Last chance for debtors to settle social security bills

A more favorable settlement for the many people who owe social security contributions to their respective funds is included in the omnibus bill the government expects to pass in Parliament by the end of the week.

The bill provides for a decrease in the annual interest to 3 percent from the current 5 percent, as occurred with those in arrears on their taxes.
If the debtors choose to settle their debt in 120 monthly payments, their overall savings, compared to the previous settlement terms, could exceed 8 percent, with the total extra cost from interest near 18 percent instead of 26 percent previously.
There are an estimated 1.4 million individuals in arrears on their social security payments and the total debt exceeds 36 billion euros, a huge burden for a system than can barely pay off current pensioners, and with widely accepted estimates of a shrinking workforce...

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