Insurance Premium Rates for 2023 in Russia

Insurance contribution rates for pension, social, and medical insurance will be paid at a single rate as of 2023 in Russia. The total payment premium will increase due to new legislative requirements to pay insurance workers from payments to employees on the CLC (Civil Law Contract) and an increase in the marginal base for calculation.

There will be six major changes in the insurance premium payment, i.e., old well-established rules for the work of accounting, as of 2023. And the new figures in the calculation, the new forms, and the deadlines for reporting will be applied in the coming year. The changes are as follows:

1. A single rate of insurance premiums has been introduced. There were three tariffs for MPI (mandatory pension insurance), CSI (compulsory social insurance) for STD and MBI (short-term disability and MBI (maternity benefit insurance), and CHI (compulsory health insurance), but as of 2023, there will be one tariff at a rate of 30% (Federal Law of July 14, 2022, No.2390FFZ).
2. The marginal base for calculating insurance premiums has been increased and has a single rate for contributions on MPI and CSI.
3. The list of employees who are paid contributions from payments. Performers under civil law contracts and temporarily residing foreigners have also been added to the list. The income of such employees is also subject to a single tariff, including medical contributions.
4. The premium due date is subject to change as well. Before, they were paid monthly until the 15th of the month, but now they will be paid by the 28th of the month. Though the mentioned change will not affect injury contributions and will be paid by the 15th of the month.
5. Insurance premiums will be transferred under the single tax payment scheme, i.e., one payment for the amount of all tax liabilities of the company.
6. New structure of reporting on contributions. The insurance premium calculation will only partially be done monthly. At the end of each month, the SIC (statement of insurance contributions) has to be submitted only according to Section 3 of SIC with data for each employee. A statement for insurance contributions has to be handed over fully and completely at quarter-end. A Single Data Report Form-1 (SDRF) is submitted to the Unified Social Fund instead of the PFRF (Pension Fund of the Russian Federation)) and SIF (Social Insurance Fund).

Thus, the new figures in the calculation and the new forms and deadlines for reporting will be used in the coming year.