Obligations of a Self-Employed Persons in Social Security System

Obligations of a Self-Employed Persons in Social Security System

The main obligations of self-employed persons under the social security system include, if the statutory conditions are fulfilled, paying pension insurance premiums and the contribution to the state employment policy and submitting an annual Survey of income and expenses. The period for which the self-employed person was not obliged to pay premiums is not subject to evaluation in terms of entitlement to pension benefits.

In addition, the self-employed person must notify the relevant social security administration of the day:

  • of commencing (resuming) an independent gainful activity or co-operation in carrying out  an independent gainful activity and to state the date from which he/she is authorized to carry out this activity, and in addition the co-operating person must report the first name, last name, permanent residence and birth number of the self-employed person with whom he/she is co-operating,
  • of terminating an independent gainful activity,
  • of the expiry of an authorization to carry out an independent gainful activity, 
  • from which an independent gainful activity has been suspended,
  • from which he/she is not employed, not entitled to the payment of a invalidity pension and parental allowance, has ceased to personally care for a person under 10 years who is dependent on the care of another person in degree I (light dependency) or for a person who is dependent on the care of another person in degree II (medium dependency) or degree III (heavy dependency) or degree IV (full dependency), is not entitled to the payment of maternity benefits in cash due to pregnancy and delivery, if the entitlement to maternity benefits in cash arises from the employees’ sickness insurance, has ceased military (community) service, has ceased to be a dependent child, if the origination of these facts had been reported and proven for a subsidiary independent gainful activity. 

The self-employed person must meet the above obligations at the latest by the eighth day of the calendar month after the month in which the fact establishing this obligation occurs.

The local DSSA/PSSA/MSSA depends on the place of permanent residence of the citizen (the self-employed person) or the registered place of residence in the Czech Republic for a foreigner. If the self-employed person’s permanent residence, or in the case of a foreigner the registered place of residence, is not in the Czech Republic, the local responsibility depends on where the independent gainful activity is carried out. If the independent gainful activity is carried out in several places then the local responsible DSSA is where the independent gainful activity is predominantly carried out according to a declaration by the natural person concerned.

Survey of income and expenses of the self-employed person

Any person who carried out an independent gainful activity for at least part of a calendar year must submit to the responsible social security administration a Survey of income and expenses for the calendar year on the prescribed form, at the latest one month after the date by which the person was obliged to submit a tax return for the calendar year pursuant to special legislation.

The Survey can be submitted by one of the following methods:

  • by delivering the paper form to the responsible DSSA/PSSA/MSSA – the relevant form is available at these offices. The form can also be downloaded from the CSSA web site
  • by electronic submission, the e - Podání.