The foreign service allowance shows significant variations and is paid to public employees serving outside Greece, mainly in diplomatic and consular missions, as well as public services with international presence. Specifically, the allowance amount ranges from approximately €1,800 to over €5,000 monthly, tax-free, in addition to basic salary. Its purpose is to cover increased living costs, special living conditions, and service requirements that come with residing in another country.
Read: With one document you get €758 allowance for 4 months – Who qualifies
How the foreign service allowance amount is determined
Unlike other salary benefits, the foreign service allowance is not uniform. The final amount depends on:
- the employee’s category and grade,
- the position held (e.g., administrative, diplomatic, supervisor),
- the country and city of assignment,
- whether state housing is provided or not.
According to the current institutional framework, the allowance is calculated as a percentage of compensation received by an employee with ambassadorial rank, with lower percentages for junior grades.
The three levels of foreign service allowance
In practice, three basic levels are formed:
- Minimum level (€1,800 – €2,300):
Mainly applies to employees of lower grades or categories, in countries with lower cost of living or in cases where state housing is provided. - Medium level (€2,800 – €4,000):
This is the most common range and applies to a large portion of seconded employees in European countries, the US, and other developed economies. - Maximum level (€4,500 – €5,500 and above):
Paid to senior diplomatic staff, ambassadors, and consuls general, especially in countries with very high cost of living.
Finally, it should be noted that the foreign service allowance is tax-free and exempt from insurance contributions. However, it is not considered salary but compensation for special conditions, which legally and accounting-wise differentiates it from regular wages. It’s worth mentioning that the amount and status of the foreign service allowance regularly returns to the spotlight, both politically and socially. On one hand, beneficiaries argue that the allowance is absolutely necessary to cover real living expenses abroad. On the other hand, questions arise about transparency and proportionality, especially compared to salaries of public employees serving within Greece.
