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Available in +150 countries
Employer costs, taxes, minimum wage and leave rules for hiring here, plus the faster route: hire a contractor with Ontop, no local entity needed.
2026
Currency
GEL ₾ (Georgian Lari)
Employer contributions
~2% (pension employer contribution under 2019 Accumulative Pension Scheme)
Minimum wage
No statutory minimum (market-determined)
Payment frequency
Monthly
Calendar year (Jan 1 - Dec 31)
Capital
Tbilisi
Timezone
GET (GMT+4)
Employee or contractor
If the work is project-based or you need to move fast, a contractor gets you the same talent with a fraction of the paperwork.
Employee
~3,060 GEL total
/month
For a gross salary of
3,000 GEL gross/month
Setup
Local entity or employer of record, plus tax and social security registration
Employer contributions
~2% (pension employer contribution under 2019 Accumulative Pension Scheme)
Mandatory extras
Annual Bonus
Monthly admin
Monthly payroll / wage tax by 15th / pension fund contributions / annual April return
Contractor with Ontop
No local entity
$49
/contractor/month
The agreed rate, plus Ontop from $49 per contractor per month.
Sign a contract, yours or an Ontop template. No local registration on your side.
No employer contributions: the contractor handles their own taxes and social security.
One payment per invoice, in one payroll run.
Paid into their Ontop Global Account in USD.
See the full side-by-side comparison
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A contractor's rate usually covers their own taxes, so compare total cost, not just gross pay. Run your numbers in the contractor vs employee calculator.
Hiring here: the full breakdown
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Payroll guide
Employer costs come on top of gross pay. Use these figures to budget a hire and to compare it with a contractor rate.
Total monthly cost
~3,060 GEL total
Example gross salary
3,000 GEL gross/month
~2,340 GEL net
Net pay to the employee
Tax and employee contributions
Withheld from gross pay
~60 GEL employer pension
Employer contributions on that salary
Employer contributions
~2% (pension employer contribution under 2019 Accumulative Pension Scheme)
Employee contributions
2% employee pension + 20% flat income tax
Total cost above gross
~2% employer above gross
Figures are estimates for planning. Rates change with each budget and can vary by sector, so confirm them before you make an offer.
What people earn here, from the legal floor to the main cities, plus the extra pay most employers budget for.
National average
~2,000 GEL
Per month
Tbilisi
2,500 - 6,000 GEL
~40%
Batumi
2,000 - 4,500 GEL
~15%
Monthly gross. National average salary per year:
~24,000 GEL
Minimum wage
No statutory minimum (market-determined)
Paid:
No statutory minimum
Extra pay
Annual Bonus
Discretionary, common in tech and financial services
December
Collective agreements can set sector minimums above the national one. Check whether one applies to the role before you set the salary. Next step: estimate the full cost of an employee.
Who collects what, how often, and what happens when a payment is late.
Income tax brackets
20% flat income tax
Tax year:
Calendar year (Jan 1 - Dec 31)
Filing calendar
Monthly by 15th
Social security payments
April 1 (annual tax declaration)
Income tax
On request
Employee tax certificate
Salary certificate
April 1
Annual return
Annual income declaration (Form DC01)
Late payment penalties
Late tax: 0.05%/day; late pension: 0.05%/day
Who collects what
Revenue Service of Georgia
Tax administration
Social Service Agency / Pension Agency
Social benefits and pension
Labor Inspection Department
Labor law enforcement
The time off and paid leave every employee is entitled to by law. Budget for it when you compare an employee with a contractor.
Annual leave
ყოველწლიური შვებულება
24 working days
Public holidays
15 public holidays
Sick leave
ავადმყოფობა
First 30 days employer; Social Service Agency after
Maternity leave
18 weeks
1,000 GEL/month flat (Social Service Agency)
The contracts you can use, and what ending an employment relationship costs.
Permanent
შრომითი ხელშეკრულება (Unlimited)
Fixed term
შრომითი ხელშეკრულება (Fixed Term)
Independent contractor
მომსახურების ხელშეკრულება
Collective agreements
კოლექტიური შეთანხმება
Ending employment
საკომპენსაციო გადასახდელი
How it is calculated
1 month average salary per year
Calling someone a contractor does not make them one. If the role works like employment in practice, local authorities can reclassify it, with back contributions and penalties.
The errors that most often trigger back payments and penalties here, and what to do instead.
Pension Scheme Enrollment Gaps
Risk Level: HIGH
Georgia's Accumulative Pension Scheme (2019) requires mandatory employer (2%) and employee (2%) contributions for all employees under 60. Employers who register workers without pension enrollment face retroactive contribution demands with interest.
IT-Zone Virtual Zone Tax Misuse
Risk Level: HIGH
Georgia's IT Virtual Zone status provides 0% corporate tax for qualifying tech companies but does not exempt payroll taxes. IT-zone companies that avoid paying income tax withholding on employee salaries face Revenue Service audits and full reclaim.
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Next topicOntop is the Global Workforce Engine for contractor teams: contracts, compliance documents and payments in 150+ countries.
150+
countries
$49
per contractor per month
1 run
to pay your whole team
USD
Global Account for every contractor
FAQ
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Ontop works with contractors, not employees. As Contractor of Record, Ontop handles contracts, compliance documents and payments for contractors in 150+ countries. To employ someone, you need a local entity or an employer of record. Ontop doesn't act as your employer of record.
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Employers pay contributions on top of gross salary. The cost table on this page shows the rates that apply here and a worked monthly example. A contractor with Ontop costs the agreed rate plus Ontop from $49 per contractor per month.
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Many countries require an extra month or an annual bonus for employees. The salaries section on this page shows the one that applies here and when it is usually paid. Contractors are paid what you agree in the contract.
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Employers withhold income tax and the employee's social security share every pay run, then pay them to the local authorities. The taxes section on this page lists the brackets, rates and filing deadlines that apply here.
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Yes. The contractor vs employee calculator compares the full cost of an employee, employer contributions included, with a contractor rate plus Ontop's monthly fee.
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When the work is project-based, you need to start fast or you don't have a local entity. If the person will work fixed hours, under your direction and only for you, local law may treat them as an employee, so hire them as one.
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Misclassifying employees as contractors, missing tax and social security deadlines, and ignoring collective agreements that set higher wage floors. The mistakes section on this page covers the ones that come up most often here.
Compare employer costs, taxes and contractor rules in nearby countries:
Ready to hire? See Ontop pricing or learn how to build a global team without an employer of record.
Ready to hire? See Ontop pricing or learn how to build a global team without an employer of record.