On our final article of our Caja series, we want to explain the process to understand how the Caja fee is calculated.
In our previous articles we wanted to share what is the Caja system and the way it operates. However, one of the main questions that always comes to mind is how much a resident will be required to pay every month for the Caja services.
On this article, we will review the composition of the Caja fee on this will apply to the residents in different scenarios:
1. Residency category: each residency category has different requirements, considering this, the way the fee is calculated will be based on the monthly income reported to the Caja. This will vary between categories, foe example, a Pensionado resident must report as the monthly income, the pension amount indicated on the pension letter that was submitted to the Immigration Department. Same principle applies to the rest of the residency categories.
2. Government contribution: Caja being a Social Security program, is composed of two fundamental pillars:
- SEM: as we mentioned on our previous article, the SEM contribution corresponds to the general health insurance. The contribution is based on a percentage of the applicant´s income. The percentages are defined by the Board of Directors of Caja, and it is published the official website.
The current contributions rate will be valid until 2025.
The SEM rate can go from a 2,89% to a 10,69% of the monthly income. - IVM: corresponding to the Pension system, the contribution to the IVM will also depend on the applicant´s monthly income. From a 3.83% to an 8,09% of the monthly income.
The contribution will be stable and will not increase until 2025. - 3. Monthly contribution: to calculate the contribution, it is necessary to consider two main aspects:
- The Caja system will determinate the monthly contribution a person must pay based on the monthly income. The calculation will be made on the estimation of the income on colones; therefore, it is necessary to do a conversion based on the official exchange rate established by the Central Bank of Costa Rica.
- Percentage contribution: based on the agreement submitted by the Directors Board of the Caja of December 2019, the rate will go as follows (current rate contributions are valid until December 2025):
i. SEM contribution:
Source: Caja Costarricense del Seguro Social: https://www.ccss.sa.cr/preguntas-frecuentes
ii. IVM contribution:
Source: Caja Costarricense del Seguro Social: https://www.ccss.sa.cr/preguntas-frecuentes
How to calculate the monthly fee:
We will be reviewing three possible scenarios to understand the process of calculating the monthly fee (Pensionados, Rentistas and Investors):
Example 1: Pensionado residency
A resident that receives a monthly, lifetime pension of $1,500. To calculate the fee, please follow the steps below:
Step 1: Calculate the total income in colones:
Step 2: Calculate the SEM and IVM contributions:
Step 3: Add the SEM and IVM contributions to obtain the approximate Caja fee:
Example 2: Rentista Residency
A Rentista resident that receives a monthly income of $2,500. To calculate the fee, please follow the steps below:
Step 1: Calculate the total income in colones.
Step 2: Calculate the SEM and IVM contributions:
Step 3: Add the SEM and IVM contributions to obtain the approximate Caja fee:
Example 3: Investor residency
An investor resident that receives a monthly income of $1,000. For residents under the investor category, it is required to procure an Income Certification by a Certified Public Accountant in Costa Rica.
Step 1: Calculate the total income in colones:
Step 2: Calculate the SEM and IVM contributions:
Step 3: Add the SEM and IVM contributions to obtain the approximate Caja fee:
It is important to keep in mind that Caja is an all-inclusive insurance as well, all the fees that are mentioned above, apply per family, meaning, that it is possible to include under 1 individual insurance to dependent spouses and children. The number of applicants on a residency, does not affect the Caja monthly contribution.
In addition, please bear in mind that the monthly contribution is different and will vary considering each person´s individual situation.
Our Immigration Team at Zurcher, Odio & Raven is here to assist you with this and any other stage of the process. If you have questions or doubts, feel free to reach us to: This email address is being protected from spambots. You need JavaScript enabled to view it.
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