The whole calculation year rests on two numbers. A minimum wage of UAH 9,546 and a subsistence minimum for persons of working age of UAH 3,691 as at 1 January set single tax rates, group thresholds, contribution amounts, relief, sick pay limits and exempt payments. Below are all derived indicators with formulas and caveats.
Single tax by group
For groups 1 and 2 the rate is set by the local council, so it may be lower than the maximum in a given municipality. Group 3 is charged on income rather than on social benchmarks.
| Group | Rule (clause 293.2 of the Tax Code) | Maximum or rate |
|---|---|---|
| Group 1 | No more than 10 per cent of the subsistence minimum for persons of working age as at 1 January; the actual rate is set by the local council | no more than UAH 369.10 per month |
| Group 2 | No more than 20 per cent of the minimum wage as at 1 January; the actual rate is set by the local council | no more than UAH 1,909.20 per month |
| Group 3 | Charged on income, not by reference to the minimum wage or the subsistence minimum | 5 per cent where not registered for value added tax, or 3 per cent where registered |
Income thresholds
| Group | Multiple of the minimum wage | Threshold, UAH |
|---|---|---|
| Group 1 | 167 | 1,594,182 |
| Group 2 | 834 | 7,961,364 |
| Group 3 | 1,167 | 11,140,182 |
Military levy for sole proprietors
| Group | Rule | Amount |
|---|---|---|
| Groups 1, 2 and 4 | 10 per cent of the minimum wage as at 1 January | UAH 954.60 per month |
| Group 3 | 1 per cent of income | 1 per cent of income |
Social contribution payable by a sole proprietor for themselves
| Indicator | Formula | Amount, UAH |
|---|---|---|
| Minimum monthly contribution | 9,546 × 22% | 2,100.12 |
| Minimum quarterly contribution | 2,100.12 × 3 | 6,300.36 |
A sole proprietor on the simplified system determines the base independently, but it may be no lower than the minimum insurance contribution and no higher than the maximum base. Exemptions for pensioners, persons with disabilities and other categories are set by part 4 of article 4 of Law No. 2464-VI and must be checked separately as at the payment date.
Net pay from the minimum wage
Withholding rates: personal income tax of 18 per cent and a military levy of 5 per cent. The calculation excludes the personal income tax relief.
| Indicator | Formula or rate | Amount, UAH |
|---|---|---|
| Gross pay | — | 9,546.00 |
| Personal income tax | 9,546 × 18% | 1,718.28 |
| Military levy | 9,546 × 5% | 477.30 |
| Net pay | 9,546 − 1,718.28 − 477.30 | 7,350.42 |
Where an employee qualifies for the personal income tax relief, net pay is higher. For an employee without children earning only the minimum wage the ordinary relief normally does not apply, because the income ceiling of UAH 5,170 is lower than the minimum wage itself.
Personal income tax relief
The basic relief equals 50 per cent of the subsistence minimum for a person of working age as at 1 January of the reporting tax year.
| Indicator | Formula | Amount, UAH |
|---|---|---|
| Basic relief as at 1 January 2027 | 3,691 × 50% | 1,845.50 |
| Monthly income ceiling for the relief | 3,691 × 1.4, rounded to UAH 10 | 5,170 |
Increased amounts of relief (150 and 200 per cent) and the multiple of the income ceiling for children are set by article 169 of the Tax Code.
Social contribution on employee pay
| Indicator | Formula | Amount, UAH |
|---|---|---|
| Minimum insurance contribution (22 per cent) | 9,546 × 22% | 2,100.12 |
| Maximum base if the 2027 Budget keeps 20 minimum wages | 9,546 × 20 | 190,920.00 |
| Maximum contribution at 22 per cent | 190,920 × 22% | 42,002.40 |
| Maximum contribution at 8.41 per cent for persons with disabilities | 190,920 × 8.41% | 16,056.37 |
| Base under Law No. 2464-VI (15 minimum wages) | 9,546 × 15 | 143,190.00 |
Why the maximum base is either 20 or 15 minimum wages
Clause 4 of part 1 of article 1 of Law No. 2464-VI sets the maximum base at 15 minimum wages. The multiple of 20 was introduced each year by a separate article of the Budget Act: article 39 for 2025 and article 32 for 2026, suspending that clause of Law No. 2464-VI at the same time.
The amounts of UAH 190,920, 42,002.40 and 16,056.37 therefore apply only if the final 2027 Budget repeats that construction. Otherwise the calculation runs from UAH 143,190.
The minimum contribution based on the minimum wage applies at the principal place of work for employees without a disability. It does not apply to secondary employment, to persons with disabilities for whom the rate is 8.41 per cent of the actual base, to periods of unpaid leave, or in other cases expressly provided by Law No. 2464-VI.
Daily limits for sick pay and maternity pay
The daily minimum is 9,546 ÷ 30.44 = UAH 313.60. The maximum of UAH 6,272.01 is calculated as (20 × 9,546) ÷ 30.44 and applies only if the 2027 Budget keeps the maximum contribution base at 20 minimum wages.
| Payment and insurance record | Minimum, UAH | Maximum, UAH |
|---|---|---|
| Sick pay, less than 6 months within the preceding 12 months | not set | 313.60 |
| Sick pay, 6 months or more | not set | 6,272.01 |
| Maternity pay, less than 6 months within the preceding 12 months | 313.60 | 627.20 |
| Maternity pay, 6 months or more | 313.60 | 6,272.01 |
Per diem allowances, gifts and charitable assistance
| Indicator | Rule | 2027 / 2026, UAH |
|---|---|---|
| Domestic per diem allowance, maximum exempt amount | 0.1 of the minimum wage | 954.60 / 864.70 |
| Exempt gifts, per month | 25 per cent of the minimum wage | 2,386.50 / 2,161.75 |
| Non-targeted charitable assistance, maximum exempt amount | Equal to the income ceiling for the personal income tax relief (sub-clause (b) of sub-clause 170.7.3 of the Tax Code) | 5,170 / 4,660 |
Employee reservation from mobilisation
| Reference | Rule | Amount, UAH |
|---|---|---|
| Calculated level of three minimum wages: the average wage across the enterprise, or the pay of the reserved employee | 3 × 9,546 | 28,638 |
The actual reservation criteria are set by a separate resolution of the Cabinet of Ministers and may differ as at the date of application.
Summary of formulas
| Item | Formula and caveat for 2027 |
|---|---|
| Maximum single tax rate, group 1 | Subsistence minimum for persons of working age × 10% = UAH 369.10; the rate is set by the council |
| Maximum single tax rate, group 2 | Minimum wage × 20% = UAH 1,909.20; the rate is set by the council |
| Military levy, sole proprietors in groups 1, 2 and 4 | Minimum wage × 10% = UAH 954.60 |
| Income threshold, groups 1, 2 and 3 | Minimum wage × 167 / 834 / 1,167 |
| Minimum social contribution for an employee and for a sole proprietor | Minimum wage × 22% = UAH 2,100.12 |
| Maximum base for the social contribution | 20 minimum wages, only if so provided in the 2027 Budget; otherwise 15 under Law No. 2464-VI |
| Basic personal income tax relief and income ceiling | Subsistence minimum × 50% = UAH 1,845.50; subsistence minimum × 1.4 ≈ UAH 5,170 |
| Domestic per diem allowance | Minimum wage × 0.1 = UAH 954.60 |
| Gifts and non-targeted charitable assistance | Minimum wage × 25% = UAH 2,386.50; income ceiling for relief = UAH 5,170 |
| Net pay from the minimum wage without relief | Minimum wage × 0.77 = UAH 7,350.42 |
Summary of the figures
- The minimum wage rises to UAH 9,546 and the subsistence minimum for persons of working age to UAH 3,691.
- For a sole proprietor on the simplified system: single tax of no more than UAH 369.10 for group 1 and UAH 1,909.20 for group 2 per month, a military levy of UAH 954.60 for groups 1, 2 and 4, and a minimum social contribution of UAH 2,100.12 per month.
- For an employer: an employee on the minimum wage receives UAH 7,350.42 net, and the basic personal income tax relief is UAH 1,845.50 against an income ceiling of UAH 5,170.
Can these indicators already be used for 2027 calculations?+
For planning yes, for final payroll no. Every amount is derived from a minimum wage of UAH 9,546 and a subsistence minimum of UAH 3,691: if the Budget Act changes those values, the whole series changes with them.
Why is the maximum contribution base given in two versions?+
Law No. 2464-VI sets 15 minimum wages, while the multiple of 20 was introduced each year by a separate article of the Budget Act that suspended that provision. UAH 190,920 therefore applies only if the 2027 Budget repeats the construction; otherwise the base is UAH 143,190.
Does an employee on the minimum wage get the personal income tax relief?+
Usually not. The income ceiling of UAH 5,170 for the ordinary relief is lower than the minimum wage of UAH 9,546. Relief remains possible at the increased amounts and child multiples under article 169 of the Tax Code.
What is the quarterly minimum contribution for a sole proprietor?+
UAH 6,300.36, being UAH 2,100.12 per month multiplied by three. The base is determined by the proprietor, but may not be lower than the minimum insurance contribution.
