On 25 June 2024, a parliamentary draft was submitted to the Parliament to introduce new rules for determining the amount of health insurance contributions from 2025. It is proposed to introduce three flat rates, the value of which will depend on annual income, salaries, emoluments or benefits. The changes will apply to all those paying the health contribution, both employees and businesses.
The current rules for calculating health insurance contributions are defined by the Act of August 27, 2004, on health care services financed from public funds. The health insurance contribution amounts to 9% of the contribution base, which is the income reduced by social insurance contributions.
The authors of the amendment emphasize that its goal is to restore the original concept of the health insurance contribution as insurance against illness, regardless of the payer’s wealth. The amendment aims to reduce the costs of employment and running a business and to simplify the rules for calculating the contribution by introducing fixed amounts dependent on income or revenue.
Health Insurance Contribution Rates
The project stipulates that from 2025, the health insurance contribution will be:
- 300 PLN per month if the annual income does not exceed 85,000 PLN;
- 525 PLN per month if the annual income exceeds 85,000 PLN but does not exceed 300,000 PLN;
- 700 PLN per month if the annual income exceeds 300,000 PLN.
The contributions will be indexed according to the average annual growth rate of the average monthly salary in the enterprise sector, announced by the President of the Central Statistical Office (GUS).
If the insured has the obligation to pay contributions from more than one source, they will pay the contribution from only one title or revenue. If the income thresholds of 85,000 PLN and 300,000 PLN are exceeded, the contribution will be 525 PLN or 700 PLN, respectively.
Changes in Other Laws
The amendment also requires changes in other laws. In the Personal Income Tax Act, provisions allowing the inclusion of health insurance contributions in the costs of obtaining income will be repealed. In the Social Insurance System Act, changes will be introduced related to the new rules for calculating the health insurance contribution. In the Act on Lump-sum Income Tax, provisions allowing the reduction of revenue by paid health insurance contributions will be removed.
The transitional provisions stipulate that the current regulations will apply to the settlement of health insurance contributions for 2024 and the determination of income tax for that year.
Changes Starting January 2025
The amendment is set to come into force on January 1, 2025. The project was prepared by MPs from the Polska2050-Trzecia Droga group, who emphasize that changing the rules for paying the health insurance contribution is a key election promise. However, the Ministry of Finance, headed by Minister Andrzej Domański, proposes different changes to the health insurance contribution from 2025, indicating a lack of unanimity within the ruling coalition. The changes proposed by the MPs contrast with the Ministry of Finance’s proposals and could significantly impact the state budget, reducing its revenues by approximately 15 billion PLN.
