Payroll & Workforce Management in Greece

Full-cycle Greek payroll including EFKA social security contributions, the monthly contribution ceiling calculation, and employment terms under Greek labour law.

Greece Reviewed September 2026

Currency

EUR

Minimum wage

€910/month gross, 14 payments/year (2026)

Employer social security

21.79% of gross salary — combined with employee's 13.87% for 35.16% total, capped at €7,761.94/month (2026)

Standard pay cycle

Monthly, in arrears

Bookkeeping/payroll standard

Greek Accounting Standards (Law 4308/2014), or IFRS for listed entities

Annual filing

Annual accounts filed with the General Commercial Registry (GEMI) within 9 months of year-end

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What running payroll in Greece costs and requires

Greece applies a standard 22% corporate income tax rate, with most companies — AE, IKE, EPE — taxed identically regardless of legal form. The IKE, Greece's most commonly used structure for SMEs, can be formed with just €1 in minimum share capital and, when using the standard model statute through the e-YMS one-stop platform, requires no notary at all — making it one of the more accessible entity formations in the EU.

Operating in Greece combines an accessible entity formation process — IKE incorporation can complete without a notary — with a social security system that, unlike most EU markets, applies a defined monthly contribution ceiling, changing cost dynamics for higher-salary roles.

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What sits on top of gross salary

21.79% of gross salary — combined with employee's 13.87% for 35.16% total, capped at €7,761.94/month (2026) — this is a direct cost the employer budgets on top of gross pay for every hire, not a deduction from it.

Social security contribution cap — at €7,761.94/month (2026) — income above this level is exempt from further EFKA contributions
IKE formation without notary — when using the standard model statute through the e-YMS online platform, reducing setup time and cost materially
New employment incentive — — a 50% super-deduction on employer social security contributions for qualifying new full-time hires, subject to statutory limits
Mandatory e-invoicing rollout — for all small businesses and freelancers, planned by 2026 as part of broader digitalisation of the Greek tax system

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The statutory floor for Greece

€910/month gross, 14 payments/year (2026). Underpaying the statutory floor exposes the employer to fines and back-pay claims, and should be checked against any role before an offer is made — thresholds are typically revised annually.

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Standard cycle and documentation

Payroll in Greece runs on a monthly cycle, in arrears. Payslips must itemize gross pay, statutory deductions, and net pay — incomplete or incorrect payslips are exactly what a labour or social security audit checks first, so the format is a compliance requirement, not a formality.

Set up a monthly payroll cycle

Employer obligations and deadlines

Annual accounts filed with the General Commercial Registry (GEMI) within 9 months of year-end.

Employer registration runs through the General Commercial Registry (GEMI), via the e-YMS one-stop platform for standard IKE bylaws, typically taking A few days (e-YMS, standard bylaws) to a few weeks.

Plan your filing calendar

Frequently asked questions

How does the Greek social security contribution cap work?

Combined employer and employee EFKA contributions total 35.16% of gross salary, but only up to a monthly ceiling of €7,761.94 for 2026. Once an employee's monthly salary exceeds this amount, no further social security contributions are due on the excess, materially reducing the relative employer cost for higher-salary roles.

How can an IKE be formed without a notary?

When using the standard model statute (rather than a bespoke deed with custom shareholder terms) through Greece's e-YMS online one-stop platform, an IKE can be incorporated without notarial involvement, reducing both cost and timeline. A notary becomes necessary only for non-standard governance structures or in-kind capital contributions.

Why is Greece's dividend tax so low?

Greece taxes dividends at a flat 5%, the lowest rate in the EU, as part of a broader strategy to attract investment and encourage profit repatriation. This applies after the standard 22% corporate income tax has already been paid at the company level.

What is the difference between an IKE and an AE?

An IKE requires just €1 in minimum capital and suits the vast majority of SME and foreign-owned subsidiary formations. An AE requires €25,000 and a more formal governance structure, typically used for larger companies or those seeking to raise capital publicly.

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The social security contribution cap is frequently overlooked by companies modelling Greek employment cost on uncapped European assumptions. For senior roles with salaries materially above the monthly ceiling, Greek employer cost flattens in a way that doesn't occur in markets without an equivalent cap — a structural advantage worth factoring into regional hiring comparisons.

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