Cyprus: MPs Do Not Pay Social Insurance Contributions

A new issue regarding the privileges of MPs in Cyprus has arisen, as it has been revealed that they do not pay social insurance contributions.

According to a report in «Φ», MPs are not considered «insurable occupations» and their remuneration is not considered an «exchange for work». Instead, they pay an amount of 529 euros per month (for 2025) to the «Pension / Gratuity Scheme», which ends up in the Republic's Consolidated Fund.

MPs receive a gross remuneration of 7,785 euros per month (in 2025), which includes a basic salary, representation allowance and secretarial services allowance. After five years, they receive a pension of 19,107 euros per year and a lump sum of 89,166 euros. With two terms, the pension increases to 52,545 euros per year and the gratuity to 245,210 euros.

Ministers, deputy ministers, the attorney general and other officials regularly pay social insurance contributions. Also, the President of the Republic and the Speaker of the Parliament are excluded, a practice that is considered a remnant of older times.

Legal circles argue that MPs could correct the issue, but they do not, as they would have to cut a privilege they enjoy. Many propose a single pension plan for all.