Salary Taxes for Foreigners in Ukraine: What Is Withheld and How to Work Out Take-Home Pay

Why the contract amount and the amount on your card differ

Many foreign workers are surprised when their first pay is lower than the figure in their employment contract. The reason is simple: the contract usually states the salary before tax (gross), and the employer withholds taxes from it and pays them to the state budget. Once you know the rules, take-home pay is easy to calculate in advance.

Which taxes are withheld

A foreigner working in Ukraine under an employment contract pays the same salary taxes as Ukrainian citizens. As the tax agent, the employer withholds:

• personal income tax (PIT) — 18% (Art. 167.1 of the Tax Code);
• military levy — 5% (subpara. 1.3, para. 16-1, subsection 10, section XX of the Tax Code).

Together that is 23% of the gross salary.

The single social contribution (SSC) — 22% is paid by the employer on top of your salary, at the employer's own expense; it is not deducted from your pay. SSC builds your insurance record, which affects, among other things, sick-leave benefits. More in our article on the rights of a foreign worker.

A worked example

Say your contract salary is UAH 20,000 a month:

1. PIT: 20,000 × 18% = UAH 3,600;
2. Military levy: 20,000 × 5% = UAH 1,000;
3. Take-home pay: 20,000 − 3,600 − 1,000 = UAH 15,400.

Separately, the employer pays SSC: 20,000 × 22% = UAH 4,400 — this does not reduce your pay. The example is illustrative: a real payslip may include other items (bonuses, sick pay, holiday pay) and lawful deductions.

Remember: pay for a full month cannot be below the statutory minimum wage. In 2026 that is UAH 8,647 a month.

Tax residency: does it change the rate?

The Tax Code (subpara. 14.1.213) treats an individual as a Ukrainian resident if, among other things, they have a place of residence here; if other criteria (permanent home, centre of vital interests) don't settle it, a stay of at least 183 days in the tax year is taken into account.

For salary it does not change the rate: Ukrainian-source income paid to non-residents is taxed under the rules and rates set for residents (Art. 170.10.1). So 18% PIT and the 5% military levy are withheld either way. Residency matters more for other income and for where you pay tax on worldwide income — in complex cases, consult a tax adviser.

What you need for correct payments

• A tax number (IPN / RNOKPP). Your employer reports your income under your taxpayer registration number. How to get one: a tax number for foreigners.
• A bank account. Wages are usually paid to a card — see how a foreigner opens a bank account.
• A payslip. Ask for it every month: it shows accruals, deductions and the amount paid.

Double taxation and an income statement

Salary for work in Ukraine is taxed in Ukraine. Whether you must also declare it at home, and whether the tax paid in Ukraine can be credited, depends on your country's law and on a double tax treaty, if one exists. To prove your income and the taxes withheld, ask your employer for a statement of income and taxes withheld — you'll need it at home and, for example, for a bank or visa matters.

Frequently asked questions

Can an employer withhold more than 23% as "tax"? Salary taxes are PIT and the military levy. Other deductions (for example, for housing) are allowed only where the law provides for them and, as a rule, cannot exceed 20% of pay in total (Arts. 127–128 of the Labour Code).

Does a foreigner pay SSC personally? No, not under an employment contract: the employer pays it.

Can part of the salary be paid in cash "without taxes"? No. Off-the-books pay leaves you without an insurance record or protection and is a violation for the employer.

How ASHA Ukraine helps

ASHA Ukraine supports candidates with their work permit and temporary residence permit (TRC), and helps them understand before departure how their salary is made up and what they will actually take home.

Sources: Tax Code of Ukraine (subpara. 14.1.213, Arts. 167.1, 170.10.1; para. 16-1, subsection 10, section XX); Law of Ukraine "On Collection and Accounting of the Single Contribution for Mandatory State Social Insurance"; Labour Code of Ukraine, Arts. 127–128; 2026 minimum wage — Law on the State Budget of Ukraine for 2026. Checked as of 17.10.2026; rates may change.