Employers

Social Security Registration

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Social Security Registration

Registration in the contributory social security regime is mandatory for all public and private sector employers. 

The employer is responsible for registering his/her employees

Social Security Registration

Employer

  • Completed Employer Registration Form
  • Photocopy of the tax identification card for legal persons or natural persons (TIN)
  • Photocopy of documents specific to the communication of commencement of activity (can be obtained from SERVE).

 

  • In person at social security offices in Dili and social security offices in municipalities and RAEOA;

Or

  • By email (by sending a completed, scanned and signed form with all the necessary documents attached) to the social security email address: seguranca.socialtl@gmail.com 

Or

  • Online (under construction)
     

Registration of the Employer: on the date of admission of the first employee;

 

Employee registration: until the date of submission of the first Remuneration Statement including the employee.

 

Assignment of a NISS

The Social Security Identification Number (NISS) is a number assigned upon registration in the social security system. It is a unique and lifelong number that allows the identification of the employer and the worker/citizen in all matters related to Social Security. 

 

The Social Security Identification Number (NISS) of the Employer is assigned upon registration in the social security system as follows:

  • manually - Social Security services are responsible for the registration and assignment of an NISS
  • automatically - in the future, employers will be able to access their registration and respective NISS online (Online under construction)

 

Currently, one week after registration, the services notify applicants of their NISS as follows:

  • Employers: by email
  • Employees: the employer is notified by e-mail. Employees should then request their NISS to the employer’s human resources

 

Employers are obliged to provide a statement to employees or a copy of the communication of admission statement, containing the respective NISS, and the date of the employee's admission.

 

In any case, employers and employees can contact Social Security services directly to request their NISS. 

Social Security services can be reached in person in Social Security offices in Dili, in the municipalities and RAEOA, or by email to seguranca.socialtl@gmail.com.
 

 

Submission of the monthly remuneration statement

The employer is responsible for submiting the Monthly Remuneration Statement (DR) every month, between the 1st and the 10th of the month following the one to which they relate, by completing the appropriate form - Remuneration Statement (link to statement).

The monthly RD has to include all employees working under that employer and their details regarding the time worked and the remuneration earned to be considered as the contribution basis.

Payment of contributions

The employer is responsible for paying his/her employees’ contributions.

Employees' contributions correspond to the monthly amount deducted by the employer from their salary according to the contribution rate. The amount of contribution  is calculated by applying a contribution rate of 4 percent to the employee gross remuneration.

 

The monthly amount deducted by the employer from his/her employees’ pay and the 6 percent of the employer contribution must be included in the Monthly Remuneration Statement submitted to the Social Security.
After submitting the remuneration statement, the employer must obtain the corresponding Payment Reference Document to pay the total contributions (10%, corresponding to 4% to the worker and 6% to the employer). 

 

The Payment Reference Document shows the amount to be paid to Social Security, including the amount of monthly contributions (corresponding to the statement of remuneration submitted) and any other amounts due (contributions for previous months, interest on arrears, fines, etc.).
 

Depending on how the Monthly Remuneration Statement was submitted, the monthly payment reference document can be obtained as follows:

  • Visit in person the Social Security offices in Dili, in the municipalities and in RAEOA.
  • By email 
  • Online, through the employer portal (under construction)

 

If the remuneration statement has been submitted through the online portal, the payment reference document is also obtained through the same portal, and it is the employer who has to request its issuance - portal under construction
 

Communicate Changes About The Employer Or Employees

Employers are obliged to communicate:

  • Registration of new workers
  • The suspension or cessation of employment contracts with employees
  • Suspension or cessation of the employer's activities

  • Change in employer’s details

     

 

Sanctions

There are three types of employer non-compliance:

  1. Failure to comply with the legal obligations of registration in the contributory regime (registration of the employer and its employees)
  2. Non-compliance with contributory obligations (completion and submission of the remuneration statement and payment of contributions).
  3. Failure to fulfil other legal obligations regarding the provision of other information.

 

In the event of any non-compliance, the employer is subject to administrative offences which may involve the payment of fines or other penalties.

 

The offences that employers incur are analysed on a case-by-case basis and depend on the following factors:

  • duration of the period of non-compliance
  • damage caused to third parties
  • fault (negligence or wilful misconduct)
  • reoffending

 

The amounts of administrative offences may vary according to the table below: 

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False statements always aggravate the fines imposed, as they are always considered serious or very serious administrative offences. 

The maximum and minimum limits of the fines are halved for employers with fewer than 10 employees.

There is a Social Security Debt when the employer has an outstanding amount to pay to Social Security relating to:

  • social contributions not paid within the legal deadline
  • fines and interest on late payments imposed


Social security debt can be paid by:

  • Regular collection: by direct payment (in one-off payment, or by instalments) or by offsetting against other amounts to which the debtor is entitled (offsetting done directly by the Social Security services).
  • Enforced collection: non-payment in the regular terms leads to enforced collection by the Social Security, which implies the application of interest on arrears at the rate of 1% and the application of fines.

 

Employers who have a social security debt cannot:

  • Entering into or renewing contracts with the State, including procurement contracts, public works contracts or service contracts - therefore, in order to apply for any public tender, it is mandatory to submit a statement proving the social security contribution situation.
  • Exploring the concession of public services
  • Launch public offers for the sale of its capital and, in public subscription, participation securities, bonds or shares
  • Benefit from support or subsidies from public authorities (with the exception of subsidies granted in the event of disasters).

 

Any public entity may only make payments or grant subsidies to Employers of an amount greater than USD 5,000, upon presentation of a Statement proving the contributory situation with Social Security.

Whenever there is a debt to the Social Security, even during the period in which the contract is in force, the public entity retains up to 25% of the amount of the subsidy/payment that it should make to the debtor employer, and delivers this amount to the Social Security, reducing the amount of the debt. 

 

Exceptions to this rule are subsidies granted by the State specifically to create or maintain jobs, as well as support in the event of natural disasters.

Statement of Contributory Situation

Statement of Contributory Situation

The Statement of Contributory Situation is the document issued by the National Institute of Social Security declaring the social security status.

The contribution situation is considered to be regularised when:

  • There are no debts for contributions, interest on arrears and other amounts owed by the taxpayer to social security 
  • If there are debts but payment in instalments has been authorised, and as long as the conditions of the authorisation are being met;
  • If a debt exists, the contributor has claimed, appealed, opposed or challenged the debt in court, provided that a guarantee has been provided for this purpose.

 

The Statement of Contributory Situation is valid for 4 months.

The employer can request, at any time, the statement proving the contributory situation in person at a Social Security service centre, or by email to seguranca.socialtl@gmail.com.