Insurance - selected problems

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Social insurance covers retirement, disability, sickness and accident insurance. The employee is subject to such insurance from the date the employment relationship is established until the date the relationship ends. The obligation to pay social security contributions depends on the type of contract concluded with the employee. It is possible to hire an employee with several employers at the same time or to sign several different contracts with the employee. Then the so-called coincidence of insurance titles.

Conclusion of an employment contract and contract of mandate with one employer

An employer hiring an employee on the basis of an employment relationship may additionally sign a contract of mandate with that employee. In this case, the employee is subject to social insurance only on the basis of an employment contract. An employee employed under a mandate contract does not have to be reported to the Social Insurance Institution. The basis for the amount of contributions is the income derived from the employment contract and the contract of mandate.

The situation is different when the employee additionally runs his own business. In this case, the employee is subject to insurance under the employment contract and the contract of mandate. The obligation of social insurance for the activity depends solely on the amount of the calculation base per month. If the basis for the calculation of social security contributions under the employment relationship and the contract of mandate, per month is lower than the minimum wage, social insurance is compulsory for non-agricultural business activity. If this base is equal to or higher than the minimum wage, social insurance is voluntary for running a business.

If the mandate contract is concluded with the employer by a person entitled to an old-age or disability pension, it is treated as an employment contract in the field of social insurance. This means that a person who has an established right to an old-age and disability pension and performs work for his or her own employer under a contract of mandate is compulsorily subject to social insurance under the employment relationship and contract of mandate.

 

Conclusion of an employment contract and a specific task contract with one employer

When an employee employed under an employment contract concludes a specific specific work contract with the employer, he is obligatorily subject to social insurance under the employment contract. Income derived from a specific task contract is treated in the same way as income derived from an employment contract.

If the employee also runs his own business, he is compulsorily subject to social insurance under the employment contract and contract for specific work. The insurance obligation depends on the amount of the monthly premium base. When the basis for the assessment of contributions under the employment contract and specific specific contract per month is lower than the minimum wage, insurance for the conducted activity is obligatory. When this base is equal to or higher than the minimum wage, retirement and disability pension insurance is voluntary due to the conducted business activity.

Contract of mandate and maternity or parental leave

A person who performs the mandate contract and receives maternity allowance at the same time is compulsorily subject to retirement and disability pension insurance for receiving the allowance. Under the contract of mandate, he may join the retirement and disability pension insurance voluntarily.

A person on parental leave and performing a mandate contract at the same time is subject to mandatory social insurance under the mandate contract. This person is not subject to insurance for being on parental leave. In this case, it does not matter whether the mandate contract was signed with your own employer or with an employer other than your own.

Unpaid leave and social insurance

An employee employed under an employment contract who is on unpaid leave is not subject to social insurance during the unpaid leave. An employee who is on unpaid leave and is employed on a mandate contract is subject to social insurance as a contractor. In this case, it is independent whether the mandate contract was concluded with your own employer or with another economic entity. If an employee is employed by his own employer additionally under a specific task contract and is on unpaid leave, he is not subject to social insurance. In this case, the contract for specific work does not constitute the basis for insurance.