The health insurance contribution is one of several monthly fees paid by entrepreneurs to the Social Insurance Institution (ZUS). Against which base is it calculated and when must it be accounted for in 2023?
As from 2022, the amount of the health contribution depends on the form of taxation and the amount of income earned. In principle, the minimum amount of the health contribution for an entrepreneur settling PIT on the general basis, i.e. according to the tax scale, is 9% of the contribution assessment basis, i.e. the income from business activity.
The minimum health contribution assessment basis for the time period from February 2023 to January 2024 is PLN 3 490 (minimum pay from January 2023) andthe minimum contribution amount is PLN 314.10 (read also: Minimum remuneration in 2023).
It is important to note that there will be no further increase in the minimum contribution amount for health insurance with the second increase in the minimum pay from 1 July 2023. The minimum contribution assessment basis indicated above will apply from February 2023 until January 2024 (for January 2023, there is still a minimum contribution amount of PLN 270.90, which is 9% of the contribution assessment basis of PLN 3 010).
The amount of the entrepreneur’s health insurance contribution depends also on the form of taxation:
Contribution of PLN 376.16 for revenue below PLN 600 000;
Contribution of PLN 626.93 for revenue up to PLN 300 000;
Contribution of PLN 1128.48 for revenue above PLN 300 000;
From 2022, entrepreneurs are required to settle their health contribution annually. What does it look like? We explain below.
The annual settlement of the entrepreneur’s health insurance contributions involves the application of the annual health contribution assessment basis representing the income from business activities for the calendar year treated as the difference between revenues and the costs of obtaining such revenues, reduced by contributions for pension, disability, sickness and accident insurance, if they have not been included in the tax deductible costs.
An entrepreneur settling on the general rules (according to the tax scale) or a flat tax will apply the minimum annual contribution assessment basis if the annual contribution assessment basis turns out to be lower than the multiplication of the number of months subject to health insurance and the minimum remuneration.
Entrepreneurs are to submit their annual health contribution settlement on the document for April 2023 using the following template:
by 22 May 2023.
While making an annual settlement, one may find that:
In order to make the calculation easier, ZUS has provided a special calculator for determining the annual assessment basis and health insurance contribution for persons engaged in non-agricultural economic activities.
The ZUS calculator will help calculate the annual assessment basis and contributions:
The calculator will also determine the difference between the annual health insurance contribution and the sum of the monthly contributions due, which will form the basis for determining the total amount of the contribution refund or surcharge.
Generally, an entrepreneur pays the health insurance contributions for herself/himself, but not always, there are some exceptions to the rule. Here are the cases in which the entrepreneur does not have to pay the health contribution for herself/himself:
ZUS – see how we can help: