How to Hire an Employee Through a Sole Proprietorship in Poland in 2026 — Step by Step

Hiring your first employee turns a sole proprietorship into a payer of contributions and PIT advances. You need to prepare a contract, medical examinations, occupational health and safety training, ZUS registration, personnel records and timely payrolls.

1. Determine the employment terms

Before allowing the employee to start work, determine at least:

• the type of contract and position,
• working hours,
• gross salary and additional components,
• place of work,
• start date,
• scope of duties.

Under an employment contract, full-time remuneration cannot be lower than the minimum wage applicable in the relevant period.

2. Medical examinations and occupational health and safety

As a rule, before being allowed to work, an employee must:

• receive a referral and undergo the required preventive medical examinations,
• complete initial occupational health and safety training,
• become familiar with occupational risks and working rules.

Exceptions to repeat initial examinations are subject to statutory conditions. They should not be assumed to apply automatically.

3. Contract and information on employment terms

An employment contract is concluded in writing. If it has not been concluded in writing, before allowing the employee to work the employer must confirm in writing the arrangements concerning the parties, type of contract and terms.

The employee also receives information on the employment terms within the deadline set by the Labour Code.

4. Registration with ZUS

An employee is most commonly registered using the ZUS ZUA form within 7 days of the insurance obligation arising.

Each month, the payer reports the employee's settlement in ZUS RCA and summarizes the contributions in ZUS DRA. The ZUS RZA form is not a current form used instead of RCA.

As a rule, the business owner pays contributions and submits documents by the 20th day of the following month.

5. PIT-2 and the PIT advance

An employee may submit PIT-2 and other declarations that affect the monthly advance. The tax-reducing amount applied by the payer depends on the employee's declarations and may be split between payers.

The absence of PIT-2 does not release the employer from calculating the advance under the applicable rules.

6. PPK

PPK is not a scheme exclusively for businesses employing more than 20 people. The obligations depend on the status of the entity and the people employed, while a microbusiness may use the statutory exception if everyone submits an opt-out declaration.

The basic contributions are:

• 2% of remuneration on the participant's side,
• 1,5% of remuneration on the employing entity's side.

The state provides a welcome contribution of 250 zł and an annual contribution of 240 zł if the conditions are met. They should not be combined into a single “one-off contribution of 240 zł.”

PPK may also cover certain contractors who are compulsorily covered by pension and disability insurance.

7. Employer cost

The total employment cost is gross salary plus contributions and payments financed by the employer, including:

• pension insurance at 9,76%,
• disability insurance at 6,5%,
• accident insurance at the applicable rate,
• the Labour Fund at 2,45%, if due,
• FGŚP at 0,10%, if due,
• PPK at 1,5%, if the employee participates.

Contributions withheld from the employee's gross salary — including the health contribution — are not an additional cost on top of gross salary.

8. Payment of salary

The Labour Code provides for payment to the designated payment account unless the employee requests payment in cash. The regulations do not require the employer to have a banking product called a “business account” solely in order to pay a salary.

Correct payment records must nevertheless be maintained, and the bank's terms must be observed.

9. Records and reporting

The employer maintains, among other things:

• personnel files,
• working-time records,
• payrolls,
• leave and absence records,
• occupational health and safety and medical examination records,
• ZUS and PIT information.

After the end of the year, the employer prepares the appropriate tax information, including PIT-11, by the statutory deadlines.

Most common mistakes

1. Allowing an employee to work without medical examinations or occupational health and safety training.
2. Registering the employee after the deadline.
3. Submitting RZA instead of the monthly RCA.
4. Assuming that the employer's basic PPK contribution is 2%.
5. Omitting PPK because fewer than 20 people are employed.
6. Adding the employee's health contribution a second time on top of gross salary.
7. Assuming that a salary may only be paid from a business account.

Sources

• Social Insurance System Act — ELI
• PPK Act — ELI
• Labour Code — ELI

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This material is general in nature. The obligations depend on the type of contract, the employee's status and the employer's profile.