February 9, 2019

Increase of Social Insurance Contributions and commencement of contributions for GeSy for 2019

Increase of Social Insurance contributions

As per the Social Insurance Law, as of 1/1/2019, the contributions for Social Insurance will increase by 0.5% for both the employers and employees, i.e. from 7.8% to 8.3%, on the insurable remuneration of the employees.

Commencement of contributions for GeSy

As per the General Health System Law, the contributions of the employers and employees for the purpose of the application of the General Health System known as Gesy will commence in 2019.
More specifically, as of 1/3/2019 the employers will contribute 1.85% on the remuneration of the employees while the employees will contribute 1.70%. The employer is responsible to pay his contributions together with those of the employees after their deduction from their remuneration payment, through the Social Insurance Services.
The contributions will be calculated on the total remuneration of the employees, as per the definition given by the Social Insurance Law, up to the maximum cap of €180,000. It is noted that the maximum insurable amount does not apply here as it does for the social insurance contributions.