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Dohoda o pracovní činnosti (DPČ)

agreement on work activity

What does “Dohoda o pracovní činnosti (DPČ)” mean in Czechia?

Dohoda o pracovní činnosti (DPČ) — a second type of agreement, designed for more regular work than a one-off job.

How it is different from DPP

  • Time limit: an average of 20 hours per week, while DPP has a limit of 300 hours per year.
  • Deduction threshold: 4,500 CZK per month compared to 12,000 CZK for DPP. This means contributions start much earlier.
  • Tax: only zálohová daň (advance tax). There is no option with srážková daň (withholding tax), like with DPP without a declaration.

The thresholds, like in DPP, are calculated for each employer separately and are not added together. When the threshold is reached, the employee pays 11.6%, and the employer pays 33.8%.

Vacation

From 01.01.2024, vacation is available for agreements: the agreement must last at least 4 weeks and at least 80 hours must be worked.

The employer submits a notification by the 20th day of the following month; the penalty is up to 50,000 CZK.

Important. The threshold for DPČ is 4,500 CZK per month, almost three times lower than DPP. If you choose between the forms for net pay, this difference is more important than the hour limit.

Examples of use

SK
You can work on a DPČ (agreement on work activity) for an average of 20 hours per week at most.
For a DPČ (agreement on work activity), you can work an average of no more than 20 hours per week.
SK
From 4,500 CZK per month, insurance contributions are paid from DPČ (agreement on work activity).
From 4,500 CZK per month, insurance contributions are paid from DPČ (agreement on work activity).

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Frequently asked questions

How is DPČ different from DPP?
The time limit is 20 hours per week on average instead of 300 hours per year, and the contribution threshold is 4,500 CZK instead of 12,000 CZK. And the tax is always a prepayment.
How much can you earn on a DPČ (agreement on work activity) without contributions?
Up to 4,500 CZK per month from one employer. Limits from different employers are not added together.

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