Social Security Support Premium is an implementation specific to the Turkish social insurance model.
Social Security Support Premium is the premium received from the employers of the insured persons, who fulfill the condition of certain age, insurance period and number of premium payment days and receive a retirement or an old-age pensions, if they work subject to a service contract without having their old-age pension cut off.
Whether the insured persons are subject to the social security support premium application and which law provisions and articles will be valid in practice for them vary according to the date of first insured (being subjected to social insurance in their work life).
Social Security Support Premium (in short, SGDP) refers to the social insurance premium received over the earnings that are the basis of premium, if the pensioners, who are granted an old-age pension by the SSI, work subject to a service contract again without their salaries being cut.
The main purpose of the SGDP implementation is to enable employers to prefer youth employment and to provide income to the Social Security Institution. In the normal model, the social security support premium is 7% higher than the normal rate of social insurance premiums.
SGDP is applied at the rate of 30%, of which 7.5% is the insured’s share and 22.5% is the employer’s share, out of the premium earnings determined in accordance with the 80th article of the Social Insurance and General Healthcare Insurance Act No. 5510. In addition to SGDP holders, a 2% premium for short-term insurance branches is also applied.
SGDP premium has no effect on retirement and the amount of pension of the insured. Premiums paid within the scope of SGDP are not counted from the insurance period, long-term insurance branches do not accumulate due to this insurance type and do not affect the pensions of the insured. Likewise, these premiums do not constitute a basis for pension, are not refunded as a lump sum payment and are not taken into account in service combinations.
Within the scope of the short-term insurance branches premium paid by the insured subject to SGDP, the insured is entitled to receive temporary incapacity allowance and permanent incapacity income. However, temporary incapacity allowance is not paid to insurance holders with SGDP due to sickness and maternity conditions (excluding those due to work accident and occupational disease).
