The Greek Social Insurance Authority (e-EFKA) has published new guidelines and important clarifications regarding the Analytical Periodic Declaration (APD) for insurance contributions under the Lump-Sum Benefits Branch (Welfare), affecting 150,000–160,000 employees working across e-EFKA, the public sector, and local government authorities. These guidelines establish the implementation framework, which applies retroactively from January 1, 2017, for specific categories of workers in the broader public sector.
The new guidelines apply to employees working under open-ended private law contracts (IDAX) serving in or hired by public sector bodies and public law legal entities that fall under the provisions of the former Public Employees Welfare Fund. They also cover staff of Commercial, Industrial, Professional, and Craft Chambers, as well as transferred employees from the former Local Unions of Municipalities and Communities of Greece (TEDK).
How insurance contributions are calculated
The document clarifies how insurance contributions are to be calculated, maintaining a different regime for “old” insured individuals (those insured before January 1, 1993) and “new” insured individuals. For the former, the specific provisions of each previous welfare sector continue to apply, while for the latter, contributions from January 1, 2017 onward are set at 4% of insurable earnings (down from 5.5% previously), as defined by e-EFKA legislation, up to the applicable maximum insurable earnings ceiling. In practical terms, 45,000–60,000 employees in these categories will receive refunds for overpaid insurance contributions from January 1, 2017 through to the present day, estimated at an average of €2,650 per person — calculated from early 2017 through to the end of June 2026, based on the average earnings of these categories over that period.
Particular emphasis is placed on the accurate reporting of insurance contributions in the APD. e-EFKA specifies that the Lump-Sum Benefits Branch must be declared using a separate entry and a specific coding system, distinct from those used for other insurance branches such as main pension, healthcare, and supplementary insurance. For each category of insured individuals, specific Activity Codes, Specialty Codes, and Coverage Package Codes (KPK) are defined to ensure correct and uniform application of the relevant provisions.
Additionally, retroactive submission of supplementary APD declarations exclusively for the Lump-Sum Benefits Branch is provided for, covering the period from January 1, 2017 onward. This process may be carried out without the imposition of fines or other penalties until December 31, 2026, by which date all corresponding insurance contributions must also have been paid, to the extent they have not already been remitted.
Summary data and reporting requirements
The General Circular also includes detailed instructions for public sector services, public law legal entities, local government authorities, and Chambers regarding the process of submitting data for the payroll periods 2017–2019. These bodies are called upon to submit consolidated data on contributions already remitted, accompanied by the necessary supporting documentation, in order to facilitate the accurate reconciliation of payments with APD declarations.
Through these new guidelines, e-EFKA aims to resolve outstanding issues that have existed since 2017, standardize the method of insuring and declaring contributions under the Lump-Sum Benefits Branch, and ensure the uniform application of insurance legislation by all public bodies and employers falling within the scope of the relevant provisions.
