Working in Israel as a French Citizen: Employment, Salaries, Contributions, Taxes and the Economy

Residence status determines access to employment. A French citizen eligible under the Law of Return (see the page on living in Israel) obtains new immigrant status. The Employment division of the Ministry of Aliyah and Integration supports them according to their qualifications and experience: some professions can be practised after ulpan, others require a licensing exam, an internship or retraining.

For people who are not eligible, the Population and Immigration Authority issues the B/1 work visa, granted to foreign workers in industry, caregiving, construction and agriculture, as well as to “foreign experts”. The file is lodged in Israel by the employer with the Ministry of the Interior, which sends the approval to the consulate. This visa covers a limited work period, whereas the B/2 tourist visa prohibits working. An employee on a B/1 checks their health cover with their employer: the page on healthcare reimbursement in Israel details each case.

The Ministry of Aliyah and Integration offers a personalised online employment plan, professional Hebrew courses, retraining courses funded by vouchers, placement help and employment centres. A national information line (*2994, or +972-3-973-3333 from abroad) answers in Hebrew, English, French, Russian, Spanish, Portuguese and Amharic. The foreign qualification assessment service is available online, and job fairs bring olim and employers together, for example in Haifa on 6 October 2026.

Since a reform presented on 17 February 2025, professionals whose occupation requires a licence can start their accreditation procedure before arriving; the ministry estimates the benefit to the economy at up to 3.8 billion shekels by 2034. For high-tech, a professional community dedicated to English-speaking olim, Gaya, was launched on 10 June 2026. New immigrants with no job or on a low income can also apply for income support, which extends the absorption basket until the end of the first year.

The National Insurance Institute (Bituach Leumi) publishes the minimum wage: ₪6,443.85 a month since 1 April 2026, or ₪297.40 a day for a five-day week, ₪257.75 for a six-day week and ₪34.64 an hour for 186 monthly hours (₪35.40 for 182 hours). As a benchmark, the institute’s historical table shows ₪5,880.02 a month at 1 April 2024.

The average monthly wage of an employee job held by an Israeli reaches ₪13,455 in 2024 (current prices), against ₪7,813 for foreign workers (Central Bureau of Statistics). Non-financial corporations have the most employee jobs (2.563 million, at ₪14,789 on average) and financial corporations post the highest average wage, ₪23,186. The branches that employ the most people are education (about 570,000) and health and social work (about 525,000). Average weekly working time stands at 34.8 hours. The unemployment rate and the trend in current wages appear in the economic indicators block above.

Every resident aged 18 or over contributes to national insurance and health insurance. For an employee, the 2026 rates are calculated by band: up to ₪7,703 (60% of the average wage used by the institute), the employee share is 1.04% for national insurance and 3.23% for health; above that, up to the ceiling of ₪51,910, it rises to 7% and 5.17%. The employer pays 4.51% and then 7.6% towards national insurance. Contributions are deducted automatically from the payslip.

A self-employed person pays 4.47% (national insurance) and 3.23% (health) themselves up to ₪7,703, then 12.83% and 5.17% up to ₪51,910. New immigrants with no activity or on a low income receive an automatic exemption: up to 12 months for national insurance and up to 6 months for health insurance (12 months with an income support allowance). After that period, contributions become payable. How health cover works is set out in the guide to the Israeli healthcare system.

An Israeli resident is in principle taxable on worldwide income (Tax Authority). The 2026 monthly scale has seven brackets: 10% up to ₪7,010, 14% up to ₪10,060, 20% up to ₪19,000, 31% up to ₪25,100, 35% up to ₪46,690, 47% up to ₪60,130 and then 50%. The 20% and 31% brackets were widened in 2026; checking these thresholds on the first payslip remains good practice.

Olim combine several benefits. Tax credit points (1 to 3 points for about 4.5 years, or about ₪3,000 to ₪9,000 a year according to the ministry) are declared on form 101 for an employee or 1301 for a self-employed person, with retroactive refund possible over 6 years. The exemption on foreign-source income lasts 10 years from aliyah, with a reporting obligation for arrivals since 1 January 2026. An “adjustment year” can be requested within 90 days of arrival.

On top of this comes the “0% tax” reform for new immigrants and returning residents absent for at least 10 years, who arrive between 5 November 2025 and 31 December 2026: salary or self-employment income earned in Israel is exempt up to ₪600,000 in 2026, ₪1,000,000 in 2027 and 2028, ₪350,000 in 2029 and ₪150,000 in 2030. The ceiling falls to ₪140,000 a year in the case of employment by a family member, and the reform excludes passive income.

According to the Israel Innovation Authority’s 2026 report, high-tech produced ₪352 billion in 2025 (+8.2%), or about ₪827,000 per employee, the highest level in the economy. The sector employs about 400,000 people (11.4% of employment), exports USD 85 billion (58% of exports), raised nearly USD 15 billion and counts about 775 start-ups created in 2025 as well as 511 multinationals established.

The report also notes the first fall in ten years in the number of research and development employees in Israel, and growing activity by Israeli companies abroad. In foreign-controlled Israeli companies, average annual pay for a job in high-tech branches reaches ₪329,500 in 2021 (Central Bureau of Statistics). The ministry’s Gaya community, open to high-potential English-speaking olim, eases entry into this sector.

Gross domestic product reaches ₪2,006.3 billion in 2024, up 1.0% in real terms; exports of goods and services come to ₪569.8 billion and the current account shows a surplus of USD 15.8 billion, or 2.9% of GDP (Central Bureau of Statistics). National civilian research spending exceeds the OECD average according to the same body.

The Bank of Israel lowered its policy rate to 3.25% by a decision of 1 September 2026. Education, health and social work, non-financial corporations, finance and high-tech are among the main providers of jobs. Growth, inflation, unemployment, GDP per capita and the euro-shekel exchange rate are updated in the economic indicators block. To compare the health cover of a work assignment, Expavy offers the diagnostic and the guide to working abroad.