16.04.2025
UNEMPLOYMENT BENEFIT - HOW ITS AMOUNT IS DETERMINED AND UNDER WHAT CIRCUMSTANCES IS IT STOPPED
Cash benefits for unemployment are a short-term payment from the "Unemployment" fund of the state social insurance, which replaces for a certain period of time part of the lost income from employment of the person concerned.
For the time during which they receive cash compensation for unemployment, the persons are health insured at the expense of the state budget, explains the National Insurance Institute.
Who is entitled to unemployment benefits?
Persons for whom insurance contributions have been paid or are due in the "Unemployment" fund for at least 12 months in the last 18 months before termination of insurance and who:
- are registered as unemployed at the Employment Agency;
- they have not acquired the right to a pension for insurance service and age in the Republic of Bulgaria or an old-age pension in another country or do not receive a pension for insurance service and age in a reduced amount or an occupational pension;
- do not exercise labor activity for which they are subject to mandatory insurance under the Social Insurance Code or the legislation of another country, with the exception of persons who have entered into an employment contract for short-term seasonal agricultural work for one day.
Amount of cash compensation for unemployment
The daily cash compensation for unemployment is in the amount of 60 percent of the average daily remuneration or the average daily insurance income, on which insurance contributions for the "Unemployment" fund have been paid or are due for the last 24 calendar months.
At the same time, it cannot be less than the minimum and greater than the maximum daily amount of the unemployment benefit determined by the Law on the State Social Security Budget for each calendar year.
The minimum and maximum daily amount of the unemployment benefit is determined annually by the Law on the State Social Security Budget. The monthly amount of cash compensation for unemployment is determined by multiplying the received daily amount by the number of working days in the month to which it refers.
When does the benefit stop?
The payment of unemployment compensation is suspended in the event of the following circumstances:
- Receiving compensation for temporary incapacity after termination of insurance - for the period for which the compensation is paid.
- Payment of compensation for remaining without work on the basis of a normative act - for the period for which the compensation is paid.
- Collection of evidence of social security experience and/or social security income, acquired in application of the provisions of an international treaty to which Bulgaria is a party or of the European regulations for the coordination of social security systems.
- Carrying out an inspection by a control authority or other competent authority regarding circumstances relevant to the right or the amount of the compensation; in this case, the suspension is until the inspection is completed, but for no more than 6 months.
Payment of the unemployment benefit resumes from the day the grounds for suspension cease to exist for the remaining period as of the date of suspension.
Payment of cash unemployment compensation is terminated when:
- Starting work for which the person is subject to compulsory insurance under the Social Insurance Code or the legislation of another country
- Termination of registration by the Employment Agency
- Acquiring the right to a pension for insurance service and age in the Republic of Bulgaria or an old-age pension in another country, or when granting a pension for insurance service and age in a reduced amount according to Art. 68a of the Social Insurance Code or of an occupational pension under Art. 168 of the Social Security Code
- Death of the unemployed.
The person is obliged to declare to the relevant territorial division of the National Social Security Institute the occurrence and disappearance of the specified circumstances (with the exception of the last) within 7 working days by submitting a sample application.
