Social Insurance

Liable to the Social Insurance Contribution are all persons whether employed or self-employed.
Social insurance contribution is charged on the ‘insurable earnings’ and is restricted to a maximum amount that is increased annually (the maximum level of insurable earnings for 2015 is €4.533/month).

For this purpose ‘insurable earnings’ are:
–   Remuneration
–   The payments made to the Holiday Fund (8% of the gross earnings of an individual)
–   Benefits in kind

1. Employer

The Social Insurance Contribution is paid equally by employer and employee:

Contribution %
Employer 7,8
Employee 7,8

The employer also makes the following other contributions based on employee’s insurable earnings:

Fund %
Social cohesion 2,0
Redundancy 1,2
Industrial Training 0,5
Holiday Fund (if is not exempt) 8,0

Deadline for payment of the contributions by the employers
The contributions that the employer is obliged to pay in accordance with the Law, should be paid not later than the end of the calendar month following the month that the contributions relate.

2. Self – Employed

The contributions of self-employed persons are 14,6% of their income. The amount of the contribution is subject to a lower and a maximum limit, depending on the profession or trade of the Self-Employed person.

If a person is both employed and self employed he must pay Social Insurance Contributions on both incomes. If at the end of the year he has paid Social Insurance Contributions in excess of the maximum insurable amount then a refund is claimed.

Deadline for payment of contributions of self employed

Quarterly contribution Date
January-March 10th of May
April-June 10th of August
July-September 10th of November
October December 10th of February