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CONTRIBUTION CATEGORIES AND DISABILITY CONTRIBUTIONS

Advance contributions by large businesses are calculated based on the contribution category of each company. In 2012, the basic tariff for disability contributions is 1.0% of salaries.

The base category contribution 4 is equivalent to the average disability expenditure. The company’s contribution category and contribution are lower when fewer of its employees have retired due to disability.

Contribution Categories and Disability Contribution Percentages in 2012

Contribution Category

Category Ratio

Contribution

Disability contribution in 20121

 

Two-Year Average Risk Ratio

Category Ratio               

Average % of Salary    

11

Over 5

5.5

5.5

10

4.00–4.99

4.5

4.5

9

3.00–3.99

3.5

3.5

8

2.50–2.99

2.75

2.75

7

2.00–2.49

2.25

2.25

6

1.50–1.99

1.75

1.75

5

1.20–1.49

1.35

1.35

4 Base Category

0.80–1.19

1

1.0

3

0.50–0.79

0.65

0.65

2

0.20–0.49

0.35

0.35

1

less than 0.2

0.1

0.1