As the end of January approaches, the National Revenue Agency (NRA) reminds self-employed individuals that they have the opportunity to change their type of social insurance by 31 January. This is an important window that self-employed persons should use wisely to make the best choice for their personal and professional needs.
Who is considered self-employed?
Self-employed individuals are those who carry out activities such as:
- Owners or partners in commercial companies;
- Persons practising a liberal profession or craft activity;
- Agricultural producers or tobacco growers.
Mandatory and voluntary social insurance contributions
Self-employed individuals are required to contribute to the Pensions Fund of the State Social Insurance (SSI). This guarantees pension rights and is a fundamental obligation for every self-employed person.
Additionally, by their own choice, they may also opt to contribute to the General Sickness and Maternity Fund. This gives them access to additional entitlements such as:
- Cash benefits during temporary incapacity for work;
- Maternity benefits.
How to change the type of insurance?
The process is straightforward and involves submitting a declaration to the NRA. The change applies to the entire following calendar year, so decisions made by 31 January will be valid for the whole year.
The declaration can be submitted via:
- The NRA's electronic services using a qualified electronic signature;
- Postal service with return receipt.
Why is it important to decide on time?
Choosing the right type of insurance is crucial for planning the financial and social entitlements of self-employed individuals. For example, if you are planning maternity leave or have a higher risk of temporary incapacity, opting into the General Sickness and Maternity Fund may be beneficial.
Do not miss the deadline - 31 January - to make changes to your insurance type. This is a key step that can provide greater stability and protection for you and your family. If you have questions or need assistance with submitting the declaration, contact the team at Experta Accounting Agency - we are here to help!