Certain changes to the Bulgarian Social Security legislation were published in the Bulgarian State Gazette No 103/4.12.2020, that entered into force on the 1st of January 2021. The amendments are summarized below:

Minimum amount of the monthly remuneration 650
Minimum amount of the monthly insurance base for self-insured persons 650
Maximum amount of the guaranteed receivables for employees in the event of insolvency of employer 1,625
Minimum amount of the monthly insurance base for registered farmers /producers of agri-food products/ and tobacco producers 420
Maximum monthly social security insurance base 3,000
Minimum amount of the old-age pension (Art.68, para.1 from Social Security Procedure Code) 300
Minimum amount of the daily compensation for unemployment 12
Maximum amount of the daily compensation for unemployment 74.24
Fixed amount of monetary compensation for raising a child up to 2 years of age 380


  • Insurance contribution to the Fund 'Labor Accidents and Occupational Disease' is determined by groups of basic economic activities for 2021 in accordance with Annex 2 to the new Law
  • No insurance contributions to the Fund 'Guaranteed Receivables of workers and employees' are due.

There are also changes in the Law on Measures and Actions during the state of emergency (para 13). Namely: unpaid leave (Art. 160, para. 1 from Labor Code) up to 60 working days, to be taken through 2021, is recognized as length of service as well as a period of coverage (Art. 9, para 2. p.3 from Social Security Procedure Code).

Broad-based changes to the Bulgarian Personal Income Tax Act were promulgated in the Bulgarian State Gazette No 104 / 8.12.2020. The more substantial amendments are summarized below and apply as at the 1st of January 2021:

  • New tax relief for home enhancements and/or renovation is implemented – Art.22e from Personal Income Tax Act (PITA)
  • Increase of the annual tax relief for children, as follows:
1 child 4,500
2 children 9,000
3 children and over 13.500
disabled children 9,000

For additional information with respect to the abovementioned amendments, please contact Mr. Ioannis Kesisis, country manager of EUROFAST Bulgaria via email at ioannis.kesisis@eurofast.eu

Eurofast is a regional business advisory organisation employing local advisers in over 23 cities in South East Europe & Middle East (SEEME). The Organisation is uniquely positioned as one stop shop for investors and companies looking for professional services in South East Europe & Middle East.