Greece in World Top 10 Social Security Contributors



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Greece remains among the countries with the highest social security contribution rates, although those numbers are forecast to go south by 3.9 percent by July 2014, according to the Economic Cooperation and Development (OECD),

Greek employers’ contributions are expected to drop by 2.9 percent in July, further to the 1.1 percent decline recorded in November 2012. Thus, the contributions will reach 24.56 percent, down from 28.56 percent in November 2012.

Despite this significant decline, Greece still remains within the top 10 countries with the highest social contribution rates in the OECD, ranking ninth.

Comparing the Greek system to those of the other member states reveals differences; in Greece the calculation of contributions on annual salaries does not vary, whereas in developed economies such as the US, Germany, France and Japan lower rates apply for high earners so as to encourage them not to hide their income.

 


2 COMMENTS

  1. Once again Greece is “backasswards” in comparison to any country with a real economy. The public makes contributions so high it is in the top ten, yet remains in the cellar for payouts to pensioners (those of the generation that sustained the country through the war years). So what gives?

    Hang on people, the new cuts are coming to pensioners again (up to 25%). Easy targets these old heroes. Like taking candy from babies.

  2. As the population ages and birthrate is decreases this creates pressure to raise payments and the age before pensioners are qualified. The cost of doing business by regulations is always passed on to the customer. Why are we so surprised about the rising cost of everything we buy. Eliminate the obstacles and costs to do business and there will be an immediate desired effect on the economy. Samaras-Stournaras haven’t figured that out they need the Troika to force the issue and give them an “excuse” they were forced to submit under coercion.