As from 1 January 2019 both employer and employee Social Insurance Contributions will increase by 0,5%, from 7,8% to 8,3%.
Additionally, the Social Insurance Contributions payable by self-employed individuals will increase by 1%, from 14,6% to 15,6%. Depending on the profession or trade of the self-employed individual the contributions are based on lower and maximum limits which are set on an annual basis.
Rates for 2019:
| Contributions Employee | Employer | |
|---|---|---|
| Social Insurance Contributions | 8,3% | 8,3% |
| Social Cohesion Fund | 2,0% | |
| Redundancy Fund | 1,2% | |
| Industrial Training Fund | 0,5% | |
| Holiday Fund (if not exempt) | 8,0% |
Notes :
1: Social cohesion fund is calculated on total emoluments and has no maximum level.
2: Maximum amount applicable for Social Insurance Contribution purposes:
- €54.648 p.a. for monthly paid employees,
- €54.652 p.a. for weekly paid employees
- €4.554 per month for monthly paid employees
- €1.051 per week for weekly paid employees
National Health Insurance System
As from 1 March 2019 the General Healthcare System Law of 2001 (GHS) will come into effect.
Employees, employers, Individuals and the government will contribute to the GHS. The contributions will be deducted from the entire earnings of the individuals (including dividends, interest and rental income) up to a maximum of €180.000.
| Category | Sources of Income | 01/03/2019 | 01/03/2020 |
|---|---|---|---|
| Employees | Emoluments | 1,70% | 2,65% |
| Employers | Employees’ emoluments | 1,85% | 2,90% |
| Self-Employed | Own Income | 2,55% | 4,00% |
| Pensioners | Pension | 1,70% | 2,65% |
| Persons holding an office | Officers’ Remuneration | 1,70% | 2,65% |
| Persons earning rental, interest, dividend and other income | Rent, interest and dividend | 1,70% | 2,65% |
| Republic of Cyprus or Natural/ Legal person responsible for the remuneration of persons holding an office | Officers’ Remuneration | 1,85% | 2,90% |
| Republic’s Consolidated Fund | Emoluments/pensions of persons in (i), (iii), (iv) and (v) | 1,65% | 4,70% |
