Social Insurance Contributions – Romania

Mandatory social insurance contribution for pension benefits. Withheld from gross salary. Requires minimum 15 years of contributions for pension eligibility. Retirement age: 65 for men, 63 for women (gradually increasing).

Provides access to public healthcare system. No ceiling for employment income - applies to entire gross salary. Mandatory for all employees. Certain categories exempt: children under 18, students under 26, people with disabilities.

Combined CAS 25% + CASS 10%. These contributions are deductible when calculating taxable income. After deducting 35%, remaining amount subject to 10% income tax. Effective total deduction approximately 41.5% of gross salary.

Voluntary contribution to private pension fund. Previously mandatory for certain sectors, now optional for all. Contribution amounts vary by fund. Tax deductible up to certain limits. Must opt-in through employer.

Employer-only contribution for work accident insurance and labor market programs. Standard rate 2.25% of gross salary. May vary between 0.15% and 0.85% depending on activity risk classification. Higher risk industries pay more.

Additional employer CAS contribution for employees in particular (4%) or special (8%) working conditions. Normal working conditions: 0% employer CAS. Applies to hazardous or difficult work environments.

Minimum 2.25% CAM for normal conditions. Up to 10.25% (2.25% CAM + 8% CAS) for special working conditions. Significantly lower than employee contributions.

Self-employed pay CAS on net income from independent activities. Mandatory if annual net income exceeds 12 minimum gross salaries. Calculated on business profits after expenses. Maximum base: 24 minimum gross salaries unless voluntary higher contributions elected.

Health insurance due if annual income from independent activities, IP rights, investment, rental, or other sources exceeds 6 minimum gross salaries (RON 24,300 in 2025). Ceiling increased to 72 minimum gross salaries for 2026 (approximately RON 311,400). Progressive thresholds: 6, 12, or 24 minimum salaries.

Individual entrepreneurs (PFA/II) pay both employee and employer portions if primary activity. Must pay on at least minimum wage basis. Can opt for microenterprise taxation (1% on turnover) if eligible. Lower administrative burden than standard taxation.