Currently, there are three main ZUS and Social Security reliefs for entrepreneurs in Poland. They are called Start-up relief, Preferential ZUS for 24 months, and Small ZUS Plus.
The ZUS and Social Security reliefs for entrepreneurs in Poland are applicable to all natural persons who are willing to conduct business in Poland. This includes all EU citizens and non-EU persons having work permits.
Below we present you a description of those reliefs:
START-UP RELIEF
Exemption Period: Entrepreneurs are exempt from paying ZUS contributions for the first 6 months of operation.
Eligibility: This relief is available for individuals starting their first business.
Exemption Scope: Exemption applies to social insurance contributions, but not to health insurance contributions, which must still be paid.
Conditions and Limitations:
Excludes individuals who have previously operated a business within the last 60 months.
Does not apply to those conducting business activities for a former employer, for whom they worked in the current or previous calendar year under an employment or cooperative employment relationship.
Opting Out and Returning to Full Contributions: Possible, but there's no return to this relief once opted out.
PREFERENTIAL ZUS FOR 24 MONTHS
Eligibility: This relief is for entrepreneurs who have finished using the start-up relief or were unable to use it, but meet certain criteria (no other business activity in the last 60 months, no services for a former employer).
Relief Duration: Preferential ZUS contributions can be made for 24 months from the start of business activity.
Contribution Amount: Lower than standard ZUS contributions, excluding the constant health insurance contribution.
Conditions: Entrepreneurs must not have engaged in any other business activity for the past 60 months before starting a new business. Excluded activities include:
Non-agricultural business activities as per business or specific regulations.
Creative or artistic activities.
Free profession activities as per lump-sum income tax regulations or those generating income from business activities.
Being a sole partner in a limited liability company, a general partnership, a limited partnership, or a professional partnership.
Operating a public or private school, a preschool educational form, an institution, or their group under the Education Law.
Opting Out: Similar to start-up relief, entrepreneurs can opt out of preferential contributions and switch to standard contributions. After 24 months, they automatically switch to full contributions.
Important:
Entrepreneurs can voluntarily increase their contribution base during the 24-month preferential period.
If conditions are met, e.g., providing services to a former employer, you may temporarily lose this relief (0570) but can return if you stop such cooperation within 24 months of registering for 0570.
SMALL ZUS PLUS
Eligibility: Aimed at small entrepreneurs who need support through lower contribution burdens but have reached a certain income level. To use "Small ZUS Plus," annual income must be within a specific, periodically updated limit.
Reduced Contributions: Allows for lower ZUS contributions, calculated from a lower base, covering social insurance (pension, disability, accident) but not health insurance.
Duration: Limited to 36 months within a 60-month business operation period.
Qualification Period: Entrepreneurs must meet a specific income limit in the previous calendar year.
Continuation Conditions: Maintain income below the threshold (for 2023, based on 2022 income, the threshold is PLN 120,000) and operate the business for at least 60 calendar days in the previous year.
Annual Verification: ZUS verifies eligibility annually.
Limitations:
Not applicable in the first year of business.
Ineligible if qualifying for START-UP RELIEF.
Inapplicable if using a tax card and VAT exemption – such entrepreneurs do not submit PIT or VAT declarations for ZUS verification.
Ineligible if participating in other non-agricultural business activities, e.g., as a partner in a general partnership.
Excludes those performing the same tasks for a former/current employer or involved in certain professions or school operations.
activities performed in the past year such as the creator, the artist, a person practicing a free profession, a partner in a general partnership, limited partnership, partnership or sole proprietorship limited liability company, a person running a public or private school, another form of pre-school education, an institution or a complex thereof
Conditions:
Register with ZUS by January 31st of the calendar year with the appropriate insurance title code for this relief.
Exception: If conditions are met after January 31st, the relief is still available if registration occurs within 7 days of meeting conditions.
Contribution calculation: Based on established criteria related to income level, higher than standard "Small ZUS" but lower than full ZUS contributions.
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