Firms in Romania pay over a fifth of wages on social contributions

Romanian companies pay 23.1% of the annual salaries of their employees on social insurance and other contributions, according to a study by UHI, an international accounting and consulting network. The ratio is over the global average of 20.5% of the salary. Worldwide, the contributions have dropped from 21.6% to 20.5% starting 2012, while in Romania, the contributions have dropped from 35.3 to 23.1%. However, the country still has some of the highest taxes and mandatory insurance costs of all the countries that were part of the study, reports local Hotnews.ro. The employers pay on average USD 6,930 to the state for a salary of USD 30,000. In Croatia, the taxes represent 17.2% of the salary whereas in Poland, they represent 20.7%. editor@romania-insider.com