Pension
If a person reaches their retirement age after 2018, they must have had insurance for at least 35 years. People who reached their retirement age before 2018 need fewer years of coverage. A person's retirement age depends on the year of birth, their sex, and the number of children raised (for a woman).
The amount of the pension includes 2 parts: a basic assessment and a percentage assessment. The basic assessment is 10% of the relevant average wage and is CZK 4,660 (Czech korunas) per month as of 2025.
For each full year of pension insurance, until the person's right to retirement arises, 1.5% of the calculation basis is due. The calculation basis is determined by reducing the personal assessment basis, which is the monthly average of the retiree's annual assessment bases for the relevant period.
Dependents/Survivors Benefits
In the Czech Republic, there are provisions for pensions for survivors (spouses and children) of a deceased individual's family. The amount the surviving spouse receives has 2 parts: the basic assessment and the percentage assessment. A dependent child is entitled to a survivors pension if their deceased parent received retirement or a disability pension or died because of a work accident.
In case of an employee's death caused by an industrial injury or an occupational disease, the labor law requires the employer to:
- Pay for the employee's medical treatment
- Pay for the employee's funeral
- Pay for the costs of the survivors' maintenance
- Provide lump-sum indemnification to the survivors
- Provide compensation for material damage
The labor law provides clarification and minimum/maximum amounts for these factors. Employers must pay at least CZK 240,000 as indemnification to a deceased employee's spouse or child each. If the deceased employee's parents lived in the deceased's household, an employer must pay them at least CZK 240,000 together.
Invalidity Benefits
A disability or invalidity is defined as when a person's ability to work decreases at least 35% because of a long-term unfavorable state of health. There are three stages of disability based on the amount by which a person's ability to work decreases:
- Stage 1 Invalidity: Between 35% and 49%
- Stage 2 Invalidity: Between 50% and 69%
- Stage 3 Invalidity: At least 70%
The disability pension is made up of two components: a basic assessment and a percentage assessment. The basic assessment is the same for everyone and is set out in the Pension Insurance Act. As of 2025, the basic portion is CZK 4,660 (Czech korunas) per month. The percentage assessment depends on the length of the insurance period, the person's income earned before the disability, and the degree of disability. It is calculated as a percentage of each full year of the insurance period, depending on the degree of invalidity.
Employers are obliged to compensate employees for injuries caused by an accident at work, if the injury occurs during the performance of work tasks or in direct connection with it. Compensation is also due for work-related accidents that did not require the employee to be temporarily unable to work, or only to be unable to work for three calendar days.