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Tax reliefs for young workers in the EU: Poland, Portugal, Greece, Romania and Sweden

By the EU Pay Concierge editor · 23 Oct 2026 · Figures computed live with the rules in force this month · How we calculate

Several EU countries give young employees lower income tax, or make them cheaper to employ. The reliefs differ in who they target and how generous they are. Some exempt young employees from income tax altogether up to a limit. Some apply lower rates. One lowers the employer’s cost instead of the employee’s tax. In every case social contributions remain due, so even a full income-tax exemption does not make gross equal to net. This guide covers the reliefs that the calculator models under the 2026 rules.

Poland: no income tax under 26

Polish employees under 26 are exempt from income tax on employment income up to PLN 85,528 a year. This is known as PIT-0 or the youth relief (ulga dla młodych). The same limit is shared with three other reliefs: for parents of four or more children, for people returning to Poland, and for working seniors who do not draw a pension. Only one limit applies per person.

Social contributions are not affected. A young employee still pays pension, disability, sickness and health contributions in full, and the employer’s cost is exactly the same as for an older colleague.

The annual salary of PLN 96,000 is above the PLN 85,528 limit, so only part of it is exempt. The tax on the remaining income is fully cancelled by the PLN 3,600 tax-reducing amount, and income tax is PLN 0. Net pay is PLN 6,281.91. The same employee at 35 would pay PLN 498.42 in income tax and take home PLN 5,783.50, so the relief is worth PLN 498.42 a month.

Portugal: IRS Jovem up to age 35

Portugal’s IRS Jovem regime is the most generous by age range. Employees aged 35 or under can exempt part of their employment income from IRS for ten years: 100% in the first year, 75% in years two to four, 50% in years five to seven and 25% in years eight to ten. The exempt amount is capped at €29,542.15 a year. The exempt income still counts when the tax rate is set, so the remaining income is taxed at the rate that would apply to the whole salary. Social security of 11% is due in full.

At €2,000 a month (the calculator’s monthly view, so €24,000 a year in 14 payments), a 25-year-old outside the regime pays €246.01 a month in IRS and takes home €1,534. In the first year of IRS Jovem the tax falls to €0 and net pay rises to €1,780. At this salary no IRS is due in years two to four either, because the small tax left on the non-exempt 25% is absorbed by the €250 general family expenses deduction.

Greece: lower rates up to 30

Greece’s 2026 tax scale depends on age as well as on the number of children. For employees aged 25 or under, the first €20,000 of taxable income is taxed at 0% instead of 9% and 20%. For employees aged 26 to 30, income between €10,000 and €20,000 is taxed at 9% instead of 20%. Contributions of 13.37% are unchanged. At the boundary ages the exact counting rule (age reached during the tax year or completed years) has not been confirmed by the tax authority, and the calculator marks those results as unconfirmed.

At €1,500 a month, a 35-year-old pays €109.46 in income tax a month and takes home €1,189.99. At 28 the tax is €58.19 and net pay €1,241.26. At 24 no income tax is due at all, and net pay is €1,299.45.

Romania: a deduction for the under-26s

Romanian employees under 26 on their main job get an extra personal deduction of 15% of the minimum wage, deducted from income before the 10% tax. With the minimum wage at 4,325 lei that is 649 lei a month. It applies only up to 2,000 lei above the minimum wage, the same limit as the basic personal deduction. At 5,000 lei a month a 24-year-old takes home RON 3,046, against RON 2,981 at 35.

Sweden: cheaper for the employer

Sweden takes the opposite route. From 1 April 2026 to 30 September 2027, employers pay reduced employer fees of 20.81% instead of the standard 31.42% for employees born between 2003 and 2007, on pay up to SEK 25,000 a month. Above that amount the standard rate applies. The employee’s tax does not change, so net pay is the same. At SEK 30,000 a month the employer’s cost is SEK 36,773.50 for a 21-year-old and SEK 39,426 for a 35-year-old, a saving of SEK 2,652.50 a month.

A counter-example: Germany

Age can also raise contributions. In Germany, employees aged 23 or over who have no children pay a 0.6% surcharge on long-term care insurance. A 22-year-old and a 23-year-old on the same salary therefore have slightly different net pay.

Summary

Each calculator asks for age only where it changes the result. Enter your age, and in Portugal the year of IRS Jovem, to see the effect on your own salary.

Calculators for this guide

• Poland salary calculator
• Portugal salary calculator
• Greece salary calculator
• Romania salary calculator
• Sweden salary calculator

More guides

• How net salary is calculated in Germany in 2026
• Employer cost vs gross vs net salary across the EU
• Social contributions explained: who pays what in Romania, Poland and Spain
• 13th and 14th salaries in the EU: who pays them and how they are taxed
• Tax-free amounts and dependants: how EU countries reduce income tax
• What changes in EU payroll rules in 2027

This guide explains general rules. It is not individual tax, payroll or legal advice. Found an error? Write to us via the contact page.