Increased contributions for self-employed and business owners

Social security payments for self-employed and business owners will be increased by 5.9% next year. This is because the average earnings will rise to PLN 3,966.00 in 2015, according to the draft budget provided by the government. Unlike employees, for which social security contributions depends on the amount of their income and the assessment base (for example 19.52% at the pensions insurance), self-employed and business owners are facing an assessment base defined as 60% from the average income according to government’s forecast.

This will result in the current computation algorithm for a total amount (excluding insurance) of PLN 817 (approx. 205 EUR). This is almost ten times as much as those farmers registered at the Social Insurance Institution for Agriculture (KRUS) have to pay.

Social security contributions (monthly compulsory contribution) for self-employed/business owners:

Pension insurance – PLN 817
Health insurance – PLN 270

Farmers (up to 50 hectares):

Pension insurance – PLN 84 (20 EUR)
Health insurance – PLN 42 (10 EUR)

Source: Wirtschafts-Markt Polen