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Guide

Moving from a PFA to an SRL — when it pays off

There is no universal “magic” income — it depends on your real expenses and on how much of the profit you want to take out as dividends. The calculator below finds the break-even point on your own figures.

Why a PFA is simpler at small incomes

In a PFA you pay once: CAS, CASS, income tax — no double-entry bookkeeping, no separate payroll. In an SRL, if you want the money in your pocket you need either a salary (with CAS/CASS/income tax + CAM paid by the company) or dividends (taxed separately, plus CASS by bracket).

Why a micro-enterprise SRL wins at large incomes

A micro-enterprise SRL pays 1% of turnover (not of profit) — at large incomes with small real expenses, the PFA's capped CAS (maximum 24 minimum wages) becomes proportionally smaller than what you would pay otherwise, and 1% on the whole turnover can be better than the combined PFA taxes above a certain threshold.

Do you also have an employment contract?

At your income of 120,000 RON (≈ €22,490), a PFA leaves you 3,115 RON (≈ €584) more in your pocket. A micro-enterprise SRL becomes better from about 130,000 RON (≈ €24,360).

Real-income PFA versus micro-enterprise SRL
MeasurePFA, real-income systemMicro-enterprise SRL
Total tax per year28,035 RON (≈ €5,250)31,150 RON (≈ €5,840)
Effective rate23.4%26.0%
Take-home61,965 RON (≈ €11,610)58,850 RON (≈ €11,030)

Take-home across the 0–600,000 RON range

With 25% expenses. The vertical line is your income; the micro-enterprise SRL pulls ahead at about 130,000 RON (≈ €24,360).

PFA, real-income systemMicro-enterprise SRL (partner is the employee, all profit distributed)

Frequently asked questions

Can I keep the PFA open and open an SRL alongside it?
Yes, you can have both forms active at the same time — but each with its own separate filing obligations.
Is anything lost when moving from a PFA to an SRL?
The PFA remains a separate entity — if you close it, the contracts and history stay with the PFA. Clients have to sign new contracts with the SRL.
Who pays the accountant in an SRL?
An SRL needs double-entry bookkeeping, mandatorily through a licensed accountant — an extra monthly cost compared with a PFA, which can keep simplified records.