Budget 2023: Self-employed required to make Socso contributions

KUALA LUMPUR: The Government is determined to improve the sustainability of the social security system by requiring all self-employed workers to contribute to the Self-Employment Social Security Scheme (SKSPS) in stages, says Prime Minister Datuk Seri Anwar Ibrahim.

Anwar, who is also Finance Minister, said social protection should continue to be given attention as a measure to protect self-employed individuals from any untoward incidents.

"Young people who earn their living as gig riders are exposed to the danger of road accidents and it's worse when they don't have any job protection," he said when tabling Budget 2023 at the Dewan Rakyat here on Friday (Feb 24).

Anwar said the government would bear 80% of the Social Security Organisation (Socso) contributions during the transition period to reduce the burden and encourage self-employed individuals to make contributions to the SKSPS.

"... RM100 million is allocated to benefit the self-employed," he said.

He said the government was planning to expand the scope of tax relief for life insurance premiums or life takaful contributions to include voluntary contributions to the Employees' Provident Fund (EPF) up to RM3,000. – Bernama