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Minimum wage in Georgia
Payroll in Georgia
Statutory benefits in Georgia
Other employee benefits in Georgia
Payroll and benefits in Georgia
Every country has its own rules and regulations when it comes to managing payroll and providing employee benefits — and Georgia is no exception. Employers must understand how to calculate and process wages correctly, comply with income tax and social security obligations, and stay aligned with the country’s labour laws.
From payment frequency to payslips and tax deductions, handling payroll in Georgia requires a clear grasp of both legal requirements and common business practices. In this section, we’ll walk through the key aspects of payroll in Georgia, including tax withholdings, salary payments, and reporting obligations. We’ll also look at the minimum wage, explore statutory benefits like paid leave and parental entitlements, and highlight common additional perks that employers offer to stay competitive in Georgia’s evolving labour market.
Minimum wage in Georgia
Georgia is unlike many other European countries in that its minimum wage was fixed by presidential decree, not legislation, and is not indexed to the cost of living. That means it is ineffective as a means of ensuring a decent living for employees in Georgia.
Minimum wage in Georgia in 2025
As of 2025, the minimum wage in Georgia is GEL 20 per month for private-sector workers and GEL 115 per month for those in the public sector. This amounts to EUR 6.58 and EUR 37.85, respectively. These figures have not changed since the minimum wage in Georgia was first introduced in 1999.
Unofficial minimum wage in Georgia
While the above figures are the amounts employers are obliged to pay their employees by law in Georgia, it’s unlikely that workers would accept to work for so little in 2025. According to some sources, the unofficial minimum wage in Georgia is somewhere between GEL 300 and 350 (EUR 99 and EUR 115) per month. It’s possible that Georgia will introduce a minimum wage more in line with this unofficial standard over the next few years.
Payroll in Georgia
Employees in Georgia are typically paid monthly, with salary payments made in Georgian Lari (GEL). There is no fixed statutory pay date, but it is common to pay employees by the end of the month or within the first few days of the following month. The Georgian tax year runs from 1 January to 31 December.
Income taxes and other payroll deductions in Georgia
Employers in Georgia must withhold and remit personal income tax from their employees’ wages at a flat rate of 20%. Social security contributions are not collected from employees, but employers must pay a 2% contribution to the Pension Agency on behalf of eligible employees. This contribution may be matched by the government and the employee, depending on whether employees choose to opt in. Employers are responsible for filing and paying taxes monthly, typically by the 15th of the following month.
Payroll process in Georgia
Employers in Georgia are responsible for calculating gross pay, deducting applicable income tax and pension contributions, and remitting these amounts to the tax authorities. Payslips must be issued to employees for each pay cycle. Payroll records should be maintained for at least six years. Non-resident employers hiring in Georgia must either register locally or engage an employer of record (EoR) to manage payroll compliance.
13th salary in Georgia
There is no legal requirement to pay a 13th-month salary in Georgia. However, some employers may offer bonuses or incentive payments at the end of the year on a discretionary basis or as outlined in employment contracts.
Other payroll requirements in Georgia
Salaries must be paid in GEL unless otherwise agreed. Payments should be made by bank transfer unless another method is mutually agreed upon. Employers must ensure accurate and timely reporting to the tax authorities and provide employees with clear documentation of their earnings and deductions.
Statutory benefits in Georgia
Employees in Georgia have the right to certain statutory benefits under the Labour Code of Georgia and other important legislation. As an employer, you’ll need to understand these rights so you can ensure your team receive the benefits they are entitled to. Read on to learn about some of the most important statutory benefits in Georgia.
Pensions in Georgia
Employees in Georgia are entitled to a pension, which provides them with an income when they retire. The accumulated pension system requires contributions from employees, employers, and the state (each 2% of gross salary), unless the employee has opted out.
Annual leave in Georgia
Employees are also entitled to at least 24 working days of paid leave every year for holidays and relaxation. They also have the right to at least 15 days of unpaid leave. There are different rules for employees working under arduous, harmful, or hazardous conditions.
Maternity, paternity, and parental leave in Georgia
Employees in Georgia have the right to at least 126 calendar days of maternity leave, with an additional entitlement in cases of complications during childbirth or multiple births. Parents are also entitled to a shared balance of 604 days of parental leave, part of which can be taken by the father as paternity leave. Employees can receive payment from the state during maternity leave and a portion of parental leave.
Occupational health and safety protections in Georgia
Employers in Georgia have certain responsibilities towards their employees under the Law of Georgia on Occupational Health and Safety. For example, they must provide protective equipment and conduct thorough investigations into workplace hazards. They must also provide regular training on safe work practices, which must happen during work hours.
Mandatory personal accident insurance in Georgia
Beginning in 2019, employers in Georgia must provide accident insurance for employees who perform hazardous work. This insurance provides employees with benefits in the case of an accident or occupational illness.
Other employee benefits in Georgia
Employers in Georgia are also free to offer additional perks beyond the statutory minimum. Providing a competitive package of employee benefits in Georgia can help attract top talent and improve retention in a competitive job market. Here are some of the most popular non-mandatory employee benefits in Georgia that companies often consider.
Additional leave in Georgia
Some employers grant extra paid or unpaid leave beyond what’s required by law. This helps employees manage their work-life balance and is a valued part of any benefits package.
Private health insurance in Georgia
Although not mandatory, many employers offer private health insurance to complement the public healthcare system. This benefit is especially common among multinational companies and larger domestic firms.
Meal and transport allowances in Georgia
To support daily commuting and living expenses, some employers provide monthly allowances or reimbursements for meals and transportation — particularly in cities like Tbilisi, where costs can add up.
Bonuses and performance incentives in Georgia
Performance-based bonuses are widely used in Georgia’s private sector. These may be awarded annually or quarterly, often tied to KPIs or team targets.
Mobile phone and internet reimbursement in Georgia
For employees working remotely or in communication-heavy roles, it’s common for employers in Georgia to reimburse phone bills or home internet costs.
Wellbeing perks in Georgia
An increasing number of businesses include wellbeing benefits such as gym memberships, mental health resources, or wellness stipends, especially in younger or international workplaces.
Training and development in Georgia
Employers looking to invest in their teams often provide access to online courses, professional certifications, or training budgets as part of their employee benefits in Georgia.
Compliant, seamless payroll and benefits in Georgia and beyond
Getting payroll and benefits right is not just a legal issue. Every country also has its own customs, norms and expectations about employee compensation. And if your operations aren’t in line with your workers’ expectations, they may not stick around for long.
Thankfully, we know what we’re doing. When you work with CXC to engage workers in Georgia, we’ll handle everything from tax withholding to employee bonuses on your behalf.
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