Your social security is based on the income confirmed for your YEL insurance. The amount of YEL income should be based on the value of your work input, not on your actual pay or the company’s turnover. A good rule for determining the value of your work input is to think of the salary that would be paid to an employee with the same professional experience as you have.
YEL income limits in 2020
- A minimum of 7,958.99€ per year
- A maximum of 180,750.00€ per year
You can change your YEL income amount at any time, as your business develops or your work input changes. It is in your own interest to maintain the YEL income at the proper level throughout your entrepreneurial activities.
The YEL income cannot be changed retroactively.
YEL insurance is personal; regardless of how many companies you run, you will only have a single YEL insurance policy. If you are active in several companies, you should determine your YEL income so that it covers your work input in all of them.
Read more about how your social security is based on your YEL income.