Poland: Proposed changes to health insurance contributions by individuals

Changes proposed by the Council of Ministers to health insurance contributions by individuals is effective 1 January 2025

Proposed changes to health insurance contributions by individuals

Article Posted date 26 March 2024

The Minister of Finance, the Minister of Health, and the Deputy Minister of Finance on 21 March 2024 announced changes proposed by the Council of Ministers to health insurance contributions by individuals—effective 1 January 2025.

  • The contribution amount for individual taxpayers subject to progressive tax would be 9% of 75% of the minimum wage (i.e., approximately PLN 310 per month). The amount of the contribution would be fixed, regardless of the income generated. Income from the disposal of fixed assets would not be included.
  • Individual taxpayers subject to flat-rate tax with monthly income not exceeding two times the projected average monthly wage would pay the same health contribution as those taxpayers using the progressive tax scale (i.e., 9% of the 75% of the minimum wage). Taxpayers whose income exceeds two times the projected average wage would pay a contribution equal to 4.9% of the surplus of income over two times the projected average monthly wage in the national economy. Taxpayers whose income exceeds four times the projected average wage and who are engaged in business activity and pay lump-sum tax on recorded revenue would have to pay a minimum contribution (i.e.,  9% on 75% of the minimum wage) and 3.5% on the excess over four times the projected average wage. Income from the disposal of fixed assets would not be included.
  • Deductibility of (part of) health contributions would also be repealed. 

Read a March 2024 report prepared by the KPMG member firm in Poland

 

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