Draft State Budget 2026: Key Figures and Implications for Businesses and Sole Proprietors (FOP)

On September 5, 2025, the government approved the draft State Budget for 2026, and the Verkhovna Rada has already registered Bill No. 14000 “On the State Budget of Ukraine for 2026.”

Accountants are primarily interested in the basic social standards and the indicators derived from them.

According to the draft:

• Minimum Wage from 01.01.2026 (for the whole year):Monthly: 8,647 UAH (in 2025 — 8,000 UAH)
• Hourly: 52 UAH (in 2025 — 48 UAH)A separate “calculation” minimum wage for court-related payments remains at 1,600 UAH
• Living Wage (general) from 01.01.2026:3,209 UAH

Both the minimum wage (MW) and the living wage (LW) affect a wide range of regulatory indicators, including:

• Everything related to simplified-system FOPs in 2026 (single tax, military levy, income limits for Groups I, II, and IV)Minimum/maximum amounts of SSC (Unified Social Contribution), sick leave and maternity benefits, fines for labor violations, daily travel allowance within Ukraine, salary thresholds for reservist protection
• Detailed tables of taxes for simplified-system FOPs per month/year and SSC parameters for different categories of employees
• Tax social benefit (TSB) in 2026:
  • Basic amount: 1,664 UAH
  • Maximum income for applying TSB: 4,660 UAH
  • Increased benefits apply to employees with disabilities and those with children
• Salary indexation in 2026 starts “from zero”:
  • CPI is calculated cumulatively starting from January 2026
  • Base month: January 2026
  • Index calculation begins in February 2026

• Annual leave for civil servants:
  • Leave accrued for the last worked year must be used by the end of 2026; otherwise, monetary compensation must be paid.