site.btaNational Council for Tripartite Cooperation Discusses 2025 Budget Bill for Public Social Insurance

The National Council for Tripartite Cooperation discussed on Wednesday the draft budget of the Public Social Insurance for 2025 during an extraordinary meeting, which also considered the draft laws on the budget of the National Health Insurance Fund (NHIF) and the state budget for the next year.

In terms of the revenue part, the draft budget of the Public Social Insurance provides for BGN 16.2 billion, which is an increase of nearly 26% compared to 2024, noted Vesela Karaivanova, deputy governor of the National Social Security Institute (NSSI) and acting governor of the institution during the presentation of the draft budget for 2025, approved at a meeting of the NSSI on December 9. She added that this revenue increase follows the trend of the labour market and income policy.

As of 1 January 2025, the minimum wage will be BGN 1,077, the maximum insurable income for self-insured persons is BGN 1,077, equal to the minimum wage, there is an increase in the maximum insurable income for all insured persons to BGN 4,130, the draft budget provides. Karaivanova pointed out that the calculation also includes the effect of waiving interests on outstanding taxes and contributions. 

The amount of the budgeted expenditures without transfers reaches BGN 27.4 billion, which is an increase of 12% from 2024. The largest share of expenditure is on pensions. According to the 2025 draft budget, pension expenditure is BGN 24.114 billion, an increase of BGN 2.501 billion compared to 2024. The main increase in pension spending comes from the minimum pension increase policy, the rule imposed on July 1. Benefits and allowances are the next expense, which amounted to BGN 3.73 billion, up by BGN 528 million. In terms of personnel costs, the draft budget foresees an increase of 10%, or about BGN 25 million.

According to forecast data for 2025, the average pension is expected to reach BGN 976, Karaivanova said.

Caretaker Minister of Labour and Social Policy Ivaylo Ivanov said that the Ministry will support the draft law on the budget of the Public Social Insurance for 2025 without hesitation.