I am a partner of general partnership

If you have established a general partnership and registered it in the Register of Legal Entities, you as the insurer are registered in the Taxpayers Register (STI). The State Tax Inspectorate sends data to the "Sodra".

Partners of general partnership are classified as self-employed and compulsorily insured under:

1. ​pension;
2. sickness;
3. maternity;
4. unemployment social insurance;
5. health insurance.

SAV notification on a self-employed person

Information to “Sodra” on a self-employed person (SAV notifications) are submitted in the personal “Sodra” account for the insurant. The path:

www.sodra.lt – Log in – For the insurant / employer – Forms and Templates (Blanks) – Create new – SAV, notification on income from self-employment.

The notifications can be submitted in 2 ways, depending on the payment of contributions of the person pursuing the activities:

1st way:

• If you pay the contributions for the current year (in advance) for at least one month. SAV notification shall be submitted by the 15th day of the next month.

For example, if you pay the contributions for January 2022, SAV notification must be submitted by 15 February 2022.

Pay attention! The SAV notification must indicate the amount of funds withdrawn for personal needs, from which the contributions are calculated (50%).

It’s important! It is not required to submit a SAV notification if contributions for the current month are calculated and paid from the minimum monthly salary.

If you decide to pay contributions on a monthly basis and submit a SAV notification by the 15th of the following month (without waiting for the income tax return deadline, i.e. 1 May of the following year), you will be able to receive benefits immediately after the end of your incapacity for work. Also, in this case, it would be assessed whether you have paid state social insurance contributions for the previous month and whether you have the required length of sickness insurance.

2nd way:

• If you pay contributions once a year, for the previous year, the data on the annual amounts of income declared by the self-employed person and the breakdown of these amounts by calendar month shall be provided to the STI, in the annual income declaration GPM311, by choosing the contribution type “SoDros mėnesinis”.

If you declare the total annual income but do not declare the amounts of income received in calendar months, your annual income from which contributions are calculated will be divided equally according to the number of calendar days in each month of the activity period and the contributions paid.

It’s important! If you choose to pay your contributions to “Sodra” only once a year, “Sodra” may only pay your benefits after you have declared your income to the STI and paid your due contributions.

If you want to distribute your income differently:

• Submit an annual income declaration to the STI GPM311 and choose the type of contributions “SoDros mėnesinis”.
• Submit the SAV notification, but only if you have not submitted data to the VMI for the same previous period.

Pay attention! When contributions have been paid during the current calendar year by the deadlines set in the Law on the VSD, but no SAV notifications have been submitted, the annual SAV notification may be submitted regardless of the amount of income declared or withdrawn for personal needs would have to pay fewer contributions and the person would not apply for a refund or set-off of social security contributions. If you were entitled not to pay contributions but you have paid contributions, you can also submit a SAV report.

• Partners of general partnerships should pay state social insurance contributions from 50 per cent of the amount of funds withdrawn for personal needs, which is declared to the State Tax Inspectorate as income from employment relationship or another type of relationship equivalent to employment (income code 02).
• If the funds for personal needs (income code 02) will not be withdrawn, you will not need to pay state social insurance contributions. 

State social insurance contribution rates

• 13,83 percent;
• 16,83 percent, if a partner of small partnership participates in the supplementary accumulation of pensions (3 percent).

Compulsory health insurance contribution rates:

• 6,98 percent. They are calculated on the same base as state social insurance contributions.

• The annual amount of health insurance contribution of partner of limited partnerships, except persons listed in the Article 17 (1, 5, 7) and Article 6(4) of the Law on Health and Article 4(4) of the Law on State Social Insurance (for example, they are employed under employment contracts, are insured under health insurance with state funds and etc.), may not be less than 6,98 per cent of 12 minimum monthly salaries that were valid each month of that particular year.

  Therefore, the limited partnership must pay compulsory health insurance contributions not less than 6,98 percent of the minimum monthly salary for such partners every month, not later than the last day of the current month. A monthly compulsory health insurance contribution is 58,63 Euro (6,98 per cent x 840 Euro).

   

  Ceiling of contributions

  Contributions are calculated on the amount of income not exceeding 43 average salaries per year (72 450,70 Eur.):

• Maximum state social insurance contribution is 10 019,93 Euro.
• Maximum state social insurance contribution (when a pension is accumulated voluntarily 3 percent) is 12 193,45 Euro.
• Maximum compulsory health insurance contribution is 5 057,06 Euro.

• If the general partnership does not temporarily exercise its activities and has informed the STI or has the status of a liquidated or bankrupt company, partners of the partnership must pay compulsory health insurance contributions by themselves, 6,98 per cent of the minimum monthly salary. This does not apply if partners belong to persons listed in the Article 17 (2 - 5 and 7 - 10) or Article 6(4) of the Law on Health Insurance.
• If the general partnership does not exercise its activity and declares it, the aforementioned provisions of the law are not applied and partners of such partnerships do not need to pay contributions.

• In 2022, partners of general partnerships should pay state social insurance contributions from 50 per cent of the amount of funds withdrawn for personal needs, which is declared to the State Tax Inspectorate as income from employment relationship or another type of relationship equivalent to employment (income code 02).
• If the funds for personal needs (income code 02) will not be withdrawn, you will not need to pay state social insurance contributions. The state social insurance contributions can not be paid, even if these funds will be withdrawn for personal needs (this period will not be included in the social insurance record) if:
  • the first independent activity for a partner of general partnership since 1 January 2018;
  • a partner of general partnership receives the social insurance old-age or social insurance work incapacity (invalidity) pension (is appointed to them);
  • a partner of general partnership receives the social assistance pension or social assistance compensation, with the exception of the orphan’s social assistance pension;
  • a partner of general partnership receives the old-age pension from an EU Member State;
  • a partner of general partnership is in imprisonment institutions, specialised mental health care institutions;
  • a partner of general partnership has attained the pensionable age for a social insurance old-age pension.

State social insurance contribution rates

• 13,83 percent;
• 16,53 percent, if a partner of small partnership participates in the supplementary accumulation of pensions (2,7 percent);
• 16,83 percent, if a partner of small partnership participates in the supplementary accumulation of pensions (3 percent).

Compulsory health insurance contribution rates:

• 6,98 percent. They are calculated on the same base as state social insurance contributions.

• The annual amount of health insurance contribution of partner of limited partnerships, except persons listed in the Article 17 (1, 5, 7) and Article 6(4) of the Law on Health and Article 4(4) of the Law on State Social Insurance (for example, they are employed under employment contracts, are insured under health insurance with state funds and etc.), may not be less than 6,98 per cent of 12 minimum monthly salaries that were valid each month of that particular year.

  Therefore, the limited partnership must pay compulsory health insurance contributions not less than 6,98 percent of the minimum monthly salary for such partners every month, not later than the last day of the current month. A monthly compulsory health insurance contribution is 50,95 Euro (6,98 per cent x 730 Euro).

   

  Ceiling of contributions

  Contributions are calculated on the amount of income not exceeding 43 average salaries per year (64 676,30 Eur.):

• Maximum state social insurance contribution is 8 944,73 Euro.
• Maximum state social insurance contribution (when a pension is accumulated voluntarily 2,7 percent) is 10 690,99 Euro.
• Maximum state social insurance contribution (when a pension is accumulated voluntarily 3 percent) is 10 885,02 Euro.
• Maximum compulsory health insurance contribution is 4 514,41 Euro.

• If the general partnership does not temporarily exercise its activities and has informed the STI or has the status of a liquidated or bankrupt company, partners of the partnership must pay compulsory health insurance contributions by themselves, 6,98 per cent of the minimum monthly salary. This does not apply if partners belong to persons listed in the Article 17(2 - 5 and 7 - 10) or Article 6(4) of the Law on Health Insurance.
• If the general partnership does not exercise its activity and declares it, the aforementioned provisions of the law are not applied and partners of such partnerships do not need to pay contributions.

• In 2021, partners of general partnerships should pay state social insurance contributions from 50 per cent of the amount of funds withdrawn for personal needs, which is declared to the State Tax Inspectorate as income from employment relationship or another type of relationship equivalent to employment (income code 02).
• If the funds for personal needs (income code 02) will not be withdrawn, you will not need to pay state social insurance contributions. The state social insurance contributions can not be paid, even if these funds will be withdrawn for personal needs (this period will not be included in the social insurance record) if:
  • the first independent activity for a partner of general partnership since 1 January 2018;
  • a partner of general partnership receives the social insurance old-age or social insurance work incapacity (invalidity) pension (is appointed to them);
  • a partner of general partnership receives the social assistance pension or social assistance compensation, with the exception of the orphan’s social assistance pension;
  • a partner of general partnership receives the old-age pension from an EU Member State;
  • a partner of general partnership is in imprisonment institutions, specialised mental health care institutions;
  • a partner of general partnership has attained the pensionable age for a social insurance old-age pension.

State social insurance contribution rates

• 13,83 percent;
• 16,23 percent, if a partner of small partnership participates in the supplementary accumulation of pensions (2,4 percent);
• 16,83 percent, if a partner of small partnership participates in the supplementary accumulation of pensions (3 percent).

Compulsory health insurance contribution rates:

• 6,98 percent. They are calculated on the same base as state social insurance contributions.

• The annual amount of health insurance contribution of partner of limited partnerships, except persons listed in the Article 17 (1, 5, 7) and Article 6(4) of the Law on Health and Article 4(4) of the Law on State Social Insurance (for example, they are employed under employment contracts, are insured under health insurance with state funds and etc.), may not be less than 6,98 per cent of 12 minimum monthly salaries that were valid each month of that particular year.

  Therefore, the limited partnership must pay compulsory health insurance contributions not less than 6,98 percent of the minimum monthly salary for such partners every month, not later than the last day of the current month. A monthly compulsory health insurance contribution is 44,81 Euro (6,98 per cent x 642 Euro).

   

  Ceiling of contributions

  Contributions are calculated on the amount of income not exceeding 43 average salaries per year (58 166,10 Eur.):

• Maximum state social insurance contribution is 8 044,37 Euro.
• Maximum state social insurance contribution (when a pension is accumulated voluntarily 2,4 percent) is 9 440,36 Euro.
• Maximum state social insurance contribution (when a pension is accumulated voluntarily 3 percent) is 9 789,35 Euro.
• Maximum compulsory health insurance contribution is 4 059,99 Euro.

• If the general partnership does not temporarily exercise its activities and has informed the STI or has the status of a liquidated or bankrupt company, partners of the partnership must pay compulsory health insurance contributions by themselves, 6,98 per cent of the minimum monthly salary. This does not apply if partners belong to persons listed in the Article 17(2 - 5 and 7 - 10) or Article 6(4) of the Law on Health Insurance.
• If the general partnership does not exercise its activity and declares it, the aforementioned provisions of the law are not applied and partners of such partnerships do not need to pay contributions.

  You must pay the state social insurance and compulsory health insurance contributions for the current month by the end of the current month.

For example, a contribution for January 2022 has to be paid by 31 January 2022.

Estimated contributions are paid into the "Sodra" bank accounts.

  When paying contributions, it is mandatory to specify the contribution code. Without specifying the code, the contribution may "get lost" and will not be charged, and the payer will be charged with a debt and late fees will be calculated.

  Important! If you pay late fees or fines for state social insurance contributions, their code differ.

State social insurance contribution codes:

1. Current contributions – 310. 
2. When you pay late fees – 311.
3. When you pay fines – 312.

Compulsory health insurance contribution codes:

1. Current contributions – 322.
2. Compulsory health insurance from income received last year and debt code – 340.
3. When you pay late fees – 341.
4. When you pay fines - 342.

  It is obligatory to pay to the "Sodra", but the exemptions are applied.

• In 2020, the base of social insurance contributions during the calendar year in calculating state social insurance contributions cannot exceed the amount of 43 average state salaries of the previous year (53 380,20 Eur).
• In 2021 – 58 166,10 Eur.
• In 2022 – 64 676,30 Eur.
• In 2023 – 72 450,70 €.

A partner of general partnerships may not pay compulsory health insurance on a monthly basis if a partner of general partnerships does not withdraws funds for their personal needs and a partner of general partnership is classified as persons listed in the Article 17 (1, 5, 7) and Article 6(4) of the Law on Health and Article 4(4) of the Law on State Social Insurance.

A person may not pay SSI contributions (this period will not be included in the record of insurance and will not be considered as insured by the SSI during this period) if: 

• it is the first independent activity since 01-01-2018. The start of the first activity shall be considered as the date on which the person becomes self-employed for the first time after 1 January 2018. This means that the person must have not carried out any independent activity before 1 January 2018 and that his first selfemployed activity started after 1 January 2018.

For example, if a person had acquired a business certificate between 1 October 2017 and 15 October 2017 and became a second selfemployed person after 1 January 2018, then he needs to pay DHS contributions because this is not the first self-employed activity.

This provision shall also apply to persons who, after 1 January 2018, have not been self-employed during a period of at least ten years;

• receive (have been awarded) a pension or lost work capacity (invalidity) pension; 
• receive a social assistance pension or benefit compensation, with the exception of the orphan’s social assistance pension; 
• receives the old-age or lost work capacity (invalidity) pension related to social insurance relations from another EU Member State, a state of the European Economic Area, the Swiss Confederation or a country with which the Republic of Lithuania has concluded an international agreement on social security; 
• are in places of imprisonment, mental health care institutions; 
• has attained old-age retirement age. 

CHI contributions may not be paid by persons who: 

• receive (have been awarded) a pension or lost work capacity (invalidity) pension; 
• receive a social assistance pension or benefit compensation, with the exception of the orphan’s social assistance pension; 
• receives the old-age or lost work capacity (invalidity) pension related to social insurance relations from another EU Member State, a state of the European Economic Area, the Swiss Confederation or a country with which the Republic of Lithuania has concluded an international agreement on social security; 
• are in places of imprisonment, mental health care institutions;  
• has attained old-age retirement age.

Important! If you decide not to pay VSD contributions in the first year of self-employment:

• It is not necessary to inform "Sodra" about it;
• During this period, you will not accumulate seniority for old-age pensions, as well as sickness, maternity, childcare, etc. to receive benefits.

Yes, if:

• Your arrears of the social insurance contributions are not less than EUR 125 and do not exceed EUR 1,500;
• You submit an Application for the deferral of contributions (contributions, interest, fines) (in Lithuanian) to “Sodra”.

No, if recovery of arrears of the social insurance contributions has already been delegated to the bailiff.

TERMS:

• Individuals may apply to “Sodra” division for the deferral of the contributions immediately after the date by which the annual income tax return must be submitted to the STI, i.e. after May 1.
• Payment of arrears of the social insurance contributions can be deferred once per calendar year.
• If your arears do not exceed EUR 1,500, “Sodra“ shall adopt the decision within 10 working days from the date of receipt of the application at “Sodra“ division.
•  “Sodra“ division shall notify the insurant on the decision adopted within 5 working days from the date of the decision, submitting the decision to the personal "Sodra" account for the resident and policyholder.
• The repayment of arrears of the social insurance contributions begins from the date of the decision to defer the payment of arrears of the social insurance contributions subject to the terms and conditions set out therein.

An Application for the deferral of contributions (contributions, interest, fines) may be submitted:

• Online after logging to the "Sodra" personal account for the resident and selecting a free-form application and attaching a completed Application for the deferral of contributions (contributions, interest, fines) (in Lithuanian). The addressee must be chosen the branch of "Sodra" where you are registered as a policyholder;
• By e-mail [email protected] (it is necessary to attach a completed and signed Application for the deferral of contributions (contributions, interest, fines) (in Lithuanian));
• By mail. The completed and signed original application is sent to the branch of "Sodra" where you are a registered as a policyholder;
• Upon arrival at the "Sodra" branch. You need to have an identity document with you, e.g. passport, identity card.

Important! If payment of the contributions debt has been deferred for you, but you fail to fulfil the terms of the agreement or fail to pay the current contributions, the agreement shall be terminated and the remaining debt and accrued interest on late payment are recovered. 

 Important due to extreme situation and quarantine period!

• Self-employed persons may not pay compulsory health insurance (CHI) contributions during an emergency and quarantine period and defer their payment for 2 years.
• These persons who have not paid CHI contributions during an emergency declared by the Government and during quarantine will be required to pay these contributions for the said period within 2 years from the day of the emergency and quarantine cancellation.
• If self-employed persons fail to pay CHI contributions within the set time limit when they have been provided with personal health care services within the set time limit, they will be required to compensate for the damage caused to the budget of the CHI Fund.

• If the VSD contributions are calculated and paid from the MMA (730€), the period of one month shall be included in that case.
• If the VSD contributions are calculated and paid from an amount smaller than the MMA (730€), in which case a proportionally smaller part of the length of service shall be included.