Over 36,000 employees in Romania that have wages over RON 15,000 (EUR 3,300) per month will earn on average an extra RON 400 (EUR 88.1) net per month next year, after the contribution to the public healthcare system has been capped to five gross average salaries. The measure will enter into force on January 1, 2017, being provided in the Fiscal Code.

Until now, the contribution to the healthcare system amounted to 5.5% of the gross salary for the employee, and 5.2% of the gross salary for the employer, regardless of the salary level reports the local Ziarul Financiar.

The new measure applies to people with gross wages over RON 15,000 per month. Around 36,000 employees in Romania have salaries of over RON 15,000 per month, namely 0.7% of all employees with work contracts, according to data from the Labor Ministry. Among these employees, the average salary amounts RON 26,192 (EUR 5,800).

At a gross salary of RON 26,192 per month, an employee gets a net salary of RON 19,500 (EUR 4,300) based on the current legislation. The net salary will increase to RON 19,900 (EUR 4,380) after the public healthcare contribution is capped.

The budget of the National Health Insurance House - CNAS will lose around RON 520 million (EUR 114.6 million) following the introduction of this new measure. The revenues of the National Health Insurance House amounted to RON 23.2 billion (EUR 5.1 billion) last year. This means that the measure will reduce by 2% the revenues of the national health insurance fund.

editor@romania-insider.com