Employing a pensioner - obligations towards ZUS
Due to the aging of the Polish society, it will be more and more common to employ a retiree or disability pensioner. What obligations does the employer have towards the Social Insurance Institution in such a situation? What contributions should be paid for such an employee? The answer to these questions depends on the type of contract between the entrepreneur and the retired person.
Employing a pensioner under an employment contract
It should be remembered that in terms of paying ZUS contributions, hiring a pensioner under an employment contract does not differ from a standard employment relationship with any other employee. This means that the employer is obliged to pay insurance contributions for a retired person:
When employing a pensioner who has reached 55 years of age for women or 60 years of age for men, no contributions to the Labor Fund or the Guaranteed Employee Benefits Fund are payable.
The obligations of the employer also include reporting such a person to ZUS, using the ZUS ZUA form.
Employing a pensioner on the basis of a civil law contract
Nothing prevents an entrepreneur from deciding to employ a pensioner on the basis of any of the civil law contracts - contract of mandate or contract for specific work.
A mandate contract with a retired person
In the case of employing a retiree or disability pensioner under a mandate contract, which is the only title to insurance for that person, the principal is obliged to pay the insurance premiums for the mandatary:
In such a situation, sickness insurance is voluntary - the obligation to pay contributions depends on the will of the employed person.
In the case of a mandate contract concluded with a person who is employed under an employment contract with another employer, there is no obligation to pay social security contributions. Employing a pensioner in this case results in the necessity to pay health insurance contributions, regardless of the amount of income under the employment contract.
What about retirement and disability insurance? Their payment is voluntary. There is also an exception here - employing a pensioner under a contract of mandate by the employer. Then, the remuneration received under the mandate contract is treated as income from the employment relationship and is associated with the calculation of contributions for the said insurance also on this income.
In this case, it is also necessary to prepare an appropriate form for the Social Insurance Institution - ZUS ZUA.
Contract for specific work with a retired person
Employing a pensioner on the basis of a specific work contract, as in any other case, does not result in the obligation to pay insurance premiums. The exception is the conclusion of such a contract with your own employee. In such a situation, the revenue from a specific work contract is the basis for the calculation of social and health insurance contributions.
It should be remembered that when employing a pensioner it does not matter whether he will be employed on the basis of an employment contract or a mandate, he will pay social security contributions for both of them, if the income obtained from other insurance titles is not equal to the lowest minimum remuneration for work.