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    BUCHAREST, (3 sep 2010)

    Romanian Freelancers To Pay Over 25% Of Income For Social Security Contributions As Of 2011– Draft

    Romanians who gain income from freelance activities will pay, starting with 2011, social security contributions of at least 25.36% up to 35% of their income, nearly double from the current level of contributions, according to a draft government emergency decree.

    Romanian Freelancers To Pay Over 25% Of Income For Social Security Contributions As Of 2011– Draft

    Thus, the pension insurance contribution is to increase to 24.43% from 10%, the health insurance contribution is to increase to 8.35% from 5%, while the contribution to the unemployment fund is to increase to 0.78% from 0.5%.

    The draft also introduces a contribution of 0.85% for vacations and social health insurance indemnities and an insurance contribution of 0.15%-0.85% for labor accidents and professional diseases.

    Thus, people who gain income from freelance activities will pay at least 25.36% of their income for social security contributions and the rest of contributions are voluntary. Under current law, they pay social security contributions of 16.5% of their income.

    For people who pay social security contributions, the calculation base will be limited to the equivalent of five average gross salaries and cannot be lower than an average gross base salary per country.



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    government ,
    social contributions ,
    freelancers
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