Bosnia Salary Calculator 2026: Gross to Net
Gross to net (and net to gross) salary for Bosnia and Herzegovina, in both the Federation of BiH and Republika Srpska.
FBiH contributions 2026
RS contributions 2026
Wages 2026
How salaries are calculated in FBiH and Republika Srpska
Bosnia and Herzegovina has no single national payroll system: salaries are calculated under the rules of each entity. The Federation of BiH and Republika Srpska take the same 31% of gross in employee contributions, but their income tax laws differ, so the same gross salary does not produce the same net pay.
Federation of BiH
Contributions are deducted from gross for pension and disability insurance (PIO/MIO, 17%), health insurance (12.5%) and unemployment insurance (1.5%). What remains is taxable income; after the 300 KM personal allowance, 10% income tax is charged on it. The allowance goes up for dependent family members according to the tax card issued by the FBiH Tax Administration. On top of gross, the employer pays another 5% in contributions (since 1 July 2025, down from 10.5%) plus a few smaller levies.
Republika Srpska
Contributions are also 31% of gross, but split differently: pension (PIO) 18.5%, health 10.2%, child protection 1.7% and unemployment 0.6%. The key difference is income tax: the rate is 8%, the personal allowance is 1,000 KM, and the tax base is gross salary minus the allowance only, without deducting contributions. RS employers pay no contributions on top of gross.
Example: 2,700 KM gross
In FBiH contributions come to 837.00 KM, the tax base is 2,700 − 837 − 300 = 1,563.00 KM and tax is 156.30 KM. Net pay is 1,706.70 KM, while the same salary costs the employer at least 2,835.00 KM because of the 5% employer contributions.
In RS contributions are the same (837.00 KM), but tax is charged on 2,700 − 1,000 = 1,700.00 KM, so it comes to 136.00 KM. Net pay is 1,727.00 KM. At lower salaries RS comes out further ahead thanks to its larger allowance, while above roughly 4,550 KM gross FBiH becomes more favourable, because there contributions are deducted from the tax base.
What the calculator does not include
The calculation uses the basic personal allowance without increases for dependants. It does not include meal allowance (topli obrok), holiday allowance (regres), commuting costs, seniority pay (minuli rad) or other payments, nor the separate rules of Brčko District, which has its own income tax and contribution legislation.
Frequently Asked Questions
What is the difference between FBiH and RS payroll?
In both entities the employee pays 31% of gross in social contributions, but the split differs (RS also has a 1.7% child protection contribution). The entities also differ in the tax rate (FBiH 10%, RS 8%), the personal allowance (FBiH 300 KM, RS 1,000 KM) and the tax base: in FBiH tax is charged on gross minus contributions and the allowance, in RS on gross minus the allowance only. On top of gross, an FBiH employer pays a further 5% in contributions, while an RS employer pays no employer contributions.
How much is the personal allowance in Bosnia and Herzegovina in 2026?
In the Federation of BiH the basic personal allowance (lični odbitak) is 300 KM a month (3,600 KM a year) and increases for dependants according to the tax card. In Republika Srpska the basic allowance is 1,000 KM a month (12,000 KM a year), plus 150 KM a month for each dependent family member. The calculator uses the basic allowance.
What is the minimum wage in Bosnia and Herzegovina in 2026?
The minimum net wage for 2026 is 1,027 KM in the Federation of BiH (about 1,605.48 KM gross) and 1,000 KM in Republika Srpska, where higher minimums apply to jobs requiring higher levels of education (up to 1,450 KM net).
How is net salary calculated from gross?
In FBiH: tax = 10% × (gross − 31% contributions − 300 KM). In RS: tax = 8% × (gross − 1,000 KM). In both entities, net = gross − contributions (31%) − income tax.