attained also plays a role in determining your pension.

The tax-related information provided in this guide is intended for general guidance and informational purposes only. Reach out to our dedicated team for insights on remote hiring in Kosovo tailored to your needs.

Easily navigate payroll, taxes and contributions with Playroll.

Grow your distributed workforce today!

Understanding the Protocols for Termination of Employment in Kosovo

When it comes to terminating employment in Kosovo, understanding the legal obligations regarding severance pay and contributions is essential. Below is a detailed overview of the key considerations for both employers and employees.

Termination Process

The employer holds the right to terminate an employment contract in Kosovo under various circumstances, including:

  • Serious Misconduct
  • Unsatisfactory Work Performance
  • Inability to Perform the Job
  • Justified Reasons

Notice Period

The notice period for employee termination in Kosovo varies based on the length of service and the type of employment:

  • Fixed-term Employment: The notice period for fixed-term employment is 30 days.
  • Indefinite Employment: 30 days notice is required for employees with up to 2 years of service.
  • 45 days notice is applicable for employees with up to 10 years of service.
  • Employees with over 10 years of service are entitled to a 60-day notice period.

Severance Pay

In the case of individual dismissals in Kosovo, there is no provision for severance pay. However, in the event of a collective dismissal, the employer is obligated to provide severance payments to employees with indefinite contracts. The amount of severance pay varies based on the employee's period of employment with the company:

  • Between two (2) and four (4) years of service, the severance pay is one (1) month's salary.
  • For employees with five (5) to nine (9) years of service, the severance pay is two (2) months' salary.
  • Those with ten (10) to nineteen (19) years of service are entitled to three (3) months' salary.
  • Employees with twenty (20) to twenty-nine (29) years of service receive six (6) months' salary.
  • For thirty (30) years of service or more, the severance pay is seven (7) months' salary.

Annual Leave Entitlements and Company Policies in Kosovo

The annual leave entitlement in Kosovo is 4 weeks for a full time worker. These can include public holidays on top of that or within those days, which would otherwise be unpaid.

Public Holidays in Kosovo

In Kosovo, the following are considered public holidays:

Holiday Date

Paid Time Off in Kosovo

Maternity Leave in Kosovo

Paternity Leave in Kosovo

Sick Leave in Kosovo

Marriage Leave

Death Of Close Family Member Leave

Parental Leave In Kosovo

Kosovo's Benefits Built Into Playroll

Competitive benefits package in Kosovo

Playroll is committed to providing tailored, competitive benefits packages that are designed not only to attract but also retain top talent worldwide. Our global team of benefits experts build custom local packages to ensure your employees in Kosovo's needs are met. Typically our packages contain some or all of the following benefits.

Health Insurance
Pension or 401k
Life and Disability Insurance
Vision Insurance
Dental Insurance
Discounts & Perks

Playroll Supplementary Benefits For Employment In Kosovo

Make your benefits package in Kosovo a talent magnet with Playroll's local plans. We offer benefits that are compliant, comprehensive, and flexible — all at competitive rates. Speak with our local territory experts to explore the localized benefits we can offer you, while you scale your team.

  • Health Insurance
  • Pension
  • Background Checks

Statutory benefits for employment in Kosovo

In Kosovo, the social security system includes Pension insurance for old age, invalidity, and survivors.

Playroll allows you to provide localized benefits for employees in Kosovo within minutes. All in one manageable online dashboard. If you'd like specific information about our benefits packages in Kosovo create an account or contact our global expansion team, today.

Playroll Benefit Services

Playroll's Expertise in Facilitating Work Visas for Kosovo

At Playroll we're all about empowering employees to work anywhere, making mobility possible for global teams. We sponsor visas and hire the employee for you, so you don’t have to worry about payroll, taxes, and more.

It's important to note, visa support can be complicated. There are many variables that affect whether sponsorship is possible, including one’s nationality, education, marital status, and the immigration policy for the country in question.

Unfortunately, this means we can’t support visas everywhere - with that being said, we handle the entire visa process in-house, and dig into your situation to give you an overview of what to expect if we're able to help with visa sponsorship in Kosovo.

Playroll Immigration Support

Integrated EOR Platform

Legal and compliance experts are readily available to provide guidance and case-by-case Q&A support.

Accelerated Immigration Timeline

By leveraging dedicated support from in-house legal and compliance experts for case by case questions and more.

Hire in 50+ Countries

Accelerated Immigration Timeline

Acquiring a visa without an entity has never been easier, leverage Playroll's global coverage to sponsor and hire employees.

Playroll Visa Services

Hiring International Employees is Complex.

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