Jan 15, 2024 1 min read

Kazakhstan amends monthly calculation index (MCI) , monthly minimum wage, and introduces employer pension contribution

Changes in monthly calculation index (MCI) and monthly minimum wage

As per Article 9 of Law No.43-VIII on the State Budget for 2024 – 2026 dated 5 December 2023, the following changes are made effective from January 1, 2024.

Changes in social security contributions and introduction of employer pension contribution

A new regulation outlined in Article 251 of the Social Security Code of the Republic of Kazakhstan, dated April 20, 2023 (No. 224-VII ZRK), effective from January 1, 2024, mandates employers to contribute 1.5% towards obligatory pension.

The ceiling for social security contributions has also been revised.

Contribution towardsEmployee / Employer
Maximum New monthly
Obligatory social security contributionEmployer contribution only3.5% of 7 times the minimum wageKZT 20,825
Obligatory medical aid insuranceEmployee contribution2% of 10 times the minimum wageKZT 17,000
Employer Contribution3% of 10 times the minimum wageKZT 25,500
Obligatory pension contributionEmployee contribution10% of 50 times the minimum wageKZT 425,000
Employer contribution (New)1.5% of 50 times the minimum wageKZT 63,750

If an employee’s earnings used to determine the obligatory social security contribution and pension contribution fall below the updated minimum wage, the contribution will be computed based on the monthly minimum wage.

Please contact your Mercans’ services delivery team for any additional information regarding the implications of the above change

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Kazakhstan amends monthly calculation index (MCI), monthly minimum wage, and introduces employer pension contribution

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