# Employee/Employer Relationship and Vendor/Independent Contractor/Sub Trade



## xtos (Nov 17, 2008)

I am Greek-Canadian and want to move to Greece Very Badly!!!

I am wondering, how does it work in Greece with the different types of Employment Arrangements?

*Employee:* 

I know in Canada an Employee/Employer Relationship involves.

For every hour I work, 3 types of Deductions are held

*1* CPP = Canada Pension Plan (Federal Pension Starting at ages 60 - 65, if enough credits from all the years of working)

*2* Income Tax = Federal/Provincial (Based on how many hour you worked in that pay period i.e. bi-weekly, semi monthly or monthly and what your Tax Bracket is)

*3* Employment Insurance = (You pay this, Based on how many hour you worked in that pay period i.e. bi-weekly, semi monthly or monthly and what your Tax Bracket is. This is taken off even if you never in your working career use it.)

Now the Employer shares in the cost of items 2 & 3, bank rolling items 2 & 3 with the Employee, building the Social Net and in addition any other Benefits or Insurances for the Employee and/or his Family. (In Greece like IKA - Dental, Medical, Vision)

As an Employee/Employer Relationship, there are Labour Laws that govern more things.


*Vendor/Independent Contractor/Sub Trade:*

In this case, there is NO Employee/Employer Relationship.

You agree or sign a contract to Provide a Service or Complete a Job (Task) as per the terms of the contract. When you get paid there is NO DEDUCTIONS, you need to allocate the Fund you receive to the government (You get many different advantages and write offs this way, but must make sure, you cover yourself for the Social Programs) 

Some contracts may need more hands and you may need to hire individuals to assist or maintain the terms of the contract.

If you are hiring individuals to assist you, you are now in a position to choose the method that best works for you, either Employee/Employer Relationship (You are now the Employer, like above) or you Contract the individuals like in this method.


*In Greece How Does It Work???*

I know there is “Ensima” I think it is similar to Employee/Employer Relationship, but not sure.

If it is like that, I really understand why nobody wants to hire anyone to do anything, they rather do it themselves to save the money that they would have to pay for ““Ensima”. I know it is the same for me in Canada when I had my Contracts.

Please HELP, I need a good clear answer!!!

Thanks

xtos


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## paulmallatratt (Mar 6, 2008)

*Hi Xtos hope this helps a little*

Hi xtos

There are two deductions from Income that you earn as an employee First is Income tax and secondly there is IKA (Health and Unemployment Insurance Contributions). Currently I am not aware of any further deductions. If however you intend to become self employed and operate a business then dependant upon the type of business, there are a variety of taxes and licence fees that will apply to your business - these are too varied to explain here and will require research in any event as even Greeks who live here fall foul of local regulations and taxation by-laws.

I hope that this helps, you will be able to gain more information from the greek authorities about taxation - I suggest that you search the internet as I do know that information is available to those who can read and speak Greek.

Regards 
Paul Mallatratt


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## xtos (Nov 17, 2008)

*Thanks for your response*

Thanks for your response. I am looking (it may be a dream, I hope not) for a job with a Canadian or US company and even better starting my own business that can be done 100% by Phone (My Canadian VOIP), Fax, and internet, allowing me to live in Greece. 

If somehow and someway I can FIND (Anyone PLEASE HELP!!! ME) an arrangement like that it will be the BEST thing to happen to me. I would be living in the Best Country and still have the comfort and confidence working with the Rules and Law (Canadian) that I already know all my life. I will not have to depend on the Greek Job Market and jump thru all the hoops.

Picture This...... I would build a small house in my Dad's small town on the island. It would be powered by Solar Panel and backup generators. I would only need a High Speed Internet Connection, the water bill is like zero (about 20 Euro a year) and a way to have some Heat for the winter (I don't think it can get as cold as Canada). Don't really need a car and maybe a Papaki for summer. 

Sure I maybe loosing money on the exchange rate Cad to Euro, but my costs would be much less. Since I will be living there, I will have lots of time the Network and maybe setup slowly an Internet Cafe or something else (Rooms for Rent???) and employ some members of my family or other locals.

Somewhere in all this get married and start a family.


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