THE INFLUENCE OF THE REDUCTION OF THE EMPLOYERS’ SOCIAL INSURANCE STATE CONTRIBUTIONS ON THE STAFF EXPENSES. CASE STUDY FOR PUBLIC INSTITUTIONS OF LOWER SECONDARY EDUCATION

Nicoleta Cristina Matei () and Mariana Gurau ()
Additional contact information
Nicoleta Cristina Matei: Institute for World Economy Department New Drivers of Economic Development, Bucharest, Romania
Mariana Gurau: Institute for World Economy Department New Drivers of Economic Development, Bucharest, Romania

Global Economic Observer, 2014, vol. 2, issue 2, 113-120

Abstract: Public institutions of lower secondary education are financed mainly from the public resources allocated from the local budget. Expenditures incurred from these resources have a maximum limit and a destination set out in the budget of each educational unit. The revenue and expenditure budget or only the expenditure budget of a lower secondary education institution provides for the maximum amounts to be used for the expenses made throughout a budgetary exercise. Therefore, reducing the share of social security contributions from your employer by five percentage points would affect the budget of such institutions as it would lead to a modification of the social insurance contributions expenses. In this paper we have described the structure of the current expenditure of a lower secondary education institution, especially with regard to staff expenses, because they hold the largest share in the total expenditure constantly incurred by the units concerned and are affected by the social security rate change. We have also presented the theoretical aspects related to the staff expenses, the budgetary execution phases that staff expenses must cover, the accounting treatment of costs of employers' social insurance contributions, the recognition of employers’ expenses for the social insurance State contributions in the bookkeeping of lower secondary education institutions, as well as the influence of changes in rates of the social security State contributions from the employer on the staff expenditure of the institutions mentioned.

Keywords: staff expenditure; social insurance contributions; the revenue and expenditure budget; the local budget; lower secondary education institutions. (search for similar items in EconPapers)
Date: 2014-11
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.globeco.ro/wp-content/uploads/vol/split ... vol2_no2_art_014.pdf First version, 2014 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ntu:ntugeo:vol2-iss2-14-0113

Access Statistics for this article

Global Economic Observer is currently edited by Serghei Margulescu and Simona Moagar-Poladian

More articles in Global Economic Observer from "Nicolae Titulescu" University of Bucharest, Faculty of Economic Sciences Contact information at EDIRC., Institute for World Economy of the Romanian Academy
Bibliographic data for series maintained by Stefan Ciucu ( this e-mail address is bad, please contact ).