Turkish Labor Law
Based on the declaration of the Minimum Wage Determination Commission, the gross minimum wage for the second half of 2023 has been determined as 13,414.50 ₺, and the net amount as 11,402.32 ₺.
The calculation of the new minimum wage from gross to net amount is as follows:
| Minimum Wage (Gross) | 13.414,50 |
| SSI Base (PEK Base) | 13.414,50 |
| SSI Employee Contribution (14%) | 1.878,03 |
| Unemployment Employee Contribution (1%) | 134,15 |
| Income Tax Base | 11.402,32 |
| Income Tax (15%) | 0 |
| Stamp Tax Base | 13.414,50 |
| Stamp Tax Base | 0 |
| Net Payment | 11.402,32 |
Cost of Minimum Wage to the Employer
The cost of minimum wage to employers increases due to the minimum wage hike as well as the insurance premiums for each employee that the employer is responsible for.
Cost of minimum wage for employers – without incentives:
| Minimum Wage (Gross) | 13.414,50 |
| SSI Base | 13.414,50 |
| SSI Employer Contribution (20,5%) | 2.749,97 |
| Unemployment Employer Contribution (2%) | 268,29 |
| Employer Cost | 16.432,76 |
Cost of employers for minimum wage workers – with incentives:
| Minimum Wage (Gross) | 13.414,50 |
| SSI Base | 13.414,50 |
| SSI Employer Contribution (15,5%) | 2.079,25 |
| Unemployment Employer Contribution (2%) | 268,29 |
| Employer Cost | 15.762,04 |
Employer’s Social Security Ceiling Cost
One of the parameters that change with the minimum wage is the calculated premium amounts for individuals whose total income subject to premium paid by the employer exceeds the Social Security Ceiling base.
The minimum wage determined for the second half of 2023 and the base and ceiling amounts for Social Security are as follows:
| Daily | 30 Days | |
| Pek Base Amount | 447,15 | 13.414,50 |
| Pek Ceiling Amount | 3.353,63 | 100.608,75 |
The employer’s premium cost for the premiums calculated based on the ceiling is calculated as follows:
Amount without incentives:
| SSI Base | 100.608,75 |
| SSI Employer Contribution(20,5%) | 20.624,79 |
| Unemployment Employer Contribution (2%) | 2.012,17 |
Amount with incentives:
| SSI Base | 100.608,75 |
| SSI Employer Contribution(15,5%) | 15.594,35 |
| Unemployment Employer Contribution (2%) | 2.012,17 |
