We wish to inform all our associates that in 2019 an increase in Social Insurance Fund (SIF) contributions will come in effect and that contributions for the implementation of the National Health Insurance System (NHIS) will commence.
SIF contribution increase
According to the provisions of the Social Insurance Law of 2010 both employer and employee contributions on insurable earnings to the SIF will increase by 0,5%, from 7,8% to 8,3%, as from 1/1/2019.
NHIS contribution commencement
According to the National Health Insurance System Law of 2010 (as amended in 2017), employer and employee contributions for the implementation of the system commence in 2019.
Specifically, as of 1/3/2019, employers will contribute 1,85% on the employee’s earnings, and the employees will contribute 1,70%. The employer is responsible for paying both their own and their employees’ contributions through Social Insurance Services (by means of deduction from their salary).
It should be noted that NHIS contributions are paid on all employee earnings (as earnings are defined in the Social Insurance Law) up to €180,000; the insurable earnings limit of SIF contributions does not apply in this case.