# How Sick Pay Is Calculated and Paid in Ukraine in 2026 and 2027

> Who pays the first five days of sick leave in Ukraine, how pay depends on salary and insurance record, which caps apply in 2026 and what is proposed for 2027.

[Home](https://www.uhy-prostir.com/en/index.html.md) › [Insights](https://www.uhy-prostir.com/en/blog-en/index.html.md) › [Expert explainers](https://www.uhy-prostir.com/en/blog-en/articles/index.html.md) · 2026-10-22 · Updated 2026-10-23 · 17 min

The employer pays for the first five calendar days of sick leave caused by an illness or a non-work injury, and from the sixth day the benefit is funded by the Pension Fund of Ukraine (PFU). Sick pay ranges from 50% to 100% of the average daily wage for each calendar day of illness, depending on the employee's insurance record. In 2026, the benefit cannot exceed UAH 172,940 per month.

These rules are set by the [Law of Ukraine “On Compulsory State Social Insurance”](https://zakon.rada.gov.ua/laws/show/1105-14#Text) No. 1105-XIV (Law No. 1105-XIV). The average wage is calculated under the [Procedure for Calculating Average Wages (Income, Monetary Allowance) for Payments under Compulsory State Social Insurance](https://zakon.rada.gov.ua/laws/show/1266-2001-%D0%BF#Text), approved by Cabinet of Ministers of Ukraine Resolution No. 1266 of September 26, 2001 (Procedure No. 1266). The rules below are current as of October 2026.

## Who pays for sick leave and from which day

Who pays depends on the reason for the incapacity ([part two of Article 15 of Law No. 1105-XIV](https://zakon.rada.gov.ua/laws/show/1105-14#n1320)). After a workplace accident, the whole benefit is 100% of the average wage regardless of the insurance record ([Article 36 of Law No. 1105-XIV](https://zakon.rada.gov.ua/laws/show/1105-14#n1489)).

| Case | Employer, from its own funds | PFU |
| --- | --- | --- |
| Illness or injury unrelated to a workplace accident | First 5 days | From day 6 until recovery or until a disability is established |
| Workplace accident or occupational disease | First 17 days (the employer where the accident happened) | From day 18 |
| Care for a sick child under 14 | — | From day 1, up to 14 calendar days; if the child is treated in hospital, the entire stay with the child |
| Care for a sick family member | — | From day 1, up to 3 calendar days, or up to 7 in exceptional cases |
| Illness of the mother or another person caring for a child under 3 or a child with a disability under 18 | — | From day 1 for the entire illness |

Illness during annual leave is paid under the general rules, but care for a child or family member that falls during annual, study or creative leave is not paid ([Article 15 of Law No. 1105-XIV](https://zakon.rada.gov.ua/laws/show/1105-14#n1309)).

## How to calculate sick pay

The formula is the same for the days the employer pays and the days the PFU funds ([clause 2 of Procedure No. 1266](https://zakon.rada.gov.ua/laws/show/1266-2001-%D0%BF#n23)):

**Sick pay = average daily wage × percentage for the insurance record × number of calendar days to be paid**

Calendar days are counted, so weekends and public holidays that fall within the illness are paid like working days.

### Reference period and average daily wage

The calculation uses the 12 calendar months of employment at the last main place of work before the month in which the illness began ([clause 25 of Procedure No. 1266](https://zakon.rada.gov.ua/laws/show/1266-2001-%D0%BF#n70)). If the employee has worked for less than a year, the full months worked are used, and if less than a month, the calendar days worked.

The average daily wage is calculated as follows. Earnings for the reference period on which the unified social contribution (USC) was charged are divided by the number of calendar days of employment in that period ([clause 3 of Procedure No. 1266](https://zakon.rada.gov.ua/laws/show/1266-2001-%D0%BF#n26)). Each month's earnings count only up to the maximum USC base, the monthly ceiling on which the contribution is paid ([Article 25 of Law No. 1105-XIV](https://zakon.rada.gov.ua/laws/show/1105-14#n1399)). Days not worked for valid reasons are excluded from the calculation:

- previous sick leave and maternity leave;
- childcare leave until the child turns three (six, if medically indicated) and unpaid leave;
- suspension of the employment contract due to the military aggression of the Russian Federation against Ukraine;
- military service, if the employer did not keep paying the employee's average earnings.

If an employee missed all working days of a month for valid reasons, from the first to the last day, that month is excluded from the reference period entirely. If there were no earnings in the reference period for valid reasons, or the employee fell ill on the first day of work, the average wage is based on the pay rate (base salary) or a part of it, and if no rate has been set, on the minimum wage ([clause 28 of Procedure No. 1266](https://zakon.rada.gov.ua/laws/show/1266-2001-%D0%BF#n73)).

### Insurance record and the percentage paid

The percentage depends on the employee's total insurance record ([Article 17 of Law No. 1105-XIV](https://zakon.rada.gov.ua/laws/show/1105-14#n1343)). The record is counted in months using data from the register of insured persons: a month counts in full if the USC paid for it was at least the minimum contribution ([Article 14](https://zakon.rada.gov.ua/laws/show/1105-14#n1298)).

| Insurance record | Benefit, % of the average daily wage |
| --- | --- |
| Up to 3 years | 50 |
| 3 to 5 years | 60 |
| 5 to 8 years | 70 |
| Over 8 years | 100 |

Certain categories receive 100% regardless of their record, including war veterans, family members of fallen (deceased) war veterans and Defenders of Ukraine, blood donors entitled to the benefit and persons in categories 1–3 of those affected by the Chornobyl disaster. Employees and gig specialists of Diia.City residents are covered by a separate rule: the benefit is based on the salary on which contributions were actually paid, regardless of the insurance record.

Sick pay cannot be accrued above the amount set by law. Some UHY Prostir clients top up employees' pay to their full salary, but they record the top-up as a monthly bonus.

### Calculation example

An employee with a monthly salary of UAH 30,000 was ill from November 9 to 20, 2026, or 12 calendar days. Her reference period runs from November 2025 to October 2026. Over those 365 days she had no days that are excluded from the calculation, and her earnings were UAH 360,000. Her insurance record is six years, so the benefit is 70%. We round the average daily wage to two decimal places before multiplying.

| Item | Calculation | Amount, UAH |
| --- | --- | --- |
| Average daily wage | 360,000 ÷ 365 | 986.30 |
| Daily payment (70%) | 986.30 × 70% | 690.41 |
| First 5 days, paid by the employer | 690.41 × 5 | 3,452.05 |
| 7 days, funded by the PFU | 690.41 × 7 | 4,832.87 |
| Total | 690.41 × 12 | 8,284.92 |

## Maximum sick pay and other limits

Two caps limit the benefit, and both are calculated from the minimum wage.

### Cap based on the maximum USC base

The average daily wage cannot exceed the daily equivalent of the maximum USC base. The maximum base for the last month of the reference period is divided by 30.44, the average number of calendar days in a month ([clause 4 of Procedure No. 1266](https://zakon.rada.gov.ua/laws/show/1266-2001-%D0%BF#n29)). The monthly benefit also cannot exceed the maximum base ([part three of Article 17 of Law No. 1105-XIV](https://zakon.rada.gov.ua/laws/show/1105-14#n1352)).

In 2026, the maximum base equals 20 minimum wages: 20 × 8,647 = UAH 172,940 ([Articles 8 and 32 of the Law of Ukraine “On the State Budget of Ukraine for 2026”](https://zakon.rada.gov.ua/laws/show/4695-20#n165)). For sick leave starting from February 2026, when the last month of the reference period already falls in 2026, the average daily wage cannot exceed 172,940 ÷ 30.44 = UAH 5,681.34.

The law sets no minimum amount for sick pay. A minimum calculated from the minimum wage is guaranteed for the maternity benefit but not for the temporary disability benefit ([Article 19 of Law No. 1105-XIV](https://zakon.rada.gov.ua/laws/show/1105-14#n1362)).

### Insurance record shorter than six months

If an employee's insurance record for the 12 months before the illness is shorter than six months, in 2026 they are paid no more than UAH 284.07 per calendar day, whatever their salary. The benefit cannot exceed the amount calculated from the minimum wage for the month in which the illness began ([part four of Article 12 of Law No. 1105-XIV](https://zakon.rada.gov.ua/laws/show/1105-14#n1290), [clause 29 of Procedure No. 1266](https://zakon.rada.gov.ua/laws/show/1266-2001-%D0%BF#n74)). The Ministry of Social Policy of Ukraine explained the calculation in its letter No. 529/18/99-15 of September 17, 2015:

1. The daily payment is calculated from the actual average daily wage and the percentage for the insurance record.
2. It is compared with the minimum wage divided by 30.44 ([clause 5 of Procedure No. 1266](https://zakon.rada.gov.ua/laws/show/1266-2001-%D0%BF#n30)). In 2026, that is 8,647 ÷ 30.44 = UAH 284.07.
3. If the daily payment is higher, UAH 284.07 per day is paid, and the percentage for the insurance record is not applied to this amount again.

Suppose a professional with a monthly salary of UAH 60,000 was hired on August 1, 2026, after two years without work and without any other periods that count toward the insurance record. If he falls ill in November, his insurance record for the previous 12 months will be three months. His average daily wage is 180,000 ÷ 92 = UAH 1,956.52, and with a total record of more than eight years his daily payment would equal this amount. Because of the cap, he will receive UAH 284.07 per day of illness.

### Sick leave from a second job

Since April 4, 2025, the benefit has been paid both at the main place of work and at a second job held concurrently ([Article 22 of Law No. 1105-XIV](https://zakon.rada.gov.ua/laws/show/1105-14#n1375) as amended by [Law No. 4158-IX](https://zakon.rada.gov.ua/laws/show/4158-20#Text)). Each employer calculates the average wage separately for its own reference period. For this, the employer at the second job needs a certificate of the employee's wages at the main place of work or the wage data from the register of insured persons. The employee's combined earnings for each month of the reference period cannot exceed the maximum USC base ([clause 30 of Procedure No. 1266](https://zakon.rada.gov.ua/laws/show/1266-2001-%D0%BF#n77)).

In UHY Prostir's practice, the second employer adds up the earnings from both jobs for each month and counts its own only up to the cap. For example, if in January 2026 an employee earned UAH 150,000 at the main job and UAH 30,000 at the second job, the second job's calculation includes only 172,940 − 150,000 = UAH 22,940 of the UAH 30,000.

### When sick leave is not paid

Cases where the benefit is not granted include the following ([Article 16 of Law No. 1105-XIV](https://zakon.rada.gov.ua/laws/show/1105-14#n1333)):

- an illness or injury caused by alcohol, drug or toxic intoxication or by related actions;
- days of unpaid leave, creative leave or additional study leave;
- the period shown in a sick leave certificate that has been found unjustified.

An employee who breaks the treatment regime set by the doctor or misses a medical examination without a valid reason loses the right to the benefit from the day of the violation, for a period set by the employer as the body that grants the benefit ([part two of Article 16](https://zakon.rada.gov.ua/laws/show/1105-14#n1342)).

## When sick pay funded by the PFU is paid

The employer pays for the first five days from its own funds. The PFU transfers the rest to the employer's separate account as a policyholder, and these funds may be used only for insurance payments to employees ([Article 26 of Law No. 1105-XIV](https://zakon.rada.gov.ua/laws/show/1105-14#n1402)). The steps are as follows:

1. **Sick leave certificate.** The doctor issues a medical report on temporary disability, and on its basis a sick leave certificate is generated in the Electronic Register of Sick Leave Certificates, which the PFU maintains. A paper certificate is issued only when an electronic one cannot be generated ([Article 23 of Law No. 1105-XIV](https://zakon.rada.gov.ua/laws/show/1105-14#n1383)).
2. **Decision on the benefit: within 10 working days.** The employer or persons it authorizes review the documents and decide whether to grant the benefit no later than ten working days after receiving them ([Article 24](https://zakon.rada.gov.ua/laws/show/1105-14#n1388)).
3. **Funding claim: within 5 working days.** No later than five working days after the decision, the employer submits a funding claim (zaiava-rozrakhunok, the employer's request for PFU funds) via the PFU web portal with a qualified electronic signature, via the Diia portal where technically possible, or on paper ([clause 4 of the Procedure for Financing Policyholders](https://zakon.rada.gov.ua/laws/show/z1476-25#n21), approved by PFU Board Resolution No. 28-1 of August 19, 2025).
4. **Funding: within 3 working days.** The PFU funds a claim with the status “Accepted” within three working days. If errors are found, the claim is put on hold, and the employer gets at least three working days from receiving the notice to correct it ([clauses 5 and 6 of the Procedure](https://zakon.rada.gov.ua/laws/show/z1476-25#n27)).
5. **Payment: on the next payday.** The employee receives the benefit on the next regular payday after it is granted ([Article 24 of Law No. 1105-XIV](https://zakon.rada.gov.ua/laws/show/1105-14#n1388)). The part funded by the PFU is paid once the funds reach the separate account, as a rule no later than the next payday ([PFU explanation](https://www.pfu.gov.ua/2165537-algorytm-zdijsnennya-vyplaty-za-likarnyanym-2/)). If the employer received more than it paid out, it returns the difference to the PFU within three working days ([clause 8 of the Procedure](https://zakon.rada.gov.ua/laws/show/z1476-25#n38)).
6. **Payment notice: within 30 calendar days.** After paying the employee, and no later than 30 calendar days from the date the funds reached the separate account and the claim received the status “Paid,” the employer files a notice of payment of insurance funds ([clause 11 of the Procedure](https://zakon.rada.gov.ua/laws/show/z1476-25#n47)).

If payday comes before the PFU funds arrive, in UHY Prostir's practice the employee is paid only for the first five days. If the employer advances the PFU part from its own funds, the employee ends up owing it that amount: the PFU funds are still transferred to the employee, not to the company's main account ([clause 7 of the Procedure](https://zakon.rada.gov.ua/laws/show/z1476-25#n36)). The PFU may treat a transfer to the main account as a breach of the procedure for using insurance funds, for which the employer reimburses the full amount and pays a 50% fine ([part six of Article 8 of Law No. 1105-XIV](https://zakon.rada.gov.ua/laws/show/1105-14#n1251)), and the PFU may refuse to fund the employer's claims ([clause 9 of the Procedure](https://zakon.rada.gov.ua/laws/show/z1476-25#n39)). The employee repays the advance, or the employer deducts it from the next salary at the employee's request.

The notice is filed only after the actual payment. In its letter No. 2800-030301-8/81834 of October 15, 2026, the PFU considered a case where the funds reached the separate account but a State Treasury Service office had not executed the payment for three weeks. Until the employee received the money, there were no grounds for filing the notice. If no notice is filed within three months from the date the funds were credited to the separate account and the claim received the status “Paid,” this gives grounds for an unscheduled inspection ([clause 13 of the Procedure](https://zakon.rada.gov.ua/laws/show/z1476-25#n51)), so it makes sense to keep the payment documents and correspondence that explain any delay.

The employee must apply for the benefit no later than six calendar months after recovering ([part five of Article 24 of Law No. 1105-XIV](https://zakon.rada.gov.ua/laws/show/1105-14#n1398)).

## Taxes on sick pay

Sick pay is taxed in the same way as wages, regardless of who funds it. Personal income tax (PIT) and the military levy are withheld from the benefit. The employer pays the USC from its own funds. As a result, sick leave costs the employer more than the first five days. The rates are the same as for wages:

- PIT at 18% ([clause 167.1 of the Tax Code of Ukraine (TCU)](https://zakon.rada.gov.ua/laws/show/2755-17#n3851)); the exemption for social payments does not extend to payments related to temporary disability ([subclause 165.1.1 of the TCU](https://zakon.rada.gov.ua/laws/show/2755-17#n3714));
- military levy at 5% ([subclause 1.3 of clause 16-1 of subsection 10 of section XX of the TCU](https://zakon.rada.gov.ua/laws/show/2755-17#n10059));
- USC at the standard 22% rate, with special rates for certain categories such as employees with disabilities. The employer accrues it both on the first five days and on the benefit funded by the PFU ([Articles 7 and 8 of the Law of Ukraine “On the Collection and Accounting of the Unified Contribution to Compulsory State Social Insurance”](https://zakon.rada.gov.ua/laws/show/2464-17#n173)).

| Item in the example above | Amount, UAH |
| --- | --- |
| Accrued for 12 calendar days | 8,284.92 |
| PIT, 18% | 1,491.29 |
| Military levy, 5% | 414.25 |
| Paid to the employee | 6,379.38 |
| USC, 22%, paid by the employer on top of the accrued amount | 1,822.68 |

## What will change for sick pay in 2027

The [draft Law on the State Budget of Ukraine for 2027, No. 16000](https://itd.rada.gov.ua/billinfo/Bills/Card/70773), proposes a minimum wage of UAH 9,546 from January 1, 2027, and keeps the maximum USC base at 20 minimum wages. The cap for an insurance record shorter than six months will change from January 1, while the cap based on the maximum base will apply to sick leave starting from February. As of October 22, 2026, the bill has not been adopted, so the figures below may change. If the 20-minimum-wage provision is not adopted, the general rule of the Law of Ukraine “On the Collection and Accounting of the Unified Contribution to Compulsory State Social Insurance” No. 2464-VI will apply: 15 minimum wages, or UAH 143,190 per month. We cover the other 2027 figures in our article on the [2027 minimum wage](https://www.uhy-prostir.com/en/blog-en/ukraine-minimum-wage-2027/index.html.md).

| Item | 2026 | 2027 (draft) |
| --- | --- | --- |
| Minimum wage, UAH per month | 8,647 | 9,546 |
| Maximum USC base and maximum monthly sick pay, UAH | 172,940 | 190,920 |
| Maximum average daily wage (for sick leave from February), UAH | 5,681.34 | 6,272.01 |
| Maximum daily payment for a record shorter than six months, UAH | 284.07 | 313.60 |

### Sick leave that runs from December into January

The cap tied to the insurance record uses the minimum wage for the month in which the incapacity began. Sick leave opened in December 2026 is calculated using the 2026 figures, even if the same sick leave is extended into January 2027.

| Sick leave starts | Reference period | Cap on the average daily wage, UAH | Insurance record cap, UAH |
| --- | --- | --- | --- |
| December 2026 | December 2025 to November 2026 | 5,681.34 | 284.07 |
| January 2027 | January to December 2026 | 5,681.34 | 313.60 (draft) |
| February 2027 | February 2026 to January 2027 | 6,272.01 (draft) | 313.60 (draft) |

Before January, it is worth checking two things.

- Whether the payroll software will update the minimum wage and the maximum base once the budget is published, and whether it takes the cap from the base for the last month of the reference period.
- Who was hired in the second half of 2026 after a career break: in 2027, sick leave for these employees may be subject to the cap for a record shorter than six months.

**UHY Prostir** calculates salaries, sick pay, taxes and contributions, prepares reports and handles HR paperwork as part of its [payroll and HR administration service](https://www.uhy-prostir.com/en/payroll-en/index.html.md). To check how sick pay is calculated at your company now and ahead of the 2027 changes, [contact our team](https://www.uhy-prostir.com/en/contacts/index.html.md).** Diana Kuzhym** (Junior Accountant)

## Frequently asked questions

### Who pays for sick leave in Ukraine: the employer or the Pension Fund?

If an employee falls ill or suffers an injury unrelated to a workplace accident, the employer pays for the first five calendar days from its own funds, and the Pension Fund of Ukraine funds the benefit from the sixth day. Care for a sick child or family member is funded by the Pension Fund of Ukraine from the first day. After a workplace accident, the employer where it happened pays for the first seventeen days.

### Are weekends and public holidays paid during sick leave?

Yes. The temporary disability benefit is calculated in calendar days, so weekends and public holidays that fall within the illness are paid in the same way as working days. The amount equals the daily payment multiplied by the number of calendar days to be paid.

### What percentage of salary is paid during sick leave, depending on the insurance record?

It depends on the insurance record, the period for which social contributions were paid. With up to three years, the benefit is 50% of the average daily wage; with three to five years, 60%; with five to eight years, 70%; and with more than eight years, 100%. Certain categories, including war veterans and blood donors entitled to the benefit, receive 100% regardless of their record. Employees and gig specialists of Diia.City residents are covered by a separate rule: the benefit is based on the salary on which contributions were actually paid, regardless of the insurance record.

### What is the maximum sick pay in Ukraine in 2026?

The monthly benefit cannot exceed the maximum base of the unified social contribution to compulsory state social insurance, which is UAH 172,940 in 2026. The average daily wage used in the calculation cannot exceed UAH 5,681.34 if the last month of the reference period falls in 2026. If the employee's insurance record over the past 12 months is shorter than six months, the daily payment cannot exceed the minimum wage divided by 30.44, or UAH 284.07.

### How many days of sick leave are paid per year?

The law sets no annual limit for sick leave due to the employee's own illness or injury: the benefit is paid until the employee recovers or a disability is established. Limits apply to specific cases. Care for a sick child under 14 is paid for no more than 14 calendar days per episode of illness, or for the entire stay if the parent is in hospital with the child. Care for a sick family member is paid for up to three calendar days, or up to seven in exceptional cases.

### When is sick pay funded by the Pension Fund paid out?

The employer reviews the documents within ten working days and submits a funding claim to the Pension Fund of Ukraine within five working days of deciding to grant the benefit. The Pension Fund of Ukraine funds an accepted claim within three working days. The part of the benefit funded by the Pension Fund of Ukraine is paid to the employee once the funds reach the employer's separate account, as a rule no later than the next regular payday. After paying it, the employer files a payment notice no later than 30 calendar days from the day the funds reached the separate account and the claim was marked as paid.

## Related insights

- [Compensation for Unused Annual Leave in Ukraine at the End of 2026](https://www.uhy-prostir.com/en/blog-en/compensation-for-unused-annual-leave-in-ukraine/index.html.md): This guide explains when unused annual leave is paid out without termination, why pre-2024 days count separately and how to check the vacation pay provision. (2026-10-15)
- [Minimum Wage in 2027: Employer Calculations Based on the Draft Budget](https://www.uhy-prostir.com/en/blog-en/ukraine-minimum-wage-2027/index.html.md): The draft Law of Ukraine "On the State Budget of Ukraine for 2027" proposes raising the minimum wage to UAH 9,546 per month from January 1, 2027. (2026-09-29)
- [A Step-by-Step Guide to Documenting Maternity Leave and Return to Work in 2024](https://www.uhy-prostir.com/en/blog-en/a-step-by-step-guide-to-documenting-maternity-leave-and-return-to-work-in-2024/index.html.md): In accounting practice, the issues of documenting maternity leave and calculating maternity benefits are always relevant. (2022-01-20)
- [How to Properly Reimburse Business Travel Expenses in 2021](https://www.uhy-prostir.com/en/blog-en/how-to-properly-reimburse-business-travel-expenses-in-2021/index.html.md): Daily wage is calculated based on the salary provided for by the employment (collective) agreement. This is the usual salary for a working day that an employee would receive if not on a business trip. Average daily wage is calculated a little more complexly. (2021-04-12)

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