Bulgaria EOR & PEO
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As a Global EOR & PEO service provider, we pride ourselves on our global reach, in-country knowledge, and ability to swiftly and efficiently mobilize workers around the world. Our robust EOR/PEO covers everything from global HR, payroll, compliance, in-country support, immigration, visas, and more.
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DID YOU KNOW
- Bulgaria is the oldest country in Europe that has retained its original name, dating back to 681 AD. It has never changed its name in over 13 centuries of continuous existence.
- The Cyrillic alphabet, used across many Eastern European and Central Asian countries, originated in Bulgaria during the First Bulgarian Empire in the 9th century. It’s now one of the official scripts of the European Union.
- Bulgaria is home to over 600 natural mineral springs, making it one of Europe’s top destinations for spa and wellness tourism. Many of these springs are believed to have therapeutic properties.
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Bulgaria EOR Services
Your Strategic Gateway to Southeast Europe
Bulgaria, positioned at the crossroads of Europe and Asia, offers a compelling environment for businesses aiming to expand in Southeast Europe. With a competitive tax regime, a skilled and multilingual workforce, and a growing economy, Bulgaria stands out as an attractive destination for international companies.
However, navigating Bulgaria’s legal and administrative landscape can be complex. Partnering with Gibson Watts Global as your Employer of Record (EOR) in Bulgaria simplifies the process of hiring and managing employees. We handle payroll, compliance, and HR functions, ensuring your operations align with Bulgarian labor laws, allowing you to focus on your core business objectives.
Working in Bulgaria
Financial Year Dates
Bulgaria’s financial year aligns with the calendar year, running from January 1st to December 31st.
Minimum Wage
As of January 1st, 2025, the national minimum wage in Bulgaria is BGN 1,077 per month, equating to approximately €551.
Standard working hours
In Bulgaria, the standard full-time working week comprises 40 hours, typically distributed over five days from Monday to Friday, with each working day lasting 8 hours.
Employers are required to provide a minimum daily rest period of 12 consecutive hours between working days and a weekly rest period of at least 48 consecutive hours, usually encompassing Saturday and Sunday.
While the standard working hours are generally from 9 AM to 6 PM, including a lunch break, specific working hours can vary based on the employer’s internal regulations and the nature of the job.
Overtime
Overtime work is compensated at the following minimum rates:
- 50% additional pay for overtime on regular workdays
- 75% additional pay for overtime on weekends and holidays
- 100% additional pay for overtime on public holidays
Overtime compensation must be monetary; compensatory time off is not permitted.
Holiday Allowance
In Bulgaria, employees are entitled to a minimum of 20 working days of paid annual leave each year. Eligibility for this leave typically requires at least 4 months of continuous employment. Certain categories of employees, such as those under 18 years of age or with a disability level of over 50%, are entitled to a minimum of 26 working days of paid annual leave.
Sick Leave
Employees in Bulgaria are entitled to paid sick leave, provided they have at least 6 months of social security contributions. The employer pays 70% of the employee’s average daily wage for the first 3 days of illness. From the 4th day onwards, the National Social Security Institute (NSSI) covers 80% of the wage.
Maternity & Paternity Leave
- Maternity Leave: Female employees are entitled to one of the best maternity leave policies in the world at 410 days of maternity leave, starting 45 days before the expected date of childbirth. The leave is paid at 90% of the employee’s average gross wage, funded by the National Social Security Institute.
- Paternity Leave: Fathers are entitled to 15 days of paid paternity leave, to be taken within 15 days after the child’s birth. This leave is compensated at 90% of the father’s average gross wage.
Public Holiday
- New Year’s Day
- Liberation Day
- Labour Day
- St. George’s Day
- Day of Bulgarian Education and Culture
- Unification Day
- Independence Day
- Christmas Holidays
Social Contributions
In Bulgaria, both employers and employees contribute to the social security system, covering pensions, health insurance, and other benefits.
- Employers: Approximately 14.12% to 14.82% for social security and 4.8% for health insurance.
- Employees: 10.58% for social security and 3.2% for health insurance.
Income Tax
Bulgaria applies a flat personal income tax rate of 10% on all personal income, regardless of the amount.
Health Care
Bulgaria operates a universal healthcare system funded through mandatory health insurance contributions. Employers and employees contribute to the National Health Insurance Fund, which provides access to a range of medical services. While public healthcare is widely accessible, many individuals opt for supplementary private health insurance for enhanced services.
Visas
Non-EU nationals intending to work in Bulgaria must obtain:
- A Type D long-stay visa
- A work permit or single permit
- A residence permit (if not covered by a single permit)
These permits require employer sponsorship and are subject to specific eligibility criteria.
Non-EU nationals intending to work in Bulgaria must obtain:
- Type D Long-Stay Visa: This visa is required for foreign nationals planning to stay in Bulgaria for more than 90 days. It serves as the basis for applying for a residence permit.
- Single Permit (Work and Residence): Most foreign employees apply for a Single Permit, which combines both work and residence authorisations. It is issued for up to one year, renewable, and is sponsored by the Bulgarian employer.
- EU Blue Card: Highly skilled non-EU nationals may apply for an EU Blue Card, which allows residence and employment in Bulgaria for up to 4 years. This is ideal for sectors like IT, engineering, and healthcare.
- Residence Permit: Once in Bulgaria on a long-stay visa, the individual must apply for a residence permit, typically valid for up to 12 months and renewable annually, unless applying under the EU Blue Card.
- Family Reunification Visa: Foreign employees who hold valid residence permits may apply for their close family members (spouse, children) to join them under family reunification provisions. Approval depends on proof of income, accommodation, and valid health insurance.
For further information, refer to Bulgarian Ministry of Foreign Affairs and Migration Directorate Bulgaria.
13th salary
There is no statutory requirement for a 13th-month salary in Bulgaria. However, some employers – particularly multinationals and companies in the finance and IT sectors – may offer bonuses or profit-sharing schemes as part of their employment packages. These are discretionary and often performance-based.
Cultural Information
Bulgaria boasts a rich cultural tapestry influenced by Thracian, Roman, Slavic, and Ottoman heritage. The country is known for its traditional folk music, dance (like the horo), and colourful festivals such as Kukeri, where participants wear elaborate masks to ward off evil spirits.
Bulgarians are known for their hospitality and strong sense of community. Interestingly, cultural gestures differ from much of Europe – nodding means “no,” while shaking the head means “yes,” which can be confusing for visitors at first.
Bulgarian cuisine reflects Mediterranean and Eastern European influences, featuring dishes like banitsa (a cheese pastry), shopska salad (a tomato, cucumber, and feta mix), and kavarma (a slow-cooked meat and vegetable stew). Yogurt (kiselo mlyako) is a national staple, made using a unique strain of bacteria native to the region.
The country has a growing tech ecosystem, and Sofia has become a start-up hub in Eastern Europe, supported by EU funding, innovation incubators, and a young, educated workforce.