Kindlustustasusid

Kindlustustasusid are mandatory insurance contributions in Estonia that fund the public social protection system. They cover a range of programs, including pension insurance, health insurance, unemployment benefits, parental and other social securities. The contributions are collected by the Tax and Customs Board and are typically calculated as a percentage of gross income. In practice, employers usually withhold these payments from employees’ wages and remit them on their behalf; self-employed persons and certain other groups may pay directly or through their own reporting obligations. The exact components and rates are established by law and can change over time.

The main elements commonly associated with kindlustustasusid include a social security contribution (sotsiaalkindlustusmaks), which funds state pensions and various social benefits, and health insurance contributions administered through the Estonian Health Insurance Fund (Haigekassa). Unemployment insurance contributions may also form part of the overall system, depending on the legal framework at any given time. The funds collected are used to finance public services such as pensions, health care, unemployment benefits, and family benefits, aiming to spread financial risk related to illness, old age, disability, and income loss.

Compliance is mandatory for employers and residents who owe the contributions, with penalties possible for late or non-payment. The exact scope, rates, and administration of kindlustustasusid are governed by Estonian law and can be subject to reforms.