Social security contributions of OSVČ from 2024

The government’s consolidation package also brings changes to the minimum advances for social security (pension insurance) of self-employed individuals. From 2024, there will be a significant increase for self-employed persons, especially those who pay the minimum contributions. This is not only due to the increase in the average wage, but also due to the change in the minimum assessment base for calculating advances. Instead of the current 25%, advances are calculated on 30% of the average wage in 2024 (and there will be a further increase to 35% in 2025 and 40% in 2026). However, the 25 % monthly assessment base will be valid for new self-employed persons for the first three calendar years from the start of their business.

Moreover, for everyone the assessment base for pension insurance increases from 50 % to 55 % of the tax base.

We would like to point out that payments need to be increased already for the month of January (i.e. due by 31 January 2024). This will align the rules for payments of increased pension insurance advances with payments of increased health insurance advances. However, the consolidation package does not change the calculation of health insurance advances, so the calculation of social and health insurance will diverge from 2024 (see article Health insurance prepayments from 2024).

Minimum monthly advance payment for pension insurance premiums for self-employed persons in 2024:

  • For main activity – CZK 3 852 (pension premium 28% + state employment policy premium 1.2%, i.e. 29.2% of CZK 13 191)
  • For secondary activities – CZK 1 413 (pension premium 28% + state employment policy premium 1.2%, i.e. 29.2% of CZK 4 837)