Remuneration payable to a member of the management board
With an A1/E101 certificate, individuals working outside their home country can demonstrate coverage under the social insurance legislation of the country they are working in. This includes benefits such as old age pension, child benefit, and unemployment. All European Union countries utilize A1/E101 certificates. To avoid paying social security tax in Estonia, you must present your A1/E101 certificate to the Estonian tax authorities.
Remuneration payable to a member of the management board with A1/E101
Gross salary
Tax exempt income
Taxable income
Income tax 22%
Social security tax to be paid in Estonia
Employee to receive
Total taxes
Total cost for the employer
1 000 EUR
0 EUR
1 000 EUR
220 EUR
0 EUR
780 EUR (1 000 – 220)
220 EUR
1 000 EUR
Board member's salary to resident or person without A1
Gross salary
Tax exempt income
Taxable income
Income tax 22%
Social security tax 33%
Employee to receive
Total taxes
Total cost for the employer
1 000 EUR
0 EUR
1 000 EUR
220 EUR
330 EUR
780 EUR (1 000 – 220)
550 EUR (220 + 330)
1 350 EUR (1 000 + 350)
From the total cost 1 350 EUR - 57.8% (780) is received by the employee and 36.2% (550 EUR) is paid in taxes.