How much will the minimum wage be?

The rates apply whether you employ someone under a standard employment contract (HPP), an agreement to complete a job (DPP) or an agreement to perform work (DPČ). Supplements for overtime, public holidays, night work, difficult working conditions and weekend work do not count towards the minimum wage.

Why CZK 24,900?

The minimum wage is no longer negotiated in tripartite talks between the government, employers and unions. Instead, it is calculated using a formula: forecast average wage × coefficient. On 7 September 2026, the government approved coefficients of 0.446 for 2027 and 0.458 for 2028. The aim is for the minimum wage to reach 47% of the average wage in 2029.

What this means for employers

If you have employees on the minimum wage, your costs (including the employer's 33.8% insurance contributions) will rise from roughly CZK 30,000 to CZK 33,400 per employee per month.

Before running January's payroll, check contracts with few working hours and hourly rates under DPP and DPČ agreements in particular — from January, nobody may be paid less than CZK 148.30 per hour.

What else is linked to the minimum wage?

  • Health insurance payments for people without taxable income: 13.5% of the minimum wage, or CZK 3,362 per month (CZK 3,024 in 2026)
  • Income threshold for entitlement to the child tax bonus: six times the minimum wage, or CZK 149,400 per year (CZK 134,400 in 2026)
  • Tax exemption for regularly paid pensions: 36 times the minimum wage, or CZK 896,400 per year
  • Additional earnings limit for registered jobseekers: half the minimum wage, or CZK 12,450 gross per month

Watch out for a common misconception: minimum advance payments for the self-employed and flat-rate tax are not calculated from the minimum wage. They are linked to the average wage, which comes to CZK 51,663 for 2027. You can find out how this affects your payments in Minimum advance payments for the self-employed in 2027 and Flat-rate tax 2027.

For last year's overview of all minimum amounts relevant to employers, see Employers in 2026: All the new minimum amounts.

Do you have employees on the minimum wage and want to check how the change will affect your costs? Get in touch and we will work it out together. 🌿