Sick leave in Estonia: who pays for which day

Three periods on one sick note

The rate is 70% of average earnings for both the employer and the Fund, but the allocation of days differs.

• Days 1-3: no benefit at all. These are on the employee.
• Days 4-8: paid by the employer at 70% of average, up to five days.
• Day 9 onwards: paid by the Health Insurance Fund at 70%, with a daily cap.
• All benefits are taxable income, so income tax still comes off.

Where the average day pay comes from

The employer's part is based on average calendar-day pay, derived from your earnings in the 6 months before the illness. For a steady salary that is the monthly figure divided by the average month length of 30.4375 days, which is the simplification the calculator uses.

Days are counted as calendar days, not working days. A Saturday and Sunday inside the sick note are benefit days like any other, and they also count towards the three unpaid days if the illness starts on, say, a Friday.

The Health Insurance Fund's part is based on your socially-taxed income from the previous calendar year. So the employer's and the Fund's daily rates for the same person can differ slightly, especially if your pay changed during the year.

Example: 2,000 EUR gross

Average calendar-day pay is 2,000 / 30.4375 = 65.71 EUR. On an eight-day sick note the employer pays for five days: 5 x 65.71 x 0.7 = 229.98 EUR gross, and nothing at all arrives for the first three.

That makes an illness of three to four days proportionally the most expensive one: all or nearly all of it falls in the uncompensated zone. Over a longer illness the 70% covers a steadily larger share.

Here is a 14-day sick note on the same salary, step by step.

• Average day pay: 2,000 / 30.4375 = 65.71 EUR; daily benefit rate 65.71 x 70% = 46.00 EUR.
• Days 1-3: 0 EUR.
• Days 4-8 (5 days, employer): 5 x 65.71 x 0.7 = 229.98 EUR.
• Days 9-14 (6 days, Health Fund): 6 x 46.00 = 276.00 EUR. The 126.87 EUR cap does not apply.
• Total 505.98 EUR gross. At normal day pay, 14 calendar days would be worth 65.71 x 14 = 919.94 EUR, so the benefit covers about 55%.

How the length of illness changes coverage

On the same 2,000 EUR salary, the share covered varies widely with the length of the illness. The comparison base is the average calendar-day pay of 65.71 EUR times the number of sick days.

• 3 days: benefit 0 EUR against 197.13 EUR, or 0%.
• 4 days: benefit 46.00 EUR against 262.84 EUR, or 17.5%.
• 5 days: benefit 91.99 EUR against 328.55 EUR, or 28%.
• 8 days: benefit 229.98 EUR against 525.68 EUR, or 43.7%.
• 14 days: benefit 505.98 EUR against 919.94 EUR, or 55%.
• 30 days: benefit 1,241.98 EUR (employer 229.98 EUR plus Fund 22 x 46.00 = 1,012.00 EUR) against 1,971.30 EUR, or 63%.

The Health Fund daily cap

The Fund's benefit has a daily ceiling, 126.87 EUR per day in 2026. It does not affect most employees.

The cap only starts to bind above a gross salary of roughly 5,517 EUR a month. Above that the benefit is no longer 70% of your income but falls below it, which is worth knowing if a long treatment is ahead.

An example with a 6,500 EUR gross salary and a 30-day sick note shows where the ceiling bites.

• Average day pay: 6,500 / 30.4375 = 213.55 EUR; 70% of that is 149.49 EUR.
• Days 4-8, employer: 5 x 213.55 x 0.7 = 747.43 EUR. There is no cap on the employer's part.
• Days 9-30, Health Fund: 22 days at a rate capped to 126.87 EUR, total 22 x 126.87 = 2,791.14 EUR.
• The cap costs 22 x (149.49 - 126.87) = 497.64 EUR. Total benefit 3,538.57 EUR, about 55% of day pay, whereas the same illness on a 2,000 EUR salary is covered at 63%.

Two examples on a lower salary

On a lower salary the percentages follow the same logic, but the euro gap is often felt more, because there is less slack in the budget.

• Gross 1,200 EUR, 21 days ill: day pay 39.43 EUR, employer pays 138.01 EUR for 5 days, the Fund pays 13 x 27.60 = 358.80 EUR. Total 496.81 EUR, 60% of day pay (828.03 EUR).
• Gross 1,500 EUR, 4 days ill: day pay 49.28 EUR, three days unpaid, the employer pays 34.50 EUR for one day. Of the 197.12 EUR those four days are worth, the benefit covers only 17.5%.

What is left after income tax

The benefit is taxable income and income tax is 22% in 2026. If your basic exemption has already been used on that month's salary, tax is charged on the whole benefit.

In the 14-day example on 2,000 EUR: 505.98 x 22% = 111.32 EUR in tax, leaving 394.66 EUR. To see the effect on the whole month's net pay, enter the pay for days worked and the benefit separately in the salary calculator.

A dated example: illness starting on a Monday

Say you fall ill on Monday 5 October 2026 and the sick note runs for 14 calendar days until Sunday 18 October.

• 5-7 October (Monday to Wednesday): days 1-3, unpaid.
• 8-12 October (Thursday to Monday): days 4-8, paid by the employer. The weekend of 10-11 October falls here too.
• 13-18 October (Tuesday to Sunday): days 9-14, paid by the Health Insurance Fund.
• Had the same illness started on a Friday, the weekend would sit inside the three unpaid days and fewer working days would go unpaid. The benefit amount stays the same, though, because it is calculated on calendar days, not working days.

Common mistakes when estimating sick pay

These are the errors behind most payday surprises.

• Counting working days instead of calendar days. A weekend inside the sick note uses up days too.
• Assuming the employer pays for the whole illness. The employer pays at most five days; from day 9 the money comes from the Health Fund, separately.
• Comparing the benefit with net salary. All calculator figures are gross, and income tax still comes off.
• Expecting Health Fund money for an illness of 8 days or less. The Fund's part only starts on day 9.
• High earners expecting 70% during a long illness. Above roughly 5,517 EUR a month the Fund's 126.87 EUR daily cap applies.

What this means in practice

First, a couple of days off sick is effectively unpaid leave, however right the decision to stay home is. Second, if your workplace has a collective agreement or a voluntary employer top-up for the first days, that is a real financial benefit worth asking about when negotiating.

Third, the benefit is based on your socially-taxed income from the previous calendar year, not on today's salary. If you have recently had a large rise or changed jobs, the benefit can come out lower than expected.

Fourth, if a longer treatment or an operation is ahead, calculate the benefit in advance and budget for the first two weeks covering only about half of your normal day pay.

Checklist while on sick leave

These steps help make sure every benefit reaches you in the right amount.

• Tell your employer on the first day of illness so work can be reorganised.
• The sick note (certificate of incapacity for work) is opened by a doctor. Note its start date, because days 1-3, 4-8 and 9+ are counted from it.
• Estimate the employer's and the Fund's parts with the sick pay calculator by entering your monthly salary and the number of sick days.
• Check your payslip to confirm the employer paid days 4-8 at 70% of average.
• The Health Insurance Fund self-service shows your sick notes and the benefits paid on them. For a longer illness, check that the benefit from day 9 has been calculated.

Calculate your own sick leave

The sick pay calculator splits the leave into the three periods and shows how much comes from the employer and how much from the Health Insurance Fund. Use the salary calculator for the net figures.