2026. aastal muutus Eestis mitu töötaja sissetulekut mõjutavat reeglit. Kõige olulisemad muudatused puudutavad Tervisekassa makstava haigus- ja hooldushüvitise uut ülempiiri, maksuvaba tulu arvestamist ning vanemahüvitisi.Tavalise põhipuhkuse ja puhkusetasu arvutamise põhikord 2026. aastal aga oluliselt ei muutunud. Seetõttu tasub eristada uusi reegleid nendest, mis kehtisid juba varem.

Here are the most important changes and rules for 2026 that employees should be aware of.

1. A new daily ceiling for sickness benefit has been in force since 2026.

From 1 January 2026,a new upper limit applies to the temporary incapacity benefit paid by the Health Insurance Fund.

In 2026, the Health Insurance Fund pays haigus- ja hooldushüvitise maksimaalne summa 126,87 euros per calendar day.

This does not mean iga haiguslehel olev inimene saab 126,87 euros per day. This is the maximum amount that the Health Insurance Fund will pay for a single day.

In the case of a standard sick note, the Health Insurance Fund’s reimbursement rate is generally 70 per cent of the person’s average income subject to social security contributions in the previous calendar year.

Näiteks kui arvutuse järgi oleks inimese haigushüvitis 128,10 eurot päevas, rakendub 2026. aasta ülempiir ning Tervisekassa arvestab hüvitise aluseks 126,87 eurot päevas.

The new upper limit will applyto new cases of incapacity for work arising from 1 January 2026 onwards.

If a sick leave or care leave period began before 1 January 2026 and continued after the turn of the year, the new upper limit does not apply to it.

Also, a ceiling of ei kehti 126,87 euros on the sickness benefit payable by the employer.

2. Who pays for a standard sick note?

In the case of a common illness or an everyday injury, the principle has not changed since 2026.

Tervisekassa maksab tavapärase haiguslehe puhul üldjuhul 70% arvestuslikust päevatulust, kuid 2026. aastal ei saa Tervisekassa makstav päevahüvitis ületada 126,87 eurot.

It is important to bear in mind that not all certificates of incapacity for work follow exactly the same format. For example, different compensation rules apply in the case of an accident at work, an occupational disease and certain other specific circumstances.

Comparison table of benefits

Depending on the cause of the incapacity for work, the rate of benefit, the payer, and the start date and duration of benefit payments may vary.

Source:

Health Insurance Fund – Sickness Benefit
: Comparison table of benefits, last updated on 10.07.2026.

3. Ka hooldushüvitisele kehtib 126,87 euro upper limit

The new restriction also applies tothe care allowance paid by the Health Insurance Fund.

Care allowance may be paid, for example, if a person has to be absent from work:

• to look after a sick child;
• to care for a sick family member at home;
• in certain circumstances, to care for a young child if the child’s usual carer falls ill.

The Health Insurance Fund pays the care allowance from the first day of the care certificate, and in 2026, a maximumdaily allowance of 126,87 euros will also apply to this.

Näiteks kui inimese tulude järgi arvutatud 80% hooldushüvitis oleks 146,40 eurot päevas, makstakse talle 2026. aasta ülempiiri tõttu maksimaalselt 126,87 eurot päevas.

The change will therefore have the greatest impact on people on higher incomes.

4. From 1 April 2026, sickness and unemployment insurance benefits will not be paid simultaneously

Another important change came into forceon 1 April 2026.

For new cases of temporary incapacity for work commencing on or after that date, the Health Insurance Fund will cease to pay incapacity benefit from the date on which the person becomes covered by health insurance through the Unemployment Insurance Fund as a recipient of unemployment benefit.

This means that a person will no longer be paid at the same time:

• Sickness or care allowance from the Health Insurance Fund;
• and unemployment benefit from the Unemployment Insurance Fund.

The change applies tonew cases of incapacity for work arising from 1 April 2026 onwards.

Holiday pay 2026: what has changed?

5. Puhkusetasu põhikord 2026. aastal ei muutunud

Unlike sick pay, there was no major new reform to the payment of ordinary annual leave in 2026.

An employee is still entitled to holiday pay and, as a general rule, this must be paid no later than the penultimate calendar working day before the start of the holiday.

The employer and the employee may also agree otherwise.

However, the agreement may not stipulate that holiday pay is to be paid later than on the pay day following the holiday.

Thus, for example, an employee and an employer may agree that holiday pay will not be paid before the holiday, but on the usual payday.

6. How is annual leave pay calculated?

If an employee has been paida fixed salary over the previous six months, there is no need to calculate the average salary separately for the purposes of paying annual leave pay, and the principle of salary retention applies.

If an employee’s remuneration has changed — for example, if they receive bonuses, performance-related pay or their basic salary has changed —the remuneration for the previous six calendar months is generally used.

In the case of annual leave, the average daily rate is calculated.

In simplified form:

average daily rate × number of annual leave days = holiday pay

When calculating the average daily pay, the wages earned over the previous six months and the number of calendar days in that period are taken into account.

The calculation excludes, amongst other things, days on which the employee was not paid in accordance with section 19 of the Employment Contracts Act due to absence from work. When calculating annual leave pay, neither national holidays nor public holidays are included in the number of calendar days.

Tax-free income and holiday pay 2026

7. The tax-free allowance for a person of working age is 700 euros a month

One of the most significant tax changes in 2026 is the new standard tax-free allowance.

From 1 January 2026, a person who has not yet reached retirement age and will not reach retirement age during that calendar year is entitled to a general tax-free allowance of:

up to 700 euros per month, or up to 8400 euros per year.

The tax-free allowance no longer decreases as income rises.

In 2026, the income tax withholding rate is22per cent.

An employer may apply tax-free income to an employee’s payments on the basis of a written application from the employee.

If a person receives taxable income from several payers, they may submit an application to claim the general tax-free allowance to one payer of their choice.

But what about an employee who has reached retirement age?

A person who has reached retirement age is entitled to a separate tax-free allowance in 2026:

776 euros a month, or 9312 euros a year.

Consequently, the 700-euro rule is not universal for all employees.

8. Advance payment of holiday pay may affect the use of tax-free income

This is one of the more practical nuances of 2026.

700 The tax-free allowance in euros is calculated on a calendar month basis.

If, for example, an employee is paid both their June salary and their July holiday pay in a single payment in June, their July payment may be smaller than usual or may not be paid at all.

If, in any given month, part of the 700-euro tax-free allowance remains unused,it cannot be carried over to the following month, used in advance or combined with other months’ allowances.

The MTA specifically highlights the situation where tax-free income remains unused due to illness or a long period of leave, as holiday pay has been paid in advance.

However, unused tax-free income may not necessarily be lost for good.

When submitting an annual tax return, a person’s annual tax-free allowance can be taken into account — up to 8400 euros per year for a person of working age.

Consequently, a portion of the income tax withheld during the year may be refunded on the basis of the tax return.

What happens if an employee falls ill whilst on holiday?

9. Leave may be interrupted due to illness

If an employee falls ill whilst on annual leave, they are not necessarily required to treat their sick days as days of annual leave.

Under section 69 of the Employment Contracts Act, an employee has the right to interrupt their holiday, postpone it or terminate it early, provided that this is due to a significant circumstance relating to the employee personally, including temporary incapacity for work.

However, there is one important point to note:

A holiday is not automatically interrupted simply because a sick note has been issued.

An employee must notify their employer of any circumstances preventing them from taking leaveat the earliest opportunity.

An employee may claim any unused portion of their annual leave immediately after the obstacle has ceased, or take it at another time by mutual agreement between the parties.

Parental allowance 2026

10. Vanemahüvitise ülempiir langes 3806,10 euros

From 1 January 2026,the maximum rate of parental benefit was reduced.

In 2025, the maximum amount of parental benefit was5265,09 euros per month.

In 2026, it is:

3806,10 euros a month.

The reason for this is a change whereby the upper limit is no longer three times, but twice, the average monthly income in Estonia subject to social security contributions.

The new upper limit applies to all types of parental benefit, but 2025. and 2026. In cases where there is a change of year, the applicable limit depends on the type of benefit and the date of birth.

Why is the situation more complicated for children born at the end of 2025 and the beginning of 2026?

Parental allowance for a working motheris calculated on the basis of the child’s expected date of birth.

Other types of parental benefit, such as shared parental benefit and paternity benefit, are generally based on the child’s actual date of birth.

For example, if lapse eeldatav sünnikuupäev on jaanuaris 2026, kuid laps sünnib tegelikult detsembris 2025, different upper limits may apply to the mother’s parental benefit and the father’s parental benefit or the shared parental benefit.

It is therefore advisable, in borderline cases at the end of 2025 and the beginning of 2026, to check your specific circumstances with the Social Insurance Board.

11. Income earned whilst receiving parental benefit no longer reduces the benefit — but you cannot work whilst receiving any form of benefit

This is where the change in 2026 is often explained in overly simplistic terms.

From 1 January 2026,the previous income limit for receiving parental benefit was abolished.

This means that, where working whilst receiving the relevant type of parental benefit is permitted,the parental benefit will no longer be reduced on account of the amount of income earned.

When can I work?

You are permitted to work whilst receiving the shared parental allowance.

From 2026 onwards, a person may also earn an unlimited amount of income subject to social security contributions during that period without the payment of parental benefit being reduced as a result of the income earned.

It is also permitted to workadoptive parent’s benefit.whilst receiving

When is it not possible to work?

It is not permitted to work whilst receiving maternity benefit or paternity benefit, as a working mother is on maternity leave during this period and a working father is on paternity leave, and the relevant employment relationship is suspended for the duration of the leave.

Consequently, the amendment of 2026 does not mean that it is now possible to work without restriction whilst receiving any form of parental benefit.

It is more correct to say:

If working is permitted whilst receiving a specific type of parental benefit, then income earned from 2026 onwards will no longer reduce the benefit.

12. The upper limits for parental leave benefits have also changed

The reduction in the upper limit for parental benefit also affected certain holiday benefits paid to parents.

In 2026, the following applies:

• lapsepuhkuse päevamäära ülempiir 63,44 euros;
• lapse vanema puhkuse päevamäära ülempiir 181,24 euros.

2025. aastal olid vastavad ülempiirid 87,75 ja 251,72 euros.

These are maximum daily rates, not amounts that every parent automatically receives.

Sick leave and holiday pay 2026: a quick overview

Frequently asked questions

What is the upper limit for sickness benefit in 2026?

The daily ceiling for sickness and care benefits paid by the Health Insurance Fund is 126,87 euros. This limit applies to new cases of incapacity for work arising from 1 January 2026 onwards.

Are the first three days of sick leave paid in 2026?

Tavalise haigestumise korral mitte. Esimese kolme päeva eest hüvitist ei maksta, 4.–8. päeva eest maksab tööandja ning alates 9. päevast Tervisekassa.

Did the procedure for calculating holiday pay change in 2026?

Tavalise põhipuhkuse tasu arvutamise põhikord 2026. aastal oluliselt ei muutunud. Suurem muudatus puudutab hoopis maksuvaba tulu: tööealise inimese üldine maksuvaba tulu on kuni 700 eurot kuus.

Can the unused 700 euro tax-free allowance be carried over to the following month?

No. The 700 euro tax-free allowance is calculated on a monthly basis, and any unused portion cannot be carried over to the following month or combined with other months. On an annual basis, any unused tax-free allowance can be taken into account on your tax return up to the annual limit.

What happens if I fall ill whilst on holiday?

In the event of temporary incapacity for work, an employee is entitled to interrupt, postpone or terminate their holiday early. The employer must be notified of this at the earliest opportunity. A holiday is not automatically interrupted simply because a sick note has been issued.

Is it possible to work in 2026 whilst receiving parental benefit?

This depends on the type of parental benefit.Working is permitted whilst receiving shared or adoptive parental benefit, and from 2026 onwards, income earned will no longer reduce the benefit. Working is not permitted whilst receiving the mother’s or father’s parental benefit.

Official sources

Health Insurance Fund – sickness benefit

Health Insurance Fund – care allowance

Working life – calculating average pay and holiday pay

Official Gazette – Employment Contracts Act

Estonian Tax and Customs Board – calculation of tax-free income

Estonian Tax and Customs Board – Tax rates for 2026

Tax and Customs Board – tax-free income for old-age pensioners

Social Insurance Board – the upper limit for parental benefit and changes in 2026

Social Insurance Board – Earning an income whilst receiving parental benefit

Social Insurance Board – family benefit rates

Social Insurance Board – Changes to benefits for 2026

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This article is for information purposes only and does not constitute individual legal, tax or accounting advice. Legislation, benefit rates and official guidelines are subject to change. In specific circumstances, always check the current information on the relevant authority’s website. Artificial intelligence has also been used in the preparation of this article, and the facts have been verified against official sources.