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Find out how Remote can guide you through the complexities of managing cross-border hiring, payroll, taxes, and compliance.

 

Employing in Estonia

Estonian labor regulations are liberal in principle but provide strong worker protections designed to safeguard workers’ rights in practice. Employees in Estonia enjoy protections against discrimination based on age, religion, sexual orientation, gender expression, and race.

Common questions that could come up during the hiring process may be about minimum wage, overtime rates, and paid time off. Remote can help you offer a complete, competitive, and compliant benefits package to your employees in Estonia.

Minimum Wage

The n ew minimum wage effective January, 2025 is 5.31 euros per hour and a minimum monthly wage of 886 euros for full-time work.

Payroll Cycle

For customers of Remote, all employee payments will be made in equal monthly installments on or before the last working day of each calendar month, payable in arrears.

Onboarding Time

We can help you get a new employee started in Estonia fast. The minimum onboarding time we need is only 3 working days.

Our team ensures your employees are onboarded and paid as quickly as possible while keeping your business compliant with all local employment legislation. The minimum onboarding time begins after the employee submits all required information onto the Remote platform. The onboarding timeline is also dependent upon registration with local authorities.

For all non-nationals of the country of employment, the Right to Work assessment (if applicable) will add three extra days to the total time to onboard. There may be extra time required if we need to follow-up on the right to work assessment.

Please note, payroll cut-off dates can impact the actual first day of employment. Remote has a payroll cut-off date of the 10th of the month unless otherwise specified.

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12 Public holidays

Competitive benefits package in Estonia

health_insurance
Health Insurance
dental_insurance
Dental Insurance
vision_insurance
Vision Insurance
mental_health_support
Mental health support
pension_or_401(k)
Pension or 401(K)
life_and_disability_insurance
Life and Disability Insurance

Facts & Stats

The Republic of Estonia (Eesti Vabariik) is a European Union member, organized as a unitary parliamentary republic.

For a country with a population of less than 2 million, Estonia’s GDP ranks well above average at 37 on the global scale, driven by membership in the EU, and a flourishing, innovative tech sector. Estonia is a progressive nation with a healthy local economy, a high human development index, and a stable democracy —all of which make this Easter European nation an attractive proposition for international employers.

Estonia is a well-established destination for digital nomads and remote workers, with many coworking spaces, and quality internet connectivity.

Capital City
Tallinn
Currency
Euro
Languages
Estonian
Population size
1,329,460
Ease of doing business
Very easy
Payroll frequency
Monthly
VAT - standard rate
22%

Grow your team in Estonia with Remote

Want to employ workers in Estonia? Companies hiring in Estonia are typically required to either own a local legal entity or work with a global employment platform like Remote that can legally provide employment services in the country.

Remote can employ team members in Estonia and keep you compliant. Remote can hire, onboard, and pay your Estonia team so you don't have to set up local HR services in the region. Remote also makes it easy to pay contractors in Estonia. Sign up now to get started or talk to an expert for more details.

Risks of misclassification

Estonia, like many other countries, treats self-employed individuals or contractors and full-time employees differently. Misclassification of contractors in Estonia may lead to fines and penalties for the offending company.

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Transparent Pricing in Estonia

Payroll

29

per employee/month
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  • Powerful, transparent international payroll
  • Simple self-service platform
  • Personalized support from dedicated specialists
  • Adhere to local payroll regulations in every country
  • Integrated payroll, expense management, and HRIS solution
Contractor Management

29

per contractor/month
Book a demo
  • Only pay for contractors you actively work with
  • Work with international contractors
  • Create, edit, and sign tailored, localized contracts
  • Approve contractor invoices with one click or auto-pay
  • Transparent payments with complete visibility
Employer of Record

699 599

per contractor/month
Book a demo
  • Hire without opening a local entity
  • Guided onboarding
  • Local payroll paid on time, every time
  • Built-in security and compliance
  • Flexible, localised benefits
  • Offer equity incentives with tax assistance
  • Dedicated experts for local support
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