AVERAGE MONTHLY NET AND GROSS EARNINGS OF PERSONS IN PAID EMPLOYMENT FOR MARCH 2023

For March 2023, the average monthly paid net earnings per person in paid employment in legal entities in the Republic of Croatia amounted to 1 130 euro, which represented a nominal increase of 2.2% and a real increase of 1.3%, as compared to February 2023.

For March 2023, the average monthly gross earnings per person in paid employment in legal entities in the Republic of Croatia amounted to 1 556 euro, which represented a nominal increase of 2.2% and a real increase of 1.3% as compared to February 2023.

The highest average monthly paid net earnings per person in paid employment in legal entities for March 2023 were paid in the activity Information service activities and amounted to 2 327 euro, while the lowest earnings were paid in the activity Security and investigation activities and amounted to 738 euro.

The highest average monthly gross earnings per person in paid employment in legal entities for March 2023 were paid in the activity Information service activities and amounted to 3 644 euro, while the lowest earnings were paid in the activity Manufacture of wearing apparel and amounted to 975 euro.

The average monthly paid net earnings per person in paid employment in legal entities in the Republic of Croatia for March 2023 were nominally 11.9% higher and really 1.1% higher, as compared to the same month last year.

The average monthly gross earnings per person in paid employment in legal entities in the Republic of Croatia for March 2023 were nominally 13.5% higher and really 2.5% higher, as compared to the same month last year.

In the period from January to March 2023, the average monthly paid net earnings per person in paid employment in legal entities in the Republic of Croatia amounted to 1 110 euro, which represented an increase of 11.8% in nominal terms and in real terms it remained at the same level, as compared to the same period of 2022.

In the period from January to March 2023, the average monthly gross earnings per person in paid employment in legal entities in the Republic of Croatia amounted to 1 526 euro, which represented a nominal increase of 13.4% and a real increase of 1.4%, as compared to the same period of 2022.

In March 2023, there were 182 paid hours on average, which means that they increased by 15.2% compared to February 2023. The greatest number of paid hours was recorded in the Water transport (191) and the smallest one in Social work activities without accommodation (160).

The average monthly paid net earnings per hour for March 2023 amounted to 6.08 euro, which was 10.7% lower than in February 2023. As compared to the same month last year, they increased by 11.8%.

The average monthly gross earnings per hour for March 2023 amounted to 8.37 euro, which was 10.7% lower than in February 2023. As compared to the same month last year, they increased by 13.4%.

Median net earnings for March 2023 amounted to 946 euro, while median gross earnings amounted to 1 261 euro.

Detailed data can be downloaded on the link Statistics in Line.

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NKD 2007 activity sections

A	Agriculture, forestry and fishing
B	Mining and quarrying
C	Manufacturing
D	Electricity, gas, steam and air conditioning supply
E	Water supply; sewerage, waste management and remediation activities
F	Construction
G	Wholesale and retail trade; repair of motor vehicles and motorcycles
H	Transportation and storage
I	Accommodation and food service activities
J	Information and communication
K	Financial and insurance activities
L	Real estate activities
M	Professional, scientific and technical activities
N	Administrative and support service activities
O	Public administration and defence; compulsory social security
P	Education
Q	Human health and social work activities
R	Arts, entertainment and recreation
S	Other service activities

NOTES ON METHODOLOGY

Data sources

Data on monthly net and gross earnings as well as data on paid hours were gathered by processing data from the Report on Income, Income Tax and Surtax as well as Contributions for Mandatory Insurances (JOPPD form), in effect since 1 January 2014.

All persons or entities that are the payers of income for which the income tax regulations prescribe the obligation of accounting and paying deduction tax are under the obligation to submit the JOPPD form.

Coverage and comparability

Data comprise persons in employment in legal entities of all types of ownership, government bodies, and bodies of local and regional self-government units, on the territory of the Republic of Croatia.

Persons employed in crafts and trades and free lances and employed insured persons – private farmers are not covered, so data on their pays are not included in the data on average earnings.

Data on monthly net and gross earnings of persons employed in legal entities include net and gross earnings of persons in permanent employment, irrespective of the kind of employment and number of working-hours.

Persons in part-time employment who received earnings are expressed in full-time equivalent.

Data on monthly net and gross earnings are presented according to realised pays in the current month for the previous month, which is in line with pay dynamics in most legal entities, so the average earnings refer to the month for which the pay has been received. It does not apply to paid non-taxable incomes.

Non-taxable incomes received by person in employment are presented in table 4.

The following non-taxable incomes are covered, according to codes on the JOPPD form:

Code 21 –	gift for a child younger than 15 and benefit for a newborn, up to a prescribed amount
Code 22 –	occasional bonuses (Christmas bonus, annual leave bonus, etc.), up to a prescribed amount
Code 24 –	supplements for seafarers, up to a prescribed amount
Code 25 –	compensation for living separately from family, up to a prescribed amount
Code 26 –	severance, up to a prescribed amount
Code 60 –	jubilee payments to persons in employment depending on years of service, up to a prescribed amount
Code 61 –	occasional bonuses (Christmas bonus, annual leave bonus, etc.) for previous taxation periods (subsequent payments), up to a prescribed amount
Code 62 –	expenses for food and accommodation of seasonal workers, according to Article 7, Item 35, of the Income Tax Ordinance
Code 63 –	pecuniary awards for performance results and other types of additional awarding of persons in employment (supplemental earnings, supplements to monthly earnings, etc.)
Code 64 –	expenses for accommodation and food of persons engaged in occasional seasonal agricultural works, according to Article 6, Item 10, of the Income Tax Ordinance
Code 65 –	pecuniary lump-sum reimbursements for covering food costs of persons in employment, up to a prescribed amount
Code 66 –	food expanses for persons in employment emerged during employment with the employer based on authentic documentation, up to a prescribed amount
Code 67 –	accommodation expenses for persons in employment emerged during employment with the employer based on authentic documentation, paid through cashless transaction
Code 68 –	accommodation expenses for persons in employment emerged during employment with the employer based on authentic documentation, transmitted to worker’s account
Code 69 –	reimbursements for expanses of hospitality, tourist and other services rendered during workers’ vacation, pursuant to regulations determined by the ministry in charge for tourism
Code 70 –	reimbursements for expanses of regular care for workers’ children in institutions of pre-school education as well as in other legal entities or natural persons (kindergartens etc.)
Code 71 –	premiums of supplemental and additional health inisurance – in effect since 2020.

Data from January 2016 and onwards are not comparable to previously published monthly data.

Definitions

Average monthly paid net earnings comprise income of a person in employment earned for work done during regular working hours as well as annual leave, paid leave, public holidays and day-offs as prescribed by law, sickness leave up to 42 days, absence for continuing professional education, during lay-off and job stop caused against person’s will and of no fault of his own and net pays on the basis of compensations, allowances and rewards in sums which are subject to contributions, taxes and surtaxes.

Average monthly gross earnings include all kinds of net pays on the basis of employment and the following mandatory allocations: pension insurance contributions, income tax and surtax on income tax.

Number of paid hours is a number of hours for which persons in employment were paid. They include hours actually worked (hours done during regular working time and overtime hours) and hours not actually worked (annual leave, holidays, sick leave lasting less than 42 days and other paid hours not actually done). Paid hours do not include working hours not actually worked which are paid outside a legal entity (sick leave hours lasting over 42 days, maternity leave hours, hours of shorter working time done by parents, etc.).

Average monthly net and gross earnings per person in employment are calculated by dividing the total of pays with the number of persons in employment expressed in full-time equivalent.

Average monthly net and gross earnings per paid hour are calculated by dividing the total of pays with the total number of paid hours.

Indices of nominal net and gross earnings are calculated from the data on average monthly net and gross earnings for the respective months and year.

Real indices of net and gross earnings are calculated by dividing index of nominal net and gross earnings with a consumer price index for the respective month and year.

Median monthly net and gross earnings are calculated by determining a mean after earnings of persons in employment have been rank-ordered from the lowest to the highest one and show that 50% of persons in employment get earnings that are equal to or lower than that amount (median) and another 50% get earnings that are equal to or higher than that amount (median).

Quartile monthly net and gross earnings are calculated by dividing the earnings of persons in employment into four equal parts after they have been rank-ordered from the lowest to the highest one. Then the amount is selected below which 25%, 50%, 75% and 100% of the earnings of persons in employment are placed. They can be divided to first (lower) quartile, second quartile (median), third (upper) quartile and fourth quartile.

The first (lower) quartile indicates that 25% of persons in employment get earnings that are equal to or lower than the first quartile, while 75% of persons in employment get earnings that are equal to or higher than the first quartile.

The third (upper) quartile indicates that 75% of persons in employment get earnings that are equal to or lower than the third quartile, while 25% of persons in employment get earnings that are equal to or higher than the third quartile.

Decile monthly net and gross earnings are calculated by dividing earnings of persons in employment into ten equal parts after they have been rank-ordered from the lowest to the highest one. Then the amount is selected below which 10%, 20%, 30%, 40%, 50%, 60%, 70%, 80%, 90% and 100% of earnings of persons in employment are placed.

The first decile includes persons in employment with the lowest monthly earnings and indicates that 10% of persons in employment get earnings that are equal to or lower than the first decile, while 90% of persons in employment get earnings that are equal to or higher than that amount. The second decile includes persons in employment who get earnings that are higher than those included in the first decile and lower than those included in the third decile, etc.

Abbreviations

NKD 2007	National Classification of Activities, 2007 version
z	data are not published for confidentiality reasons

Symbols
0	value not zero but less than 0.5 of the unit of measure used

 

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Lidija Brković, Director General

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Snježana Varga, Zdenka Mandarić and Marinka Radman Ćosić

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