Lithuania net salary calculator 2026
Work out your take-home pay in Lithuania for 2026. The calculator deducts 19.5% Sodra (social and health insurance) from gross, then applies the tapered NPD non-taxable allowance (up to EUR 747/month for gross up to EUR 1,153/month, tapering to zero above EUR 2,677/month), and finally progressive GPM income tax: 20% up to 36 VDU (EUR 83,237/year), 25% from 36-60 VDU. Single employee, standard NPD at one employer.
| Gross salary | €2,000.00 |
| Social insurance (Sodra 19.5%) | -€390.00 |
| Income tax (GPM) | -€255.61 |
| Net pay (take-home) | €1,354.39 |
Effective deduction rate 32.3 % · of which income tax 12.8 %
How this is calculated
- Deduct 19.5% Sodra (employee social and health insurance) from gross salary. The Sodra contribution is capped at 60 average monthly wages (VDU), equal to EUR 138,729 per year in 2026; gross above this cap is not subject to Sodra.
- Compute the monthly NPD (neapmokestinamasis pajamu dydis, non-taxable allowance). The maximum is EUR 747 per month for gross up to EUR 1,153/month. Above that threshold the NPD tapers: NPD = max(0, 747 - 0.49 x (grossMonthly - 1,153)), reaching zero at approximately EUR 2,677/month. Multiply the monthly NPD by 12 to get the annual allowance.
- Apply progressive GPM (gyventoju pajamu mokestis, income tax) to taxable income (gross minus Sodra minus annual NPD): 20% on the first 36 VDU (EUR 83,237.40), 25% on income from 36 to 60 VDU (EUR 138,729), and 32% on any excess above 60 VDU. Take-home pay equals gross minus Sodra minus GPM.
- The employer pays additional social contributions (employer-side Sodra) on top of gross salary; these do not appear on your payslip and do not reduce your net pay.
FAQ
What is the NPD non-taxable allowance in Lithuania for 2026?
The NPD (neapmokestinamasis pajamu dydis) is a monthly income-tax-free allowance of up to EUR 747. It applies in full when your gross monthly salary is EUR 1,153 or less. Above that the allowance tapers at a rate of 0.49 per euro of extra gross, reaching zero at approximately EUR 2,677 per month. Most employees earning a median wage or below benefit from a full or partial NPD.
What is Sodra and how much does the employee pay?
Sodra is the Lithuanian State Social Insurance Fund. The employee contribution is 19.5% of gross salary, combining compulsory pension insurance (8.72%), health insurance (6.98%), and other social insurance (3.80%). This contribution is capped: gross exceeding 60 average monthly wages (EUR 138,729/year in 2026) is not subject to Sodra. The employer also pays Sodra contributions on top of gross, which do not affect your net pay.
How does Lithuania's GPM progressive tax work?
GPM is applied to taxable income, which is gross minus Sodra minus the annual NPD. The rate is 20% on the first EUR 83,237.40 (36 VDU), 25% on income between EUR 83,237.40 and EUR 138,729 (60 VDU), and 32% above EUR 138,729. The vast majority of employees are fully within the 20% band because the 25% band only starts at roughly EUR 6,936 gross per month.
What changed in Lithuanian VAT for 2026?
The reduced PVM rate that previously covered accommodation, passenger transport, heating and books was raised from 9% to 12% in 2026. The standard rate remains 21% and the super-reduced 5% rate (medicines and certain other goods) is unchanged. Verify the current classification for your goods or services with VMI.
Official sources
Data last verified 2026-07-18 · tax year 2026 · 13 sourced values
Every rate, threshold and formula is read from a versioned dataset of official primary sources — no numbers are hardcoded. Values without a published 2026 primary source are flagged, never guessed.
3 sources
- Sodra (State Social Insurance Fund) — Employee Sodra contribution 19.5% (social 12.52% + health 6.98%)
- VMI (State Tax Inspectorate) — NPD maximum EUR 747/month (GPM law art. 20)
- VMI — PVM standard rate 21%
⚠️ Informational estimate, not tax advice. Payroll software may differ in edge cases. Verify with a professional.