The Saeima conceptually supports the ZSA proposal to maintain the current social insurance arrangements for the self-employed next year.

The Saeima conceptually supported the ZSA proposal, which provides for amendments to the Law "On State Social Insurance", which provides that from January 1 of next year, the self-employed will maintain the same social insurance procedures as those established in the law from July 1 to December 31 of this year.

These amendments were prepared by the Ministry of Welfare, which previously explained that the changes provide that from next year, self-employed persons whose monthly income does not reach the minimum wage will pay 10% for pension insurance from their actual income. Those self-employed persons whose monthly income reaches or exceeds the minimum wage will pay 31.07% from a freely selected contribution object, which is not less than the minimum wage per month, and 10% for pension insurance from the difference between the selected contribution object and the actual income.

Self-employed persons who earn income from agricultural production will have to calculate 10% pension insurance for the year and pay it by January 23.

In order for self-employed persons to continue to make mandatory contributions from actual income, they will have to submit an income forecast to the State Revenue Service (SRS) – for the first quarter by January 17, for the second quarter by April 17, for the third quarter by July 17, and for the fourth quarter by October 17, or an income forecast for the entire calendar year by January 17. In cases where the self-employed person has also been an employee at the same time, this will have to be done within 15 days of losing the status of an employee.

Self-employed persons who do not submit an income forecast to the SRS and whose income (for micro-enterprise taxpayers - turnover) does not reach the minimum mandatory contribution object will make minimum mandatory contributions from the difference between actual income and the minimum mandatory contribution object.

The State Social Insurance Agency (VSAA) will calculate the minimum mandatory contributions for self-employed persons once a quarter (by the 20th of the third month following the quarter) and inform the SRS. Self-employed persons will be able to make an advance payment of the minimum mandatory contributions by the 23rd of the third month.

The SSIA will calculate the minimum mandatory contributions for the self-employed for the previous calendar year by March 20 and will inform the SRS about it, but the self-employed will be obliged to make the minimum mandatory contributions for the previous calendar year by June 23 of the current year.

Parliamentarians will have to consider the amendments in two more readings.