Employment Brief: Employers in Bulgaria to switch payments into euros

Bulgaria’s adoption of euro has practical implications for businesses, employers and employees. As the country adopts the new currency on 01 January 2026, all payments, including salaries and other employment-related payments, must be made exclusively in euros (EUR).

Existing amounts denominated in Bulgarian lev (BGN) will be converted at the fixed exchange rate of 1 EUR = 1.95583 BGN. When rounding converted amounts, if the third decimal place is greater than zero, the second decimal place should be increased by one. For example, BGN amounts converted to EUR 1,560.871 should be rounded to EUR 1,560.88.

The transition does not require existing employment contracts or related documents to be re-signed, as the change will occur automatically by operation of law. However, any new contracts or agreements effective from 1 January 2026 must specify amounts in euros.

Although not legally mandated, it is strongly recommended that employers communicate these changes to employees well in advance. Clear communication will help ensure a smooth transition, avoid confusion regarding salary payments and other financial obligations and reinforce compliance with the new requirements. Employers may also wish to review payroll systems and internal processes to confirm readiness for the euro adoption.