Payroll in Czechia runs in CZK (Czech koruna). Monthly payroll cycle is standard, typically paid by the following month per employment contract terms. No statutory 13th-month bonus is mandated; discretionary bonuses are common market practice. Statutory employer contributions apply. Gracemark operates it end-to-end, humans, not tickets.
Monthly payroll cycle is standard, typically paid by the following month per employment contract terms.
Working week
Standard workweek is 40 hours (8 hours/day, 5 days), with overtime capped at 8 hours/week (150 hours/year without agreement, up to 416 hours/year with agreement) and paid at a minimum 25% premium.
Minimum wage
Statutory monthly minimum wage is CZK 20,800 (CZK 124.40/hour) effective January 2025.
13th-month
No statutory 13th-month bonus is mandated; discretionary bonuses are common market practice.
Employer cost
Employer social security and health insurance contributions total approximately 33.8% of gross salary (24.8% social security, 9% health insurance), funding pensions, sickness, unemployment and healthcare.
Probation
Probation periods may be agreed up to 3 months (6 months for managerial positions) under the Labour Code.
Notice period
Standard statutory notice period is 2 months; statutory severance ranges from 1-3 months' average earnings depending on length of service for organizational/redundancy dismissals, and up to 12 months for health-related dismissals due to workplace injury.
Two ways to run payroll in Czechia
Own-entity payroll
For long-term presence in Czechia. Gracemark manages statutory filings, pay runs, and year-end reporting under your entity, with a named operator on Central Europe time.
EOR-run payroll
No entity in Czechia? Employ and pay talent under Gracemark's local infrastructure via EOR, onboard in 1–2 weeks (eor), no local incorporation.
Compliance essentials in Czechia
Higher employer social/health contribution (~34%)
Stable central-European hub with strong infrastructure
Two-month notice is standard for both sides
Very long available parental leave
Solid engineering and shared-services talent
Get a payroll quote for Czechia
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Get your Czechia hiring plan
Send the role, a selected worker or an existing-team requirement in Czechia. Get a written recommendation covering the model, cost categories, responsibilities and next steps. One hire is welcome; no meeting required.
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