Freelance vs EOOD tax calculator — how to use it

Firmify offers a free online calculator to compare indicative tax burden for freelance profession (self-employed in Bulgaria) and a single-owner EOOD. Use it before registering, when planning income, or when considering incorporation.

➡️ Open the calculator | Help page

What the calculator compares

For freelance profession it models:

• Normative expense deduction (NPR) — 25%, 40%, or 60% by activity type
• Income tax — 10% on taxable income
• Social insurance — DOO (14.8%), health (ZO, 8%), supplementary pension (DZPO, 5%) on your chosen insurance income

For EOOD it models:

• Corporate tax — 10% on accounting profit (here: gross income without separate expense lines)
• Dividend tax — 5% when profit is distributed
• Manager social insurance — same insurance base as freelance for a fair comparison

Results show net income, total burden, and effective rate for both structures.

Input fields — step by step

1. Annual gross income (€)

Enter expected or actual annual turnover. The calculator does not split invoiced vs collected amounts — use the figure you plan with.

2. Activity / NPR rate

Button	NPR	Examples
25%	General activity	IT consultants, designers, marketers
40%	Liberal profession	Doctors, lawyers, accountants, engineers
60%	Artistic work	Artists, musicians, actors

Pick the rate that matches your main registered activity in BULSTAT. Wrong NPR choice is a common planning mistake.

3. Insurance income (€/month)

For 2026 the minimum is 550.66 €, maximum 2,111.64 € per month. Higher base means higher contributions and higher future pension rights.

More detail: Choosing insurance income for freelancers.

4. Months active

Usually 12. If you started mid-year, enter the actual number of active months.

Reading the results

• Net income — what remains after taxes and insurance (for EOOD: after corporate tax, dividend tax, and manager insurance).
• Effective rate — total burden as a share of gross income.
• Comparison line — which structure leaves more net with the same inputs.

Remember: EOOD also has accounting, capital, banking, and admin costs that the calculator does not include.