By: Moja Dolenjska
Sole proprietors will once again pay higher taxes and contributions this year. The set lower (minimum) threshold will be €586.04 per month until June, and from July 1st onwards, it will increase to €614.02, which is a significant amount.
The increase in contributions, which sole proprietors are required to pay, will exceed 44% between 2021 and 2025.
Note: In 2025, the payments will first apply until June, then change from July onwards.
Starting July 1st, sole proprietors will have to pay a mandatory 2% contribution for long-term care.
This means that sole proprietors must first earn enough money to cover taxes and contributions before they can start earning for themselves. Additionally, income tax is tied to revenue and represents an extra cost.
The so-called flat-rate contributions for part-time sole proprietors are also increasing. In January 2025, health insurance contributions were raised, and in March 2025, contributions for pension and disability insurance will also increase. During the first three months of 2025, contributions for part-time sole proprietors will amount to €96.89.
The main reasons for this year’s significant increase in contributions are the growth of the average gross salary and the introduction of new mandatory contributions. Additionally, the Council of the Pension and Disability Insurance Institute (ZPIZ) has requested a written explanation from the management of the Statistical Office of the Republic of Slovenia (SURS) regarding changes in the methodology used to calculate the average salary. SURS has adjusted its methodology, but the broader implications of these changes are still unknown.