Published: December 23 2023
This blog post provides updates on salaries, payroll taxes, and the SZÉP Card in Budapest, Hungary for 2024. It covers the recent adjustments to minimum wages and the guaranteed minimum salary, the unchanged payroll taxes, and the changes to the SZÉP Card.
Adjustments to Minimum Wages and Guaranteed Minimum Salary
The minimum wage in Hungary has been increased by approximately 15% to HUF 266,800 gross, starting from December 2023. The guaranteed minimum salary, which applies to employees with at least a secondary education or a high school diploma, has been increased by approximately 10% to HUF 326,000 gross, also starting from December 2023. Employers must raise the salaries of their employees who receive either the minimum wage or the guaranteed minimum salary to comply with the mandated minimum.
Payroll Taxes for 2024
There have been no changes to the payroll taxes in Hungary for 2024. The rates for personal income tax, social security contribution, and social contribution tax remain the same as in 2023. The payroll costs for Hungarian companies will only alter in relation to the raise given to employees.
Changes to the SZÉP Card
The SZÉP Card is a popular fringe benefit in Hungary that can be used for various purposes such as hot meals, accommodation, and leisure activities. There have been changes to the SZÉP Card in 2024. The government decree issued in summer 2023 allowed employers to give their employees a one-off allowance of up to HUF 200,000 as fringe benefits between August and December 2023, but this allowance is no longer applicable in 2024. The SZÉP Card limits are back to HUF 450,000 for the year. Additionally, the option to use the SZÉP Card for food purchases has reverted to the initial three categories.
Conclusion
In summary, the minimum wages and guaranteed minimum salary in Hungary have been adjusted for 2024. There have been no changes to the payroll taxes, and the SZÉP Card has undergone some changes in terms of allowances and usage categories. It is important for employers to comply with the new minimum wage requirements and adjust employment contracts accordingly.
Questions & Answers
What is the minimum wage in Hungary as of December 2023? The minimum wage in Hungary as of December 2023 is HUF 266,800 gross.
What is the guaranteed minimum salary in Hungary as of December 2023? The guaranteed minimum salary in Hungary as of December 2023 is HUF 326,000 gross.
Do employers have to raise the salaries of employees receiving minimum wage or guaranteed minimum salary? Yes, employers must raise the salaries of employees receiving minimum wage or guaranteed minimum salary to comply with the mandated minimum.
Are there any changes to the payroll taxes in Hungary for 2024? No, there are no changes to the payroll taxes in Hungary for 2024.
What is the SZÉP Card? The SZÉP Card is a popular fringe benefit in Hungary that can be used for things like hot meals, accommodation, and leisure activities such as museum visits or attending theaters.
What was the most important change to the SZÉP Card last year? The most important change to the SZÉP Card last year was the abolition of pockets from January 2023.
Are there any changes to the SZÉP Card limits in 2024? No, the SZÉP Card limits are back to HUF 450,000 in 2024.
What was the one-time measure allowed for SZÉP Card users in 2023? A government decree allowed employees to use the amount on their SZÉP Card to buy food (not only hot meals as before) until 31 December 2023.
What are the categories for SZÉP Card purchases in 2024? In 2024, SZÉP Card purchases are back to the initial three categories.
