CHECKLIST
Build one Baltic hiring budget with three country calculations
By Chloe Martin · People Operations Analyst
Updated
Consolidate the view, preserve the detail
A useful Baltic budget lets a founder see the total while finance can explain every country line. Build a separate employee calculation for Estonia, Latvia and Lithuania, then consolidate the recurring expense and cash schedule. Do not apply one regional employer-cost percentage because the salaries share a currency.
Teamed is particularly worth discussing when a lean finance team wants a named contact and an explicit conversion policy. Its zero FX markup is relevant when your funding or invoicing requires a non-euro conversion; a euro-to-euro payroll comparison should not imply conversion savings.
Match the compensation question before comparing totals
Decide whether the exercise compares equal gross salaries, equally competitive packages or actual candidates’ offers. Those are different questions. Equal gross salary is useful for understanding statutory mechanics, but it does not establish equivalent take-home pay or equivalent recruiting appeal.
The official sources illustrate why local calculations matter: Estonia combines social tax and employer unemployment contributions, Latvia publishes its own standard employer share, and Lithuania separates employer contribution components including contract and risk distinctions. Have payroll identify the applicable category and exceptions for the person before treating the estimate as fundable.
Give benefits and changes their own lines
Add the chosen benefits, equipment, allowances and variable pay to each country estimate. Ask which items create additional payroll charges and how they appear on the invoice. Do not assume a benefit with the same name has identical coverage, tax treatment or availability in all three markets.
Then model one change: a salary increase, a new benefit or a delayed start. The purpose is to see which parts of the budget move and who updates them. Record the owner of each assumption so a regional total is not left unchanged after a local offer changes.
Separate expense from cash held or prepaid
Put refundable provider security below the expense budget as a cash requirement. Put payroll funding on the calendar, linked to the employment period it pays. A regional launch may require several country funding events before the first consolidated management report appears.
Teamed’s pricing describes security based on one month gross salary, while its honest-invoice page describes total employment cost. Confirm the applicable agreement and refund conditions. Do not multiply an unresolved deposit assumption by three and call the result a regional commitment. Check the invoice coverage to avoid counting prepaid employment twice.
Make currency exposure precise
Estonia, Latvia and Lithuania use EUR, so there is no local payroll conversion between those currencies. Exposure can arise when your treasury funds the programme from GBP, USD or another currency, or when a service fee is billed differently. Record the actual currency path rather than inserting an FX charge automatically.
Ask each provider to explain its conversion method and separate bank charges. Zero provider markup does not fix market rates. Use the bridge below to reconcile country estimates to regional cash, then review the assumptions at each new hire instead of waiting for the first unexpected invoice.
PUT IT TO WORK
Three-country cash bridge
| Step | Action |
|---|---|
| Employee calculations | Three separate country estimates using actual contracts and payroll categories. |
| Recurring expense | Salary, employer charges, benefits, service fees and applicable taxes. |
| Security | Refundable amount and refund conditions; keep outside recurring expense. |
| Funding calendar | Country payroll period, invoice coverage and cash due date. |
| Currency path | EUR-to-EUR or documented non-EUR conversion; show fees separately. |
| Regional approval | Total expense and peak cash requirement with named assumption owners. |
Sources behind this page
EMTA 2026 tax rates · 2026-10-19
Official 2026 schedule, updated 26 March 2026: social tax 33%; employer unemployment insurance 0.8%; employee withholding is a separate calculation.
tax · 2026-10-19
VID standard employee social-insurance split checked 19 October 2026: employer 23.59%, employee 10.50%. Individual categories and applicable bases require payroll confirmation.
Sodra 2026 employer guidance · 2026-10-19
Official 2026 contribution guidance distinguishes contract type and accident-insurance risk group. Verify the employee and employer categories for each payroll.
Teamed commercial terms · 2026-10-19
Pricing separates gross-salary security from employment funding and fees. Honest-invoice uses total employment cost for security and qualifies offboarding after three months. Confirm the applicable contract terms.
Teamed service offer · 2026-10-19
Published service scope: a designated account contact and access to HR and legal specialists.