Cyprus Tax News: Social Insurance and National Health contributions for 2021

Social Insurance and General Healthcare System contributions will this year remain the same as in 2020.

 Social Insurance Contributions for 2021:

The Social Insurance Contributions for 2021 are summarized below:

Contributions Employee Employer Self-Employed
Social Insurance Contributions 8,3% 8,3% 15,6%
Social Cohesion Fund 2,0%
Redundancy Fund 1,2%
Industrial Training Fund 0,5%
Holiday Fund (if not exempt) 8,0%

Note 1: Social cohesion fund is calculated on total emoluments and has no maximum level.

Note 2: As from 1st of January 2021, the maximum amount applicable for Social Insurance contribution purposes is €57.408 pa, €4.784 per month for monthly paid employees and €1.104 per week for weekly paid employees.

General Healthcare System Contributions for 2021:

Also, as from 1 March 2019 the General Healthcare System Law of 2001 (GHS), as amended, came into effect.

Individuals, employers, and the government contribute to the GHS.

For the purposes of calculating the GHS contributions, gross emoluments are capped to €180.000 per annum.