Working in Estonia

Estonia is a Northern European country which borders Latvia to the south and Russia to the east. It is also in close proximity to Sweden and Finland, and has a coastline along the Baltic Sea.

In terms of population, Estonia is one of the smallest countries in Europe with just 1.3 million people. Despite this, the country is highly developed and has a strong GDP for its population.

Estonia has historical links with Sweden and Russia, being part of empires that existed in both of these neighbouring countries. Following the Russian Revolution, independence was declared in Estonia in 1917.

Today, Estonia is recognised as a technologically advanced and highly ‘wired’ country. Globally used software such as Skype was developed in Estonia supporting this notion about the country.

The Working Holiday program between Australia and Estonia was setup to encourage cultural exchange and closer ties between the two countries by allowing young people to have an extended holiday funded by short-term employment.

Under the arrangement, Australians aged between 18 and 30 are allowed to travel to Estonia for a working holiday for up to 12 months.

Estonia’s Working Holiday visa summary

Visa: Working holiday
Age: 18 to 30
Length of stay: 12 months
Application fee: $125
Processing time: 30 days

Requirements / Eligibility for a Working Holiday in Estonia include:

If you want to travel to Estonia under Working Holiday arrangements there are basic eligibility requirements. These include:

• Hold an Australian passport
• Meet health and character requirements
• Be aged between 18 and 30 at the time of applying
• Have no dependent children accompanying you
• Have a return ticket, or sufficient funds for a return or onward fare
• Have sufficient funds for the first part of the holiday.

Emergency

Emergency numbers
Police / Fire / Ambulance             112

Australian Consulate, Tallinn
c/- Standard Ltd
Marja 9
EE10617 Tallinn Estonia
Telephone: +372 6 509 308
Facsimile:   +372 6 509 344
Email: mati@standard.ee

Tax System

Income tax in Estonia is considered to be proportional, but operates on a progressive scale not too dissimilar to systems in western countries. In 2012, the standard rate for a paying individual was 21%. This rate has been gradually decreasing over the past decade and was 26% in 2004.

Estonia also has a social tax, corporations / legal persons tax and value added tax (VAT), but no official capital gains tax. However, individual are required to pay tax on gains from the transfer of property dividends.

Bank Account

Opening a bank account as an expat in Estonia requires several pieces of documentation, including: passport, a completed bank account application form, proof of employment and proof of address. Each bank account will usually include a debit card and option to open a savings account.

The major banks in Estonia include: Swedbank, SEB, Sampo Bank and Nordea Bank. Many foreign banks can also be located in Estonia.

Working in Estonia

Teaching English is an option for expats in Estonia on a working holiday. According to TEFL (Teaching English as a foreign language), there is demand for English tuition in Estonia, with the language commonly used for business and tourism purposes. Job hunters in Estonia would also be well served if they have language skills in Estonian or other European languages.