Net vs Gross Salary — Calculation and difference
Gross salary is the total salary amount before deductions. Net salary is what the employee receives in their account — after deducting social contributions (27.5%) and personal income tax (10%).
Definition
Gross salary is the total salary amount before deductions. Net salary is what the employee receives in their account — after deducting social contributions (27.5%) and personal income tax (10%).
Details
Formula: Gross − Contributions (27.5%) − Income tax (10% on base after contributions) = Net. For the employer, total cost is gross + any allowances (food, transport). Minimum gross salary in 2026: ~20,175 MKD.
Example
Gross 40,000 MKD − contributions 11,000 MKD − tax ~2,100 MKD = net ~26,900 MKD in the employee's account.