Romania Social Security Contributions Kept In 2010 At This Year’s Level

Social security contributions for normal work conditions will be kept at 31.3% in 2010, of which 10.5% for employees and 20.8% for employers, and social security contributions for special work conditions will be kept at 36.3% in 2010, of which 10.5% for employees and 25.8% for employers, according to Romania’s social security draft budget.

Under the draft, employers and employees will pay a similar contribution of 0.5% each to the unemployment security budget, while contributions paid by people insured based on unemployment security contracts will be kept at 1%.

Employers’ contributions to the salary payment guarantee fund will also be kept at 0.25 %.

Social security contributions paid by employers and employees currently reach 40.05% of the gross wage, although they should have decreased by two percentage points to 37.5% of the gross wage, from 39.5%, as of January 1, 2009.

Loans that can be contracted from the social security budget by authorized individuals, for independent activities, will also be kept in 2010 at this year’s level, namely a total sum of RON20.6 million and a maximum loan value of RON1.5 million.

Loans are granted for investments based on feasibility projects, in ratio with jobs to be created, over a three-year period tops and with a 50% bank rate set by the central bank.