Romania

What's Included

Everything you need to build a Romania offer

Gross to Net Salary Calculator

Enter any gross monthly salary and instantly see the exact net take-home after CAS social insurance (25%), CASS health insurance (10%), and income tax (impozit pe venit, 10%).

Social Contributions Breakdown

See CAS and CASS itemised separately, with employer CAM (2.25%) clearly shown for accurate total cost budgeting.

IT and Construction Sector Support

Calculate accurately for IT sector employees benefiting from the full income tax exemption, and construction sector employees with different CAS and CASS base values.

Total Employer Cost View

Instantly see total employer cost including the CAM (2.25% employer contribution), essential for headcount budgeting when hiring in Romania.

How It Works

Three steps to a confident Romania offer

Enter Gross Salary

Input the gross monthly salary in RON. Romanian salaries are quoted as monthly gross figures and must not fall below the statutory minimum wage (salariul minim brut pe tara) set by the government.

Select Sector and Dependants

Choose the employment sector. IT sector employees are fully exempt from income tax (impozit pe venit). Dependants affect the personal deduction (deducere personala).

Get Full Breakdown

Instantly see gross salary, CAS (25%), CASS (10%), income tax (10%), personal deduction, net take-home pay, and total employer cost including CAM (2.25%).

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Romania Salary Guides

What Is Gross Salary in Romania?

Gross salary in Romania (salariul brut) is the total monthly compensation agreed in the employment contract before social insurance contributions (CAS), health insurance (CASS), and income tax (impozit pe venit) are deducted. Romanian salaries are quoted as monthly gross figures in RON (Romanian leu). When making salary offers for roles in Bucharest, Cluj-Napoca, Timișoara, or Iași, the gross monthly figure is the standard reference in employment contracts. The gross salary must not fall below the statutory national minimum wage (salariul minim brut pe țară) set by government decree each year. Romania retains the Romanian leu (RON) as its currency and has not yet adopted the euro.

What Is Net Salary in Romania?

Net salary (salariul net) is what the employee actually receives after CAS (25%), CASS (10%), and income tax (impozit pe venit, 10%) have been deducted. Understanding the salariu brut net calculation is essential for recruiters and hiring managers making competitive offers in Romania. Romanian employees typically retain approximately 55% to 60% of their gross salary as net take-home, depending on income level, sector, and applicable personal deductions. Romania has one of the higher combined employee social contribution rates in the EU (35% combined CAS + CASS before income tax), but the low flat income tax rate of 10% partially offsets this. The calculator salariu net above applies all three deductions in the correct sequence to give an accurate net figure.

What Is CAS (Social Insurance Contribution) in Romania?

CAS (Contribuția de Asigurări Sociale) is Romania's employee social insurance contribution, funding the state pension system. In 2026, CAS is charged at 25% of gross salary for standard employees. There is no annual ceiling on CAS contributions for standard employment income. CAS is deducted from the gross salary before income tax is calculated, significantly reducing the taxable base. For employees in the construction sector, a reduced CAS rate of 21.25% applies. Employers in standard sectors do not pay a separate CAS contribution — the full 25% is borne by the employee. This employee-only CAS structure is a distinctive feature of Romania's social insurance system, placing a relatively heavy contribution burden on employees compared to employers.

What Is CASS (Health Insurance Contribution) in Romania?

CASS (Contribuția de Asigurări Sociale de Sănătate) is the mandatory health insurance contribution at 10% of gross salary. Like CAS, it is an employee-only contribution with no employer-side CASS obligation. It entitles the employee to access the Romanian public healthcare system.

What Is Impozit pe Venit (Income Tax) in Romania?

Romania applies a flat income tax rate of 10% on employment income (impozit pe venit). This is one of the lowest flat income tax rates in the EU. Income tax is applied on the taxable income, which is the gross salary minus CAS (25%), CASS (10%), and the personal deduction (deducere personală). The personal deduction (deducere personală) is an income-dependent allowance that reduces the taxable base for employees earning up to RON 5,000 gross per month, with additional deductions for dependent children. Romania introduced several sector-specific income tax exemptions to incentivise employment in strategic sectors:

IT sector: Employees in software development roles at qualifying companies are fully exempt from the 10% income tax (impozit pe venit) on gross salaries up to RON 10,000 per month. This exemption makes Romania exceptionally attractive for IT talent and has driven significant growth in the Romanian technology sector.
Construction sector: Employees in construction benefit from a reduced CAS rate (21.25% instead of 25%), reduced CASS (10% applied on a lower base), and a 0% income tax rate on salaries up to the sector minimum wage threshold.
Agriculture and food industry: Similar exemptions apply in the agricultural and food processing sectors for qualifying employees.

What Is Deducerea Personală (Personal Deduction) in Romania?

The deducere personală is Romania's personal income tax deduction, applied on the taxable income base before the 10% income tax rate is calculated. In 2026, the personal deduction applies as follows:

Gross salary up to RON 2,000/month: Personal deduction of RON 600 per month
Gross salary RON 2,001 to RON 5,000/month: Personal deduction tapers from RON 600 to zero
Gross salary above RON 5,000/month: No personal deduction

Additional deductions apply for dependent children: RON 200 per dependent child per month (first two children), and RON 400 per dependent child per month from the third child onwards. These child deductions are not income-dependent and apply at all salary levels. The personal deduction significantly reduces the income tax burden for lower and mid-income earners in Romania.

What Is CAM (Employer Social Contribution) in Romania?

CAM (Contribuția Asiguratorie pentru Muncă) is Romania's employer-side social contribution, paid by the employer on top of the gross salary. In 2026, CAM is charged at 2.25% of gross salary. This is the only statutory social contribution paid by employers in Romania, making the total employer cost in Romania significantly lower than in most other EU countries. The CAM funds unemployment benefits, occupational health, and guarantee fund obligations. For an employee earning RON 5,000 gross per month, the CAM adds RON 112.50, making the total employer cost RON 5,112.50 per month. Romania's extremely low employer contribution rate of 2.25% is one of the most competitive in the EU and is a major factor driving foreign direct investment and business process outsourcing into Romania.

How to Manage Payroll in Romania

Romanian payroll is regulated by the Labour Code (Codul Muncii) and administered by the National Agency for Fiscal Administration (ANAF, Agenția Națională de Administrare Fiscală) and the National House of Public Pensions (CNPP). Key compliance requirements when hiring in Romania include:

Registering as an employer with ANAF before the employee's first working day.
Registering each employment contract in the REVISAL electronic register before the employee's start date.
Withholding and remitting income tax, CAS (25%), and CASS (10%) monthly to ANAF by the 25th of the following month.
Paying CAM (2.25%) monthly to ANAF by the 25th of the following month.
Issuing a monthly payslip (fluturașul de salariu) detailing gross pay, all deductions, and net pay.
Adhering to the statutory minimum wage (salariul minim brut pe țară) of RON 4,050 gross per month in 2026.
Submitting the monthly Declarația 112 (D112) to ANAF covering all wages, contributions, and taxes.
Maintaining the REVISAL register up to date with all contract modifications and terminations.

How Much Tax Is Applied on Salary in Romania?

For a standard employee earning RON 5,000 gross per month, the total employee deduction rate is approximately 40 to 41%. Key rates for the Romania salary calculator:

CAS (social insurance): 25% of gross salary, employee only
CASS (health insurance): 10% of gross salary, employee only
Income tax (impozit pe venit): 10% flat on (gross minus CAS minus CASS minus personal deduction)
CAM (employer contribution): 2.25% on top of gross salary, employer only

Minimum Wage in Romania

The salariul minim brut pe țară is RON 4,050 gross per month as of January 2026 for standard employees. For roles requiring higher education qualifications with at least one year of experience, the minimum is RON 4,582 gross per month. Net take-home at standard minimum wage is approximately RON 2,400 to RON 2,500 per month with personal deduction applied. Romania has been increasing the minimum wage significantly each year.

Average Salary in Romania

The average salary in Romania is approximately RON 8,000 to RON 9,500 gross per month across all sectors according to INS data for 2026. After CAS, CASS, and income tax, net take-home is roughly RON 4,700 to RON 5,600 per month. Bucharest typically pays 40 to 60% above the national average. The IT sector in Cluj-Napoca, Bucharest, Timișoara, and Iași pays significantly above average, with the IT income tax exemption making Romania one of the most financially attractive locations in the EU for technology talent.

Your Questions Answered

How is net salary (salariul net) calculated in Romania?

Net salary in Romania is calculated by deducting CAS (25% of gross), CASS (10% of gross), and income tax (10% of gross minus CAS minus CASS minus personal deduction) from gross salary. For a standard employee earning RON 5,000 gross per month with no dependants, the approximate net salary is RON 2,950 to RON 3,000. The calculator salariu net above gives the precise figure instantly including all applicable deductions and personal deductions based on your selected sector and dependants.

What are CAS and CASS in Romania?

CAS (Contribuția de Asigurări Sociale) is Romania's pension insurance contribution at 25% of gross salary, paid entirely by the employee with no employer-side CAS. CASS (Contribuția de Asigurări Sociale de Sănătate) is the health insurance contribution at 10% of gross salary, also paid entirely by the employee. Together CAS and CASS total 35% of gross salary in employee contributions, making them the dominant component of the salariu brut net calculation. Both contributions are deducted before income tax is calculated. The only employer-side social contribution is CAM at 2.25% of gross salary.

What is the IT sector income tax exemption in Romania?

Employees working in qualifying software development roles in Romania are fully exempt from the 10% income tax (impozit pe venit) on gross salaries up to RON 10,000 per month. This exemption applies to software developers, programmers, analysts, and other IT professionals at qualifying companies. CAS (25%) and CASS (10%) still apply — only the income tax is exempted. This exemption effectively increases net take-home pay by approximately 5 to 8 percentage points compared to a standard sector employee at the same gross salary. It is a major competitive advantage for Romania in attracting and retaining IT talent and has made cities like Cluj-Napoca and Bucharest significant European technology hubs.

What is deducerea personală (personal deduction) in Romania?

The deducere personală is a monthly deduction from the income tax base for standard employees. For gross salaries up to RON 2,000/month, the full deduction of RON 600 applies. For gross salaries between RON 2,001 and RON 5,000/month, the deduction tapers from RON 600 to zero. Above RON 5,000/month, no personal deduction applies. Additional deductions of RON 200 per month apply for the first and second dependent child, and RON 400 per month from the third child onwards. These child deductions apply at all salary levels. The personal deduction reduces the effective income tax burden for lower and mid-income earners in Romania.

What are total employer costs when hiring in Romania?

Romania has one of the lowest employer contribution rates in the EU. The only statutory employer contribution is CAM (Contribuția Asiguratorie pentru Muncă) at 2.25% of gross salary. For an employee earning RON 5,000 gross per month, total employer cost is RON 5,112.50 per month. There are no employer-side CAS or CASS obligations — the full 35% social contribution burden falls on the employee. This makes Romania exceptionally competitive on total employer cost and is a key driver of foreign investment in business services, manufacturing, and technology sectors.

What is the minimum wage (salariul minim) in Romania in 2026?

The salariul minim brut pe țară (national minimum wage) is RON 4,050 gross per month as of January 2026 for standard employees. For employees in roles requiring higher education qualifications with at least one year of relevant experience, the minimum is RON 4,582 gross per month. The net take-home at the standard minimum wage after CAS, CASS, and income tax (with personal deduction) is approximately RON 2,400 to RON 2,500 per month. Romania has been increasing the minimum wage significantly each year to reduce wage-driven emigration and raise living standards across the country.

What is CAM and who pays it?

CAM (Contribuția Asiguratorie pentru Muncă) is the employer's social contribution in Romania, set at 2.25% of gross salary. It is paid entirely by the employer and is not deducted from the employee's salary. CAM funds unemployment benefits, occupational health and safety insurance, and the salary guarantee fund. It is the only mandatory employer social contribution in Romania, making the employer cost structure uniquely simple and competitive compared to other EU countries where employer social contributions typically range from 15% to 35% of gross salary.

Romania Salary Calculator 2026

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