ZUS contributions Entrepreneurs - preferential versus ordinary in 2013

Persons setting up their own business are entitled to preferential ZUS contributions. It is one of the main discounts for new entrepreneurs, the use of which in 2013 allows you to save up to PLN 600.

Comparison of the amount of ZUS contributions

Insurance	ZUS contributions are minimal under general rules 2013	Preferential ZUS 2013
social (with voluntary sick leave)	PLN 710.67	PLN 153.12
health	PLN 261.73	PLN 261.73
FP	54.58 PLN
SUM	1026.98 PLN	PLN 414.85

Persons setting up a business may exercise this right for a maximum period of a full 24 months. After the end of the "small ZUS" period, they are obliged to pay contributions in the amount of at least the minimum levels announced by the Social Insurance Institution.

The exact date of completion of the preferential ZUS contributions

Preferential ZUS, as previously mentioned, lasts 24 full months. Therefore, if the entrepreneur started his activity, for example, on the first day of a given month, then after 24 months he should start paying "large ZUS".

Example 1.

Date of commencement of activity: 1.03. 2011

Duration of preferential ZUS: until February 28, 2013

The first contribution is payable on general terms for March 2013 (the payment deadline is April 10 - for entrepreneurs not employing employees).

Example 2.

Date of commencement of activity: 8.03.2011.

Due to the fact that preferential contributions cover the period of full 24 months, if the activity was started during the month, the preferential ZUS will apply until the end of March 2013. So in this case, the "large ZUS" is only valid in April (paid until May 10 - at entrepreneurs with no employees). So if the 24-month period expires during a given month, the entrepreneur pays premiums for the entire month at preferential rates.

Procedures for switching from preferential to essential rates

Entrepreneurs should remember that after the end of the preferential period, they are obliged to deregister with ZUS from the existing insurance code on the ZUS ZWUA form. The reason is code 600 - another reason for de-registration. After deregistration, within 7 days from the beginning of the month in which the full ZUS applies, you must re-register, this time using the ZUS ZUA form as an entrepreneur paying contributions on a standard basis. This requirement is due to the necessity to change the insurance code.

Suspension and preferential ZUS

Entrepreneurs who suspended their activity during the first 24 months of activity must remember that the period of suspension does not extend the period of preferential ZUS. The duration of the tax relief is 24 months, including the suspended periods.

Each entrepreneur benefiting from preferential ZUS contributions should observe the 24-month deadline and re-register for full contributions after its expiry. This is all the more important as the Social Insurance Institution is not obliged to inform entrepreneurs about the end of the preferential period and it is their responsibility to ensure the correctness of settlements with ZUS.