In 2023, the government of Norway has announced an increase in national insurance contributions for employers. The increase is intended to help fund the country’s growing welfare system and support its aging population.
National insurance, also known as social security, is a system that provides financial support for citizens in the event of unemployment, illness, or old age. In Norway, national insurance contributions are collected through payroll taxes and are used to fund a variety of social programs, including pensions, health care, and unemployment benefits.
The proposed increase in national insurance contributions for employers will affect the amount of national insurance contributions that they are required to make on behalf of their employees. This increase will be a significant change for companies operating in Norway and will have a direct impact on their bottom line.
On all income exceeding NOK 750 000 per year, an additional 5 % national insurance is added to the existing rate of 14,1 % (ie. 19,1 % on amounts exceeding NOK 750 00).
It is presented as a temporary measure in 2023 in order to decrease gaps in wealth and slow the inflation down.