As of 1 January 2026, the minimum monthly wage in Lithuania has risen to €1,153 gross, increasing employees’ net income by approximately €69.
Lithuania enters the first quarter of 2026 with several important regulatory and financial updates affecting employers and employees alike. Below is a concise overview of the key changes:
Minimum Monthly Wage (MMA) Increase
As of 1 January 2026, the minimum monthly wage in Lithuania has risen to €1,153 gross, increasing employees’ net income by approximately €69.
New Taxation Rules for Voluntary Health Insurance
Beginning 1 January 2026, employer-paid voluntary health insurance contributions are taxed as follows:
- Any amount exceeding €350 per year is considered a taxable benefit in kind, subject to GPM and Sodra contributions.
- Additionally, the full premium amount, regardless of its size, is subject to a 10% Security Contribution.
Increased Flexibility in the 2nd Pillar Pension System
From 1 January 2026 to 31 December 2027, all second pillar pension may withdraw from the system and take out their own contributions plus investment return, regardless of age or balance.
Statefunded portions return to Sodra as pension credits, and payouts will be processed quarterly.
No additional taxes apply to the withdrawn amounts.
Gintarė Tylenienė
Specialist Health & Benefits
GrECo Lithuania
T +370 6 82 46770
