Exemption from employer's contributions on high pay

The government sets a cap on employer contributions for high quarterly wages that exceed a limit amount. This measure enhances the competitiveness of businesses while ensuring a fair remuneration of social charges.

This AI-generated translation may contain errors and should not be considerd legal advice. For accurate info, refer to the Dutch or French version or consult your Securex Legal Advisor.

In this article, we examine a bill presented by the federal government on 27 May 2025. The proposed text must still undergo several stages, including approval by Parliament and publication in the Moniteur belge. Until the legislative process is completed, the proposed measures may change and do not yet hold legal value. We will keep you informed of the situation's evolution via Lex4You.

How does the ceiling on employer contributions work?

The ceiling on employer contributions is intended to reduce the financial burdens on your company while ensuring adequate social protections for workers. It will be structured as follows:

Limit amount/ceiling: The limit amount, beyond which employer contributions will no longer be required, will be established by royal decree.
Application of the ceiling: Employer contributions will only be payable on the portion of the quarterly salary that is below this limit amount. For salaries exceeding this threshold, contributions will not be required.
Multiple occupations: In cases of multiple jobs with the same employer, the distribution of the limit amount will be specified to ensure fair application of the ceiling.

What impacts specific contribution reductions?

Some specific contribution reductions will not take into account employer contributions on salaries exceeding the limit amount in their calculation. These reductions include:

The structural reduction: a general reduction of social contributions to encourage employment.
The reduction for scientific research: aimed at supporting companies that invest in research and development.
The reduction for seafarers in the merchant navy: aimed at supporting this specific sector.

The calculation method for these specific contribution reductions will be specified in the royal decree.

For more information: « Employer charges: social security contributions (ONSS) ».

Are other reductions being considered?

A decrease in labour costs for low and medium wages will be introduced, accompanied by an extension of the structural reduction of employer contributions. This reduction will be adjusted throughout the legislature based on the available budget. The amount of the structural reduction will vary according to the category to which the worker belongs, with three main categories. Another reform will focus on the target group reduction of employer contributions for first hires, with certain restrictions and extensions:

First worker: Unlimited reduction in time, with a maximum of 2,000 euros per quarter (compared to 3,100 euros currently).
From the second to the fifth worker: Maximum of 1,000 euros per quarter for three years. The amount is currently higher, but only for the second and third workers.

You will find detailed explanations on target group reductions in the other sheets of this theme "Optimising the salary policy".

Entry into force

The draft Programme Law of 27 May 2025 states that these measures will come into effect on 1^st July 2025. This draft is currently in the Chamber. However, a royal decree must be issued to specify and concretise these measures.

We will keep you informed on Lex4You as soon as the final texts are published in the Moniteur belge.

What does Securex do for you?

If you have any questions about these measures and their application, please do not hesitate to contact your Securex Legal Advisor by email at the following address: myHR@securex.be.

You can also find comprehensive information on the calculation of the structural reduction in our file Structural reduction of employer contributions to social security.