The employer is obliged to pay contributions to: the Social Insurance Fund, the Central Holiday Fund, Redundancy Fund, Human Resources Development Fund, Social Cohesion Fund and to the Health Insurance Fund of the General Health Insurance Scheme(GHIS)
The earnings taken into consideration for the purpose of payment of contributions to the Social Insurance, Annual Holidays with Pay, Redundancy and Human Resource Development Funds, are those up to a maximum amount which is normally fixed every year. For the Social Cohesion Fund the total earnings are taken into consideration without a maximum amount. For the Health Insurance Fund, a contribution is deducted on earnings up to € 180,000 annually.
For 2020, the maximum ceiling of insurable earnings was set at €1.055 weekly salaried employees or, € 4.572 for monthly salaried employees.
Social Insurance Contributions
For 2020 the contribution rate is 21.5% of insurable earnings (8.3% employer 8.3% employee and 4.9% the state)
The employer is responsible for the payment of his and his employee’s contributions. He is entitled, however, to deduct the amount of contributions he pays on behalf of his employee from the earnings of the employee for the period for which he pays contributions.
Contribution to the Central Holiday Fund
The rate of contribution to the Central Holiday Funds is proportional to the days of annual leave to which the employee is entitled to ranging from 8% for 4 weeks leave, to 16% for 4 weeks leave.
The entire contribution to the Central License Fund is paid by the employer.
The employer is not obliged to pay contributions to the Central Holiday Fund if he obtains exemption from the obligation to pay contributions (να γίνει link στη σελίδα για τις άδειες) to the Central Holiday Fund
Contribution to the Redundancy Fund
Contribution rate 1.2%: The entire contribution to the Redundancy Fund is paid by the employer.
Contribution to the Human Resources Development Fund
Contribution rate 0.5%: The entire contribution to the Human Resources Development Fund is paid by the employer.
Contribution to the Social Cohesion Fund
Contribution rate 2%: The entire contribution to the Social Cohesion Fund is paid by the employer.
Contribution to the Health Insurance Fund
The contribution rate is Employees 2,65%, Employers 2.90% State 4,70%
The employer is responsible for the payment of his and his employee’s contributions. He is entitled, however, to deduct the amount of contributions he pays on behalf of his employee from the earnings of the employee for the period for which he pays contributions
Example
An employer who employs an employee with a salary of € 1,000 per month and who is entitled to 20 days off per year (five-day working week), pays contributions to the five Funds as follows:
| For an employer who has no exemption from paying contributions to the Central Holiday Fund (CHF)and pays the minimum contribution rate to the CHF, ie 8%: |
| Calculation of earnings: |  |  |
| Earnings | € | 1000 |
| Contribution to the CHF ΚΤΑ, 8% on €1000 | € | 80 |
| Total: | € | 1080 |
 |  |  |
| Calculation of Contributions: |  |  |
| Contribution to the Social Insurance Fund (8,3% employer and 8,3% employeeς = 16,6% on €1080) | € | 179,28 |
| Contribution to the CHF (8% on €1000) | € | 80 |
| Contribution to the Redundancy Fund (1,2% on €1080) | € | 12,96 |
| Contribution to the Human Resources Development Fund (0,5% on€1080) | € | 5,4 |
| Contribution to the Social Cohesion Fund (2% on €1080) | € | 21,6 |
| Contribution to the General health Insurance Scheme (2,90% employer + 2,65% employee = 5,55% on €1080) | € | 59,94 |
| Total: | € | 359,18 |
