These are the new contribution brackets for self-employed workers
Posted: Sat Dec 21, 2024 3:38 am
Find out about the new contribution brackets for self-employed workers that the Government could implement. There would be 13 new brackets in total that will change progressively over a long transitional period.
The new system proposed by the government would consist of 13 sections.
Self-employed workers may change their contribution base several times a year.
The reform of self-employed contributions has had some milestones in recent years. For example, in 2019 progress was made in equalizing the contingencies fiji email list covered by their Social Security with those of employees. However, there is a long-standing commitment on the agenda: clarifying what the so-called contribution based on real income will mean.
Start of marked textShare! Do you know how the quote for real income can be specified? We will tell you.End of marked text
In recent weeks, we have seen a little more concrete action. It seems that the answer will be a contribution system for self-employed workers with thirteen sections that will change progressively over a long transitional period. However, the necessary agreements have not yet materialized. We will have to continue waiting, but, in the meantime, we can learn the general lines of the government's intention.
General outlines of the new contribution system
Over the past few weeks, the Minister for Inclusion, Social Security and Migration, José Luis Escrivá, has made several appearances explaining the general lines of his ministry's intentions. In his appearance before the Toledo Pact commission on April 12, 2021 , he outlined some of the main approaches :
The contribution system for self-employed workers is currently being negotiated at an extended table which includes, in addition to unions and employers' associations, the three main associations representing the self-employed.
A comprehensive reform is being proposed , which will not only affect contributions, but also the taxes of self-employed workers .
Initially, the intention was for the reform to begin to apply from January 2022, but gradually with a transitional period to be set. Subsequently, it seems that the new intention is for it to begin to apply in 2023 and for the transitional period to be extended for several years.
Thirteen sections are being considered , but this is not definitive.
Self-employed workers may change their contribution base throughout the year depending on how they see their net income forecasts evolving over the year.
Subsequently, if the returns are different from those expected, the self-employed could make a regularization or choose to stop paying the excess contributions.
The new system proposed by the government would consist of 13 sections.
Self-employed workers may change their contribution base several times a year.
The reform of self-employed contributions has had some milestones in recent years. For example, in 2019 progress was made in equalizing the contingencies fiji email list covered by their Social Security with those of employees. However, there is a long-standing commitment on the agenda: clarifying what the so-called contribution based on real income will mean.
Start of marked textShare! Do you know how the quote for real income can be specified? We will tell you.End of marked text
In recent weeks, we have seen a little more concrete action. It seems that the answer will be a contribution system for self-employed workers with thirteen sections that will change progressively over a long transitional period. However, the necessary agreements have not yet materialized. We will have to continue waiting, but, in the meantime, we can learn the general lines of the government's intention.
General outlines of the new contribution system
Over the past few weeks, the Minister for Inclusion, Social Security and Migration, José Luis Escrivá, has made several appearances explaining the general lines of his ministry's intentions. In his appearance before the Toledo Pact commission on April 12, 2021 , he outlined some of the main approaches :
The contribution system for self-employed workers is currently being negotiated at an extended table which includes, in addition to unions and employers' associations, the three main associations representing the self-employed.
A comprehensive reform is being proposed , which will not only affect contributions, but also the taxes of self-employed workers .
Initially, the intention was for the reform to begin to apply from January 2022, but gradually with a transitional period to be set. Subsequently, it seems that the new intention is for it to begin to apply in 2023 and for the transitional period to be extended for several years.
Thirteen sections are being considered , but this is not definitive.
Self-employed workers may change their contribution base throughout the year depending on how they see their net income forecasts evolving over the year.
Subsequently, if the returns are different from those expected, the self-employed could make a regularization or choose to stop paying the excess contributions.