Social Insurance
Social insurance contributions are payable by the employer, employees and self-employed persons based on their insurance earnings.
The contributions rates by category as from 1 January 2014 are as follows:
Contributions |
Employer |
Employee |
Self-employed |
€ |
% |
% |
% |
Social insurance fund |
7.8* |
7.8* |
14.6* |
Redundancy fund |
1.2 |
|
|
Industrial training fund |
0.5 |
|
|
Social cohesion fund |
2.0 |
|
|
Central holiday fund |
8.0** |
|
|
Notes:
- Social insurance contributions are restricted to a maximum amount that is usually increased on an annual basis. The maximum amount that applied for 2018 is €54.396 (for weekly employees €1.046 and for monthly employees €4.533).
- Social cohesion fund is calculated on total emoluments and has no maximum level.
- Redundancy fund, industrial training fund and annual holiday fund are restricted to the maximum level as with the social insurance contributions.
* As from 1 January 2019, both employer and employee contributions will increase from 7,8% to 8,3%. Self-employed persons contributions will be increase from 14,6% to 15,6%.
** The employer is obliged to pay contributions to the Central holiday fund unless he obtains relevant exemption. A rate at 8% is the minimum contribution to the Central holiday fund.
The above should be used as a source of general information only. It is not intended to give a definitive statement of the Law and is subject to the Disclaimer.
For further details on these issues, please do not hesitate to contact us.