Cost of an employee in Turkey (2026)
What an employee really costs an employer in Turkey: gross salary plus mandatory employer social contributions.
On a gross salary of TRY 55,000 per month in Turkey, an employer pays about TRY 66,413 in total once mandatory employer social contributions of 20.8% on top of the gross are included.
Advertisement
How salary is taxed in Turkey
Income tax in Turkey is progressive: marginal rates rise from 15% to 40% as income grows.
Employees also pay social contributions of around 15% of gross salary.
A tax-free allowance of about TRY 396,360 per year is deducted before income tax.
The standard VAT rate is 20%.
| Annual taxable income | Tax rate |
|---|---|
| Up to TRY 190,000 | 15% |
| Up to TRY 400,000 | 20% |
| Up to TRY 1,500,000 | 27% |
| Up to TRY 5,300,000 | 35% |
| TRY 5,300,000 and above | 40% |
Frequently asked questions
What does it cost to employ someone in Turkey?
On top of the gross salary, an employer in Turkey pays mandatory social contributions. The total cost of employment is the gross salary plus those employer contributions.
Are employer contributions the same as salary deductions?
No. Employer contributions are paid by the company in addition to the gross salary, while employee deductions (income tax and social contributions) are taken out of the gross to leave the net take-home pay.
Employer-contribution rates are approximate and may be capped or vary by region and sector.
Approximate 2026 estimate. Simplified model, verify before relying on it. Not tax advice.
Rates updated June 2026