Lithuania’s minimum monthly wage (MMA) is set to rise to €1,245 in 2027 — an increase of €207, or 20%, compared to the current €1,038 in 2026. This figure has been confirmed by multiple Lithuanian media outlets following Tripartite Council negotiations between employers, trade unions, and the Government. Many employees and employers do not yet know what this means in concrete terms: how much more will land in their pocket, how Sodra contributions change, and what steps to take now. This guide covers everything you need to know about the new MMA 2027.
- MMA 2026: €1,038/month | MMA 2027: €1,245/month
- Change: +€207 (+20%)
- Hourly rate 2027: ~€7.41 (standard 40h/week)
- Effective from: 1 January 2027
- Employers: review contracts, update budget.
- Employees: check your contract and calculate your new take-home pay.
How much will the MMA be in 2027?
The planned minimum monthly wage for 2027 is €1,245 gross per month. This has been reported by several independent Lithuanian media outlets including TV3, 77.lt, and KaunoDiena.lt.
For context: the current 2026 MMA is €1,038. The planned increase is €207 — nearly 20% — making it one of the largest single-year MMA jumps in the past decade.
| Year | MMA (gross, €/month) | Change | Hourly rate |
|---|---|---|---|
| 2024 | €924 | – | ~€5.50 |
| 2025 | €1,038 | +€114 (+12.3%) | ~€6.18 |
| 2026 | €1,038 | €0 | ~€6.18 |
| 2027 | €1,245 | +€207 (+20%) | ~€7.41 |
Note: the MMA was frozen in 2026 at the 2025 level. The 2027 increase compensates for two years of no growth, which explains the larger-than-usual jump.
How is the minimum wage set in Lithuania?
The MMA in Lithuania is set annually by the Tripartite Council — the result of negotiations between employer organisations, trade unions, and the Government. Under Lithuanian employment law, the MMA must not be lower than 47% of the national average monthly gross salary published by Statistics Lithuania.
With the 2026 average monthly gross salary in Lithuania estimated at approximately €2,600, 47% of that equates to around €1,222. The planned 1,245 EUR figure exceeds this legal floor, indicating that the Tripartite Council agreed to go above the minimum formula requirement.
Who is affected by this change?
Employees currently earning the MMA or close to it — anyone whose employment contract specifies a salary equal to or near the MMA is automatically entitled to the increase. Employers are required to update contracts or sign a supplementary agreement before the new rate takes effect.
Employees earning more than the MMA — if your contract states a fixed amount above €1,245, it does not change automatically. However, if your salary is defined as “not less than MMA” or linked to an MMA multiplier, it will rise proportionally.
Employers in labour-intensive sectors — retail, hospitality, cleaning, agriculture, and starting-level positions will feel the largest impact. Each minimum-wage employee costs significantly more per month, including the employer’s share of social insurance.
Young workers and seasonal employees — most entry-level positions are set at or near the MMA, so they will all increase.
How much will an MMA employee take home in 2027?
An employee earning the MMA of €1,245 gross per month will receive less after taxes. Indicative calculation:
| Deduction | Rate | Amount (€1,245 basis) |
|---|---|---|
| GPM (personal income tax) | 20% | ~€249 (may be lower with NPD exemption) |
| VSD (employee Sodra contribution) | 19.5% | ~€243 |
| PSD (health insurance) | 6.98% | ~€87 |
| Estimated take-home pay | – | ~€666–€750 |
How do Sodra contributions change?
The MMA increase directly raises the Sodra contribution base for both employees and employers:
- Employee VSD contribution: from ~€202/month (at €1,038) to ~€243/month (at €1,245) — increase of +€41/month
- Employee PSD contribution: from ~€72/month to ~€87/month — increase of +€15/month
- Employer social insurance (1.77%): from ~€18.4 to ~€22.0/month per MMA employee
The long-term benefit: employees accumulating pension points through Sodra will see a higher calculation base, which translates into a larger future pension.
What does this mean for employers?
| Item | 2026 (€1,038) | 2027 (€1,245) | Difference |
|---|---|---|---|
| Gross salary | €1,038 | €1,245 | +€207 |
| Employer VSD (1.77%) | ~€18.4 | ~€22.0 | +€3.6 |
| Guarantee fund (0.16%) | ~€1.7 | ~€2.0 | +€0.3 |
| Total monthly cost per employee | ~€1,058 | ~€1,269 | +€211 |
A business with 10 minimum-wage employees faces approximately €25,000 in additional annual labour costs. For low-margin sectors, this requires advance planning well before January 2027.
When and how does the change take effect?
- Tripartite Council agreement (employer, trade union, and Government representatives).
- Government resolution — typically adopted October–November of the preceding year.
- Publication in the Official Register of Legal Acts.
- Entry into force on 1 January 2027.
Employers must update all employment contracts for MMA-level employees before 31 December 2026. Even without a signed amendment, the employee is entitled to the new rate from 1 January — but delays create legal risk and potential disputes.
What to do now
For employees:
- Check your employment contract — is your salary equal to or near the current MMA?
- If yes — expect your employer to offer a contract amendment in late 2026.
- If no amendment is offered by December 31 — contact the State Labour Inspectorate: vdi.lt.
- Calculate your new take-home pay using the Sodra calculator at sodra.lt.
For employers:
- Audit all employment contracts — identify how many employees are at or near MMA level.
- Calculate the additional monthly and annual labour costs.
- Budget for 2027 accordingly.
- Prepare contract amendment templates and schedule signings for December.
- If the increase significantly impacts margins, consider pricing or productivity reviews.
Frequently asked questions
Is the 2027 MMA of €1,245 officially confirmed?
As of late June 2026, the €1,245 figure reflects Tripartite Council negotiations reported by multiple Lithuanian media outlets. The official Government resolution is typically adopted in autumn. Monitor announcements from lrv.lt and sodra.lt for final confirmation.
Will all employees automatically receive €1,245 from January 2027?
No. The MMA is a floor — only employees currently earning at or below the MMA are entitled to the increase. Those already earning more are not affected unless their contract references MMA as a multiplier.
When exactly does the new MMA take effect?
Planned for 1 January 2027. In Lithuania, MMA changes always take effect at the start of the calendar year.
How much will an employee take home with MMA €1,245?
Approximately €666–€750 per month after taxes, depending on NPD eligibility. Use the Sodra calculator at sodra.lt for a precise figure.
What if an employer doesn’t raise the salary to the new MMA?
The employee is still legally entitled to the MMA from 1 January 2027. File a complaint with the State Labour Inspectorate (VDI): vdi.lt or call 8 5 213 9772.