This paper is made to study and define the use of the highest monthly and annually basis and to show by examples their usage in practice. The goal of this paper is to show the use of the highest monthly and annually basis in the labour relations during the year of 2019. in various cases. In the making of the examples there were used all the necessary official forms and tables for calculation and the laws and regulations that are currently effective. Therefore, this paper, in its core, separates and considers various situations in which the payment of pension contributions by the insured is restricted on monthly and annually scale. The mentioned bases are applied on the made pension contribution payments which provide to the insured his right for a pension and because of that this paper puts an emphasis on the salary which the individual earns upon his employment because the salary is the basis for pension contribution payment. While the highest monthly basis limits the payment of the I. and II. grade the highest annual basis limits the payment of only the I. grade of pension insurance. The fundamental segment required for acquiring the highest monthly and annually basis in a certain accounting period is the average gross salary that is paid to the employees which are employed by a legal entit y in Croatia during the period of january – august of the previous year. The average gross salary for the year of 2018. which is used in the current accounting period was in the amount of 8.448,00 kn and it was higher than the year before, if this positive growth trend continues we can accordingly expect the growth of the highest monthly and annually basis.