Czech Zivno Tax and Insurance Payments for Freelancers

2026 Update: Social Insurance Deposit Reduced to 5,005 CZK

The minimum social insurance deposit for freelancers in the Czech Republic decreased from 5,720 CZK to 5,005 CZK in 2026.

On 5 June 2026, the President of the Czech Republic signed the law reducing the minimum income amount used to calculate the minimum social insurance deposit from 40% to 35% of the average salary.

In Czech legislation, this amount is called the minimum assessment base. The law changed the minimum social insurance deposit calculation.

The formula used to calculate the final annual social insurance remains unchanged.

The minimum social insurance deposit is calculated using three values:

1. The average salary in the Czech Republic.

2. The percentage of the average salary used for the calculation.

3. The social insurance rate for freelancers (OSVČ).

For 2026, the average salary remains 48,967 CZK and the social insurance rate remains 29.2%.

The only change is the percentage used to calculate the minimum deposit. Until June 2026, the minimum deposit was calculated from 40% of the average salary. From July 2026, it is calculated from 35% of the average salary.

As a result, the minimum monthly social insurance deposit decreased from 5,720 CZK to 5,005 CZK.

The reduction mainly affects freelancers paying the statutory minimum social insurance deposit, new freelancers, freelancers with lower profits, and people in the first flat tax band.

If your monthly social insurance deposit is already higher than 5,720 CZK because it was calculated by ČSSZ based on your previous year’s income, your monthly payment will usually remain unchanged.

It is also important to understand the difference between a minimum social insurance deposit, a monthly deposit calculated by ČSSZ, and annual social insurance.

The minimum social insurance deposit is the lowest amount a freelancer with a main trade license must pay each month. Monthly deposits can be higher because they are often calculated from the previous year’s income. Annual social insurance is the final amount calculated from your actual annual profit after submitting your annual report.

The 2026 law changed the minimum social insurance deposit calculation by reducing the percentage used to calculate the minimum deposit from 40% to 35% of the average salary.

The formula used to calculate annual social insurance remains unchanged.

In other words, the law changed the minimum amount some freelancers must pay each month, but it did not change how annual social insurance is calculated from actual profit. This is why the impact differs between freelancers paying the mandatory minimum deposit and freelancers whose deposits are already calculated from their previous year’s income.

A minimum deposit is the lowest monthly amount a freelancer with a main trade license must pay to ČSSZ.

Even if your income is low or you have no income, you still need to pay the minimum deposit as main sourse of income.

The minimum deposit exists because Czech social insurance rules require a minimum contribution from freelancers with a main trade license.

Monthly social insurance payments are only deposits.

After the end of the tax year, freelancers submit an annual report to ČSSZ. Based on their actual income and profit, ČSSZ recalculates the final annual social insurance amount, deducts all deposits already paid during the year, and determines whether the freelancer must pay a balance or receives a refund.

The standard final calculation is not changed in 2026.

Although the calculated annual social insurance is only 6,424 CZK, freelancers with a main trade license must still pay the mandatory minimum monthly deposits during the year.

This is why the reduction from 5,720 CZK to 5,005 CZK can have a noticeable impact on freelancers with low profits.

In this example, the final annual social insurance is calculated from the freelancer’s actual profit.

The minimum social insurance deposit is not relevant because the calculated annual social insurance is already significantly higher than the statutory minimum.

This calculation remains exactly the same after the 2026 law change.

The 2026 law changed the minimum monthly social insurance deposit.

The law did not change how final annual social insurance is calculated.

After the end of the tax year, freelancers submit an annual report to ČSSZ. ČSSZ calculates the final annual social insurance based on actual income and profit, deducts all deposits already paid during the year, calculates any refund or balance due, and determines the new monthly deposit for the following year.

Because of this process, two freelancers can pay different monthly deposits even when they both have a trade license.

Freelancers paying the mandatory minimum deposit may benefit from the reduction.

However, freelancers whose deposits are already calculated by ČSSZ based on their previous year’s income will often see little or no change because their deposits are already higher than the mandatory minimum.

This is why the impact of the 2026 change depends on how your current monthly deposit was calculated.

If you paid the minimum social insurance deposit of 5,720 CZK from January to June 2026, you paid a total of 34,320 CZK.

After the law change, the minimum deposit for the same six-month period is 30,030 CZK (6 × 5,005 CZK).

The difference is 4,290 CZK.

You therefore have an overpayment of up to 4,290 CZK for the period from January to June 2026.

For many freelancers, leaving the overpayment for annual reconciliation is the simplest option.

Monthly social insurance payments are only deposits. After the end of the tax year, ČSSZ calculates the final annual social insurance based on actual income and profit and deducts all deposits already paid during the year.

As a result, any overpayment can either be refunded or used to reduce the final balance due. If the deposits paid during the year are higher than the final annual social insurance, the freelancer receives a refund.

If the final annual social insurance is higher, the overpayment helps reduce the remaining balance.

The first flat tax band is also affected by the 2026 change.

If you paid the first flat tax band amount of 9,984 CZK from January to June 2026, you paid a total of 59,904 CZK.

After the law change, the payment for the same six-month period is 54,972 CZK (6 × 9,162 CZK).

The difference is 4,932 CZK.

You can either request a refund of this overpayment from the Financial Tax Office or leave the amount on your account and use it to reduce future flat tax payments until the full credit is used.

Frequently Asked Questions

Did the Czech Republic reduce social insurance for all freelancers in 2026?

No. The law reduced the minimum social insurance deposit. Final annual social insurance is still calculated from actual profit.

Did the social insurance rate decrease?

No. The social insurance rate remains 29.2%. The law only changed the minimum income amount used to calculate the minimum social insurance deposit.

How can I find my current social insurance deposit?

Check your latest Social Security annual report (Přehled o příjmech a výdajích). Your monthly deposit amount is shown on line 38.

Who benefits the most from the change?

Freelancers paying the mandatory minimum deposit and some freelancers in the first flat tax band.

Should I immediately reduce my deposit to 5,005 CZK?

Only if you were paying the minimum social insurance deposit of 5,720 CZK.

Why does my deposit remain unchanged?

Many freelancers pay deposits that were calculated by ČSSZ based on their previous year’s income. If your calculated deposit is already higher than the statutory minimum, the 2026 reduction may not affect your monthly payment.

Does this affect freelancers paying more than 5,720 CZK?

Their deposits are often calculated from previous income and may remain unchanged.

Who administers social insurance for freelancers?

ČSSZ (Czech Social Security Administration).

Official Sources

This article is based on:

• Ministry of Finance of the Czech Republic

• Czech legislation valid for 2026

• Official social insurance rules administered by ČSSZ

This article was prepared using official Czech legislation, Ministry of Finance guidance, and ČSSZ information valid at the time of publication.

Reviewed and maintained by Pexpats, a Czech tax and accounting agency.

The 2026 social insurance update explained above affects only the minimum social insurance deposit and the first flat tax band.

The general registration requirements, payment rules, health insurance obligations, income tax rules, and flat tax system described below remain valid for freelancers operating under a Czech trade license (Živnostenský list). Every self-employed person under a trade license in the Czech Republic shall pay taxes and insurance properly. There are 3 basic payments you shall take care of:

• Czech Income Zivno Tax, also known as Self-employment Tax (daň z příjmu)

• Czech Social Insurance minimum monthly deposits

• Czech Health Insurance minimum monthly deposits

What shall I, as a freelancer, be registered with?

Once your trade license (Zivno) is registered and your ICO number is active and you want to start working, you shall register yourself with 3 Czech more authorities:

• ČSSZ (Social Tax Office) for social tax

• Finanční úřad (Czech Financial Tax Office) for income tax

• VZP, OZP, … (Czech Health Insurance Office) for mandatory health insurance. If you never had Czech health insurance, you can choose any public health insurance company.

• LIGHT VAT (Czech Financial Tax Office) for VAT registration if you are working with companies registered in the EU but not in the Czech Republic

Once successfully registered with the Social Tax Office, it’s time to set up your payments. Social Tax is always paid for the current month.

How much is Social Insurance?

The minimum deposit for Czech social insurance is CZK 5,050 per month for the year 2026. Keep in mind that the minimum deposit changes every year!

Where shall I send the payment?

The bank account varies for every freelancer depending on your home address. This information can be found in your very first Social Tax registration letter.

What is my reference number for Social Insurance payments?

It can be found in the same letter, above the bank account number.

Example – When to pay Social Insurance?

If you are registered from July 1, 2026, as a Czech Trade License taxes and insurance payer, you must pay CZK 5,050 for March by the last day of July.

How to pay for Social Insurance?

Once registered in the Czech Social Insurance system, you must make monthly payments as a holder of the Czech Zivno. You become OSVČ, meaning a Freelancer. Social insurance is always paid for the current month. For example, if you start freelancing in September, you should pay social security during September.

The minimum trade license( zivno) health insurance deposit is CZK 3,306 per month for 2026. This amount changes yearly as it is based on the average salary, which increases annually.

Where shall I send the payment?

The bank account differs based on your home address and the Health Insurance Office you choose. If you are a VZP client, you can find your payment details on their website.

What is my reference number for Health Insurance payments?

Your reference number is your číslo pojištěnce, which can be found on your EHIC card or a temporary confirmation from your health insurance office.

Example – When to pay for Health Insurance?

If you are registered from March 1, 2026, as a Czech Trade License taxes and insurance payer, you must pay CZK 3,306 for March between April 1 and April 8, since health insurance is always paid for the previous month.

Income tax for freelancers depends on your annual earnings, calculated when you file your Tax Report for the previous tax year. The total amount is determined once you file your Tax Report.

If you are a Flat Taxpayer, you do not need to submit a Tax Report! To handle this process efficiently, it is best to hire an accountant.

Czech Tax Account Number & IBAN – Where to Pay Income Tax (2026)

If you are looking for the bank account number for paying income tax in the Czech Republic, you must use the account assigned to your regional Tax Office (Finanční úřad).

Personal income tax payments use:

• Prefix 713 (personal income tax)

• Regional office code (assigned to your Tax Office)

• Bank code 0710 (Czech National Bank – ČNB)

Domestic payment format:

713-regional code/0710

This is the official Czech tax account number format for trade license income and personal income tax payments.

If you are paying from abroad, use the IBAN of your regional Czech Tax Office listed below.

If you prefer the Flat Tax system, you must still register with all the authorities listed above. However, instead of separate payments, you will make a single total payment covering social tax, health insurance, and income tax directly to the tax office of your district. Your Flat Tax payment reference number is your DIČ number without the “CZ” part.

Just registered your Czech Trade License (Zivno)? Calculate your Zivno tax, contributions, and net income as a self-employed individual in the Czech Republic. Just enter your yearly gross income, and the Freelance Tax Calculator will calculate your Zivno tax, social and health insurance contributions, and your net income.

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