On 11 November 2025, the National Assembly of the Republic of Slovenia adopted, under urgent procedure, a draft of the Act on the right to a winter bonus and the revision of determining the tax base by taking into account flat rate income (the “ZPZR”). The latter is not yet in force, as it must first be reviewed by the National Council, then promulgated and published in the Official Gazette of the Republic of Slovenia. It will enter into force on the day following its publication.
The ZPZR stipulates the following:
- it introduces a new labour law right for employees – the so-called winter bonus, which is becoming a mandatory part of employment remuneration;
- the amount of the winter bonus equals half of the minimum salary in the Republic of Slovenia, which for 2025 amounts to EUR 638.86 gross, and must be paid in cash;
- a special tax treatment of the winter bonus;
- the employer must pay the winter bonus to the employee no later than 18 days after the end of the payment period for the November salary of the current year;
- a special arrangement for 2025: if the Act enters into force after 18 December 2025, the winter bonus for 2025 must be paid no later than the next working day after its entry into force.
As follows from the draft, the purpose of the new bonus is to ensure that all employees in the same position receive an additional payment in a given calendar year, thereby contributing to greater job satisfaction and motivation. A more detailed overview follows below.
Amount and eligibility for winter bonus
Every employee has, for 2025 and subsequent years, the right to a winter bonus amounting to half of the minimum wage in the Republic of Slovenia (EUR 638.86 gross in 2025), which must be paid in cash. If an employee has been employed for less than one year in a calendar year, the (respective) employer is obliged to pay a proportional part of the winter bonus. This means that employees whose employment with a particular employer has been terminated during the year are also entitled to the corresponding part of the winter bonus, regardless of the reason for termination.
For employees working part-time, the winter bonus is reduced proportionally, unless the employee works part-time under Articles 67 or 67.b of the Employment Relationship Act (the “ZDR-1”) (e.g., in accordance with regulations on pension and disability insurance, health insurance, parental leave, or as an employee prior to retirement).
Payment deadline
Winter bonus must be paid no later than 18 days after the payment period for the November salary.
Exceptionally, if the sector-level collective agreement so provides, an employer in the private sector may set a later payment deadline in the event of illiquidity. When interpreting the term “illiquidity,” the insolvency legislation (the “ZFPPIPP”) governing the illiquidity of economic entities must be considered.
Tax treatment and contributions
Winter bonus is not included in the tax base for income tax up to half of the minimum wage, nor is it included in the base for the payment of pension and disability insurance contributions.
The aforementioned tax-free amount of the winter bonus in the tax year together with the tax-free performance bonus (i.e., Christmas bonus), may not exceed 100 % of the average monthly salary of employees in Slovenia (for 2025, EUR 2,394.92 gross[1]).
This means that performance bonuses and the winter bonus have a combined limit up to which they are not included in the tax base, whereby the order of payment within the tax year is not relevant. Upon the payment of a performance bonus or a winter bonus in a given tax year, if the specified limit is exceeded, the difference above the specified limit is included in the tax base from employment income.
If an employer pays a winter bonus that exceeds the minimum amount, the difference shall, subject to the conditions set out in Article 44(1)(12) of the Personal Income Tax Act (the “ZDoh-2”), be considered as a performance bonus. If these conditions are not met, or if the aforementioned limit is exceeded, the latter is included in the tax base from employment income.
In detail about the relationship between the winter bonus and the performance bonus (i.e., Christmas bonus)
The ZPZR stipulates that the winter bonus and the performance bonus are separate institutes. An employer cannot replace the payment of the winter bonus with the payment of the performance bonus.
The payments have different bases:
- the performance bonus is linked to criteria specified in internal rules (achieved business results),
- the winter bonus is a legal right of an employee, regardless of achieved business results.
The only thing they have in common is their tax treatment, as the ZPZR stipulates a uniform tax exemption or a total amount up to which these two payments are not included in the tax base.
In principle, employees will be entitled under the ZPZR:
- to a winter bonus, i.e. all employees, regardless of attendance or achieved business results, and
- to a performance bonus, in accordance with the provisions of employment contracts, internal acts, and collective agreements.
If employers are considering reducing the payments of performance bonuses due to the new obligation to pay the winter bonus, it will first be necessary to review the existing basis for these payments (employment contracts, internal regulations, and collective agreements). On this basis, it is necessary to assess whether the changes would be consistent with the employer’s overall remuneration policy and whether they are legally permissible, particularly with regard to the issue of acquired rights, at least for the year 2025.
Special provisions regarding the payment deadline and taxation of the winter bonus for 2025
The transitional and final provisions of the ZPZR regulate special rules for the first year of application, the year 2025, which allow employers in the private sector slightly more flexibility regarding the payment deadlines and taxation of the winter bonus.
The winter bonus for the year 2025 must be paid by 18 December 2025, at the latest.
Employers who, in 2025 or by 31 March 2026, have not paid out profits, purchased their own shares or business shares, bonuses to management or performance bonuses to management, or for whom in 2025 or by 31 March 2026 no obligation has arisen for the above mentioned payments or the option to purchase their own shares or business shares, are obliged to pay only a quarter of the winter bonus for the year 2025 by 18 December 2025, and the remainder by 31 March 2026, at the latest. For 2025, the ZPZR also explicitly allows that, in the event of illiquidity, an employer may (on its own) decide to extend the deadline for the payment of the winter bonus until 31 March 2026, without the need for such an extension to be permitted in a sector-level collective agreement.
Although the wording of the ZPZR regarding the tax treatment of the winter bonus and the performance bonus for the year 2025 is unclear, based on the explanatory memorandum of the Act, we can understand that for 2025, a special, more favourable tax treatment of the winter bonus and the performance bonus will apply. We can also understand that even if an employee has already received or will receive the performance bonus in 2025 (including the so-called Christmas bonus or the thirteenth salary) in an amount that is treated more favourably for tax purposes, such an employee will still be entitled to the winter bonus which will also benefit from more favourable tax treatment. We would like to point out that, due to the ambiguity of the ZPZR provision as to whether both employment-related payments are eligible for more favourable tax treatment despite exceeding the limit in 2025, it is advisable to be cautious and monitor further public explanations and opinions, particularly those of the Financial Administration of the Republic of Slovenia (FURS).
When introducing the winter bonus and the performance bonus, questions concerning the appropriate internal regulations and the correct implementation of both institutes may quickly arise. Our team is here to assist you with expert advice, clear guidelines, and practical solutions tailored to the specific needs of your company.
[1] Republic of Slovenia, Statistical Office, available at: Earnings
