Employer Payroll Tax
Employee Payroll Taxes
Employee Income Tax
The federal minimum wage is 12,792 RUB a month but can be higher in certain regions.
The payroll cycle is bi-monthly.
There are no statutory laws on 13th salary in Russia.
Full-time employment is considered 8 hours per day and 40 hours a week.
Hours worked over 40 hours per week are considered as overtime and are paid at a higher rate. Overtime should not exceed 4 hours in 2 successive days and 120 hours per year.
Overtime is paid at a rate 150% of the regular pay rate for the first two hours and at 200% for all subsequent hours worked within a day.
When an irregular working regime is stipulated in the contract, overtime is compensated by additional paid leave and cannot be less than 3 calendar days per year.
Work during weekends and on public holidays is paid at a minimum of 200% of the regular pay rate. However, the employee can agree to be compensated by receiving regular pay plus an additional day off.
28 calendar days per year, all unused days are carried over.
Employees may be entitled to additional paid leave if they work in harmful and dangerous working conditions, have irregular working hours, work in the far North regions and in some other cases stipulated by the law.
There are 7 public holidays.
Sick leave allowance is paid by the employer for the first 3 days of sickness and by the Social Insurance Fund from the 4th day onwards.
Sick leave allowance varies depending on the overall length of service, but it does not exceed 2,301 RUB per day.
Maternity leave is paid for 140 calendar days and additional paid childcare leave till the child reaches the age of 18 months. The allowance is covered by the Social Security Fund.
Paternity leave falls under parental leave.
The relative or guardian who takes care of the child can take paid parental leave till the child reaches the age of 18 months. The allowance is covered by the Social Security Fund.
Only one parent can take the childcare leave.
Study leave: Employees gaining higher education are entitled to 40 days paid leave during the first two years of study and 50 days paid leave during consequent years of study. The allowance is paid by the Employer.
Labor contracts can be terminated on the following grounds:
- Mutual agreement of the parties
- Expiry of the fixed term contract
- At employee’s initiative;
- At employer’s initiative – reasons are limited by legislation (e.g. staff reduction, if employee fails to fulfill hisher working duties or absent without good explanation, the company’s owners change (applicable only for director, chief accountants and deputies etc).
All termination settlements are to be finalized during the employee’s last working day.
- 3 days’ written notice is mandatory when terminating due to probation period failure.
- 3 days’ written notice is mandatory when terminating due to the expiry of the fixed term contract
- Indefinite employment agreement- 2 week’s written notice is required when the employee initiates the termination of the employment agreement
- Termination due to redundancy or liquidation- 2 months’ written notice is required
When terminating due to staff redundancy or a company’s liquidation, severance pay is one month’s salary plus payment of their average month’s earnings for a 2-month period post dismissal when the employee is searching for alternative work.
If the employee fails to find an alternative job after two months, they can obtain a letter from the Employment Fund which entitles them to receive an additional month’s salary.
When termination is a result of the employee’s refusal to transfer to a different available position within the company or due to the loss of the ability to work (additional reasons might also apply), two weeks’ salary is paid.
The probation period is 3 months. It can be extended to 6 months for directors, chief accountants, and their deputies.
20% standard rate.