CAS, CASS and Income Tax
| Item | Rate | Applied to |
|---|---|---|
| CAS (pension contribution) | 25% | gross pay |
| CASS (health contribution) | 10% | gross pay |
| Impozit pe venit (income tax) | 10% | gross less CAS, CASS and the personal deduction |
There is no ceiling on either contribution for employees. The employer adds only a small work insurance contribution, so almost the whole cost of social security shows on your payslip.
Personal Deduction (Deducere Personală)
Employees whose monthly gross is no more than RON 6,325 (the minimum wage plus RON 2,000) get a deduction from the tax base. It is a share of the minimum wage:
| Monthly gross | No dependants | 1 | 2 | 3 | 4 or more |
|---|---|---|---|---|---|
| RON 4,325 | RON 865 | RON 1,081.25 | RON 1,297.50 | RON 1,513.75 | RON 1,946.25 |
| RON 4,500 | RON 778.50 | RON 994.75 | RON 1,211 | RON 1,427.25 | RON 1,859.75 |
| RON 5,000 | RON 562.25 | RON 778.50 | RON 994.75 | RON 1,211 | RON 1,643.50 |
| RON 5,500 | RON 346 | RON 562.25 | RON 778.50 | RON 994.75 | RON 1,427.25 |
| RON 6,000 | RON 129.75 | RON 346 | RON 562.25 | RON 778.50 | RON 1,211 |
| RON 6,325 | RON 0 | RON 216.25 | RON 432.50 | RON 648.75 | RON 1,081.25 |
The share starts at 20% to 45% at the minimum wage and falls by 0.5 points for every RON 50 of extra pay. Employees aged up to 26 earning in the same range get an extra 15% of the minimum wage (RON 648.75). On RON 5,000 the tax falls from RON 268.78 with no dependants to RON 225.53 with two, and to RON 203.90 for an employee under 26.
Minimum Wage and the Tax Free Amount in 2026
The gross minimum wage was RON 4,050 until 30 June 2026 and is RON 4,325 from 1 July 2026. Employees paid exactly the minimum wage, full time, also get a slice that is free of tax and contributions:
- RON 300 a month until 30 June 2026, when total gross pay was at most RON 4,300;
- RON 200 a month from 1 July 2026, when total gross pay is at most RON 4,600.
At RON 4,325 the calculator gives CAS RON 1,031.25, CASS RON 412.50 and tax RON 181.63, for a net of RON 2,699.63. Payroll rounds each item to whole lei, which gives the 2,699 lei often quoted.
Worked Example on 9,700 Lei a Month
- CAS: RON 9,700 × 25% = RON 2,425
- CASS: RON 9,700 × 10% = RON 970
- Personal deduction: none, as pay is above RON 6,325
- Income tax: (RON 9,700 − RON 2,425 − RON 970) × 10% = RON 630.50
- Net: RON 5,674.50 a month, RON 68,094 a year
Above the deduction range every extra leu of gross adds 58.5% of a leu to net pay.
Romanian Net Salary at Six Pay Levels
| Gross a month | CAS | CASS | Tax | Net a month | Net a year |
|---|---|---|---|---|---|
| RON 4,325 | RON 1,031.25 | RON 412.50 | RON 181.63 | RON 2,699.63 | RON 32,396 |
| RON 5,000 | RON 1,250 | RON 500 | RON 268.78 | RON 2,981.23 | RON 35,775 |
| RON 6,500 | RON 1,625 | RON 650 | RON 422.50 | RON 3,802.50 | RON 45,630 |
| RON 9,700 | RON 2,425 | RON 970 | RON 630.50 | RON 5,674.50 | RON 68,094 |
| RON 13,000 | RON 3,250 | RON 1,300 | RON 845 | RON 7,605 | RON 91,260 |
| RON 20,000 | RON 5,000 | RON 2,000 | RON 1,300 | RON 11,700 | RON 140,400 |
All rows are for an employee with no dependants, aged over 26. The first row includes the RON 200 tax free amount.
What Is Taxed and What Is Not
- CAS, CASS and tax: base salary, overtime, bonuses and most allowances paid with salary.
- Separate rules: meal vouchers, holiday vouchers and similar benefits have their own tax and contribution treatment.
- Extra deduction: parents get RON 100 a month for each child under 18 enrolled in school, on top of the deduction above; the calculator leaves it out.
Monthly Pay and Yearly Totals
Romanian payroll works month by month, and the personal deduction depends on the gross of each month, not on the year. If your pay changes during the year, run each month separately. A bonus paid in one month can take that month above the deduction range.
The yearly figures here assume the same gross every month and the July to December 2026 minimum wage.
Assumptions and Sources for Romania
- Full time employee at the main workplace (funcția de bază), the same gross each month.
- Minimum wage of RON 4,325 and the RON 200 free amount for every month; before July 2026 the values were RON 4,050 and RON 300.
- No sector specific rules, no disability exemption and no voluntary pension or health deductions.
Sources: the Fiscal Code (Codul fiscal, art. 77 and 78) published by ANAF, HG 146/2026 on the minimum wage and OUG 89/2025 on the tax free amount. Rates for 2026. Compare with the Hungary Gross to Net Calculator or the Bulgaria Gross to Net Calculator.
Frequently Asked Questions
How much is 9,700 lei brut in net?
RON 5,674.50 a month for an employee with no dependants.
What is the minimum wage net in Romania from July 2026?
About RON 2,699.63 on RON 4,325 gross, using the RON 200 tax free amount; payroll rounding gives about 2,699 lei.
Who gets the personal deduction?
Employees at their main workplace with monthly gross up to RON 6,325. It grows with the number of dependants.
Is there a cap on CAS and CASS for employees?
No. Both apply to the whole salary.
Do young people pay less tax in Romania?
Employees up to 26 earning up to RON 6,325 a month get an extra deduction of 15% of the minimum wage.
Why is net pay in Romania so far below gross?
Because the employee pays the pension and health contributions, 35% of gross, before the 10% income tax.