Key changes to employee payments starting in 2026

Tags Outsourcing HR & payroll

We draw your attention to the fact that the Law of Ukraine No. 4695-IX dated 10 December 2025 “On the State Budget of Ukraine for 2026” (hereinafter referred to as Law No. 4695) has introduced several changes related to salary.

What companies should consider:

1. Indexation reset starting from January 2026 (Article 41 of Law of Ukraine No. 4695)

The calculation of the consumer price index for the indexation of monetary income of the population will be carried out on an incremental basis starting from January 2026, which is taken as 1 or 100 percent. The amount of indexation accumulated in December 2025 will not be applied in January 2026.

2. Minimum wage amount

Throughout 2026, the minimum wage is expected to remain unchanged, and as of 1 January 2026, it amounts to:

in the monthly amount – UAH 8,647;
in the hourly amount – UAH 52.

According to Article 32 of Law No. 4695, the maximum base for calculating the social insurance contribution is 20 minimum wages, which from 1 January 2026 amounts to UAH 172,940.

Thus, the minimum insurance contribution in 2026 is UAH 1,902.34 per month (UAH 8,647 × 22%).

3. Daily allowances for business trips

Daily allowances for business trips within Ukraine are set at no more than 0.1 of the minimum wage, determined as of 1 January of the tax year, for each day of the business trip (subparagraph “a” of paragraph 170.9.1 of the Tax Code of Ukraine).

Therefore, from 1 January 2026, the amount of non-taxable daily allowances in Ukraine increases to UAH 864.70.

For business trips abroad, this amount remains unchanged – no more than EUR 80 for each calendar day of such a business trip, calculated at the official UAH / EUR exchange rate established by the NBU for each respective day.

Do you still have questions about the legislative changes that take effect in 2026? Contact the experts at Forvis Mazars for consultation – we will help you navigate the new rules and avoid any risks for your company.