Contributions
The social insurance contribution is proportional, it is determined as a percentage of the earnings that are considered for purposes of social insurance, which are known as “insurable earnings”. One part of the contribution is paid by the insured,one part from their employer and another by the state.
- employee contributions
For salaried employees , the contribution ( from 1.4.2009 until 3.12.2013 ) is 17.9 %. The fee which is calculated on the wages or salary of the employee up to a maximum is determined annually and is paid by the employer , the employee and the State in the ratio of 6.8% , 6.8 % and 4.8 % respectively.
In the case of employers that use professional pension plans without contribution , the above percentage is divided as follows : 8.46 % by the employee,10.15 % the employer, and 4.8 % by the Consolidated Fund of the Republic.
When an apprentice is working without payment, the employer is required to pay both their own contributions and the contributions learner 13,16 %). The learner is required to make contributions only on its real earnings.
The insurable earnings for employees , earnings that are taken into account for purposes of social insurance, generally includes anything paid to the employee for their work , meaning basic salary or wage , cost of living allowance , overtime pay , commissions, 13th/14th salary 53rd/56th week , the employer’s contribution to the Central holiday Fund etc.
The legislation sets the maximum earnings limit for contribution purposes. This amount is usually revised every year. If wages or salary is taller than this amount shall not contribute on the extra amount.
For apprentices who work with payment less than half the amount of basic insurable earnings, the levy is calculated on a theoretical earnings equal to half the amount of the basic insurable earnings.
The employer is obligated to pay into the Social Insurance both their own contributions and the contribution of the employee, meaning 13.6% of the insurable earnings, but is entitled to deduct the contribution of the employee (6, 8%) from wages or salary the day that pays the wages or salary to the employee. If the employer fails to remove the contribution of the employee the day that pays the wages or salary, he may not deduct this contribution from future wages or salaries.
- Self-employed contributions
For the self-employed the contribution (from 6.4.2009 until now) is 16.9%. Of this, 12.6% pays himself and 4.3% the state. Each self-employed pay contributions over the minimum amount of insurable earnings for the category ranked.
If the actual income of the self-employed is lower than the minimum amount of the corresponding professional category he is then entitled to submit an application accompanied by evidence of his income to pay contributions over the actual income.
When an insured person works simultaneously as an employee and as a self employed person, he must be secured for both employment. In case, however, the insured has two or more professions as self employed, must be insured only to the profession with the highest amount of insurable earnings.
