# social security payments for independents/entrepreneurs



## Nicolas944S (9 mo ago)

Ciao! I have a question about how social security works in Italy. I have attempted my own research but never could get confirmation on the specific area I'm interested in.

I am an EU citizen. If I move to Italy I would be mostly retired, with no employer and would just make small amounts of sporadic income myself via daytrading. Is there a minimum, fixed monthly social security tax I would need to pay? For example in Spain I would need to pay 294 Euros monthly under these conditions, which I believe also covers public health insurance.

Thanks!


----------



## NickZ (Jun 26, 2009)

If you're retired on an EU pension don't you get health care? 

INPS contributions are a percentage. 






Contributi Inps per lavoratori dipendenti, autonomi e parasubordinati


Cosa sono i contributi Inps? Come funzionano? Tutto quello che c'è da sapere sui contributi per lavoratori dipendenti, autonomi e parasubordinati.




www.inas.it





Being self employed you'd pay the full amount.

But I've no idea how daytrading would fit into this. But a quick search and you're just paying capital gains. I know that make no sense but nobody said it has to.


----------



## modicasa (May 29, 2021)

It depends if you're a state pensioner, in which you qualify for free health care. If you're a private pensioner under the state pension age then you would need health cover for the first five years/until you reach state pension age.
Various sites say you dont need a partita IVA nor an INPS inscription but in the RW part of your tax declaration you would pay 26% plus the TOBIN tax on all earnings.


----------



## Nicolas944S (9 mo ago)

Thanks NickZ for the quick response! Sorry, I should have also mentioned that I am retiring before the "official" retirement age of 67, so I am not yet classified as an official pensioner or receiving such benefits. So I guess I'd be classified as "self-employed"....that said, what would be "the full amount" of social security payment I'd need to pay? Is it a fixed amount each month like in Spain (where it's almost 300 Euros)?

Thanks!


modicasa said:


> It depends if you're a state pensioner, in which you qualify for free health care. If you're a private pensioner under the state pension age then you would need health cover for the first five years/until you reach state pension age.
> Various sites say you dont need a partita IVA nor an INPS inscription but in the RW part of your tax declaration you would pay 26% plus the TOBIN tax on all earnings.


Thanks Modicasa for your response! Sorry I am not familiar with the terms you mentioned such as partita IVA, INPS etc. Let me simplify my scenario and question: Let's say I am a permanent EU resident who is years away from official retirement/state pension age, and make zero income. How much social security would I be forced to pay monthly?

Thanks


----------



## NickZ (Jun 26, 2009)

It's an annual amount. 

First of all to get residence you'd need either a job contract which you won't have or the current minimum amount in the bank. Not sure what it is at the moment but it used to be just over 6K€.

You could than pay to enter the national health service.



https://www.salute.gov.it/imgs/C_17_pagineAree_1764_0_file.pdf





> Tale contributo si calcola applicando: • l’aliquota del 7,50% fino alla quota di reddito pari a € 20.658,28 • l’aliquota del 4% sugli importi eccedenti a € 20.658,28 e fino al limite di €. 51.645,69 In ogni caso l’importo non potrà essere inferiore a € 387,34


If the person taking your money has actually read the rules that's the amount. Many just take the €387


----------



## Nicolas944S (9 mo ago)

NickZ said:


> It's an annual amount.
> 
> First of all to get residence you'd need either a job contract which you won't have or the current minimum amount in the bank. Not sure what it is at the moment but it used to be just over 6K€.
> 
> ...


Thanks a lot, very helpful.
1) So if I understand correctly, the mandatory social security contribution is limited to for health insurance only, not future retirement pension or anything else, correct?
2) If I decide to opt for private health insurance, do they reduce the required amount? How do people handle that? I guess many have public insurance but selectively purchase some incremental private coverage?

Grazie!


----------



## NickZ (Jun 26, 2009)

It's not mandatory it's voluntary. But you'll need something to meet the residence requirements. Reality is you can't actually sign up for the health service first so you'll need private insurance to even get to this stage.

Yes just health care and not pension but that's a good thing. Italian pensions are very low for the amount of payments. Much better putting the money away yourself.

No reduction if you get private insurance. It's more the other way. Private can sell at a reasonable price knowing people have the national health service to back them up.


----------



## modicasa (May 29, 2021)

A partita IVA is a VAT number which is required for most self employed people nad INPS is the national insurance system. If you are here as a private pensioner and not working then you have no requirement to pay into the system, and you will have no pension entitlement. You will need private health insurance to allow you have a doctor and use the system, otherwise your EHIC card will allow you emergency treatment at a hospital. Private health insurance depends on a lot of factors. If you opt for the state system - the assicurazione volontaria, it is means tested on your overall income, and can cost up to around 5000 euros pa. with a minimum of about 350 - depending where in Italy you are. Private health insurance can cost around 1000 euros pa, or much more if you have preexisting conditions. THe comune where you ask for residency may have a list of private health insurers and policies they accept, in which case you need to follow their rules. If you go for an Italian insurer then companies like Generali, Allianz do health insurance packages for foreign residents.


----------



## Nicolas944S (9 mo ago)

NickZ said:


> It's not mandatory it's voluntary. But you'll need something to meet the residence requirements. Reality is you can't actually sign up for the health service first so you'll need private insurance to even get to this stage.
> 
> Yes just health care and not pension but that's a good thing. Italian pensions are very low for the amount of payments. Much better putting the money away yourself.
> 
> No reduction if you get private insurance. It's more the other way. Private can sell at a reasonable price knowing people have the national health service to back them up.


Thanks Nick, very helpful. So I'll be sure to research private health insurance thoroughly before relocating (and public too, for that matter) Yes, I am thrilled that I'm not forced to pay into a state pension system- I've been suffering from that approach for years in Germany against my will.


----------



## Nicolas944S (9 mo ago)

modicasa said:


> A partita IVA is a VAT number which is required for most self employed people nad INPS is the national insurance system. If you are here as a private pensioner and not working then you have no requirement to pay into the system, and you will have no pension entitlement. You will need private health insurance to allow you have a doctor and use the system, otherwise your EHIC card will allow you emergency treatment at a hospital. Private health insurance depends on a lot of factors. If you opt for the state system - the assicurazione volontaria, it is means tested on your overall income, and can cost up to around 5000 euros pa. with a minimum of about 350 - depending where in Italy you are. Private health insurance can cost around 1000 euros pa, or much more if you have preexisting conditions. THe comune where you ask for residency may have a list of private health insurers and policies they accept, in which case you need to follow their rules. If you go for an Italian insurer then companies like Generali, Allianz do health insurance packages for foreign residents.


Thanks a lot, this is very useful indeed! Is it useful and productive to enlist a health insurance broker/advisor when approaching the private health insurance system for the first time? I don't have an EHIC card etc. but I am an EU citizen so should be fully eligible for both systems I assume


----------



## modicasa (May 29, 2021)

No, you can just ask at your comune which policy is acceptable. usually it must be for a minimum of 6 months, some comunes want the policy for the whole year.


----------



## Nicolas944S (9 mo ago)

modicasa said:


> No, you can just ask at your comune which policy is acceptable. usually it must be for a minimum of 6 months, some comunes want the policy for the whole year.


Got it, thanks!


----------

