{"id":1096,"date":"2024-08-26T00:00:00","date_gmt":"2024-08-26T00:00:00","guid":{"rendered":"https:\/\/www.biuroprecyzja.pl\/en\/przeniesienie-obowiazku-odprowadzania-skladek-zus-na-pracownika-co-musisz-wiedziec\/"},"modified":"2026-03-27T08:58:18","modified_gmt":"2026-03-27T08:58:18","slug":"employment-in-poland-without-company-direct-eor","status":"publish","type":"post","link":"https:\/\/www.biuroprecyzja.pl\/en\/employment-in-poland-without-company-direct-eor\/","title":{"rendered":"Employment in Poland Without a Company: Direct EOR and ZUS Payer Transfer \u2013 Complete Guide 2026"},"content":{"rendered":"\n
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Employment in Poland without a company – in brief<\/h3>\n\n\n\n

For whom?<\/strong> For professionals working remotely from Poland for foreign companies (mainly from EU\/EEA) who want to have a Polish employment contract without establishing a sole proprietorship (JDG)<\/a>.<\/p>\n\n\n\n

Legal basis:<\/strong> Art. 21 para. 2 of EU Regulation 987\/2009. For non-EU companies (e.g., from the USA), the mechanism is based on bilateral social security agreements and Polish Art. 17 para. 1 of the Social Insurance System Act.<\/p>\n\n\n\n

Who pays ZUS and PIT?<\/strong> Technically, the employee (or the accounting office on their behalf) makes the transfers, but the entire amount (called gross-gross) is provided by the foreign employer.<\/p>\n\n\n\n

What to watch out for?<\/strong> Sales positions (negotiating and concluding contracts) can generate a so-called permanent establishment (PE) for a foreign company – which means a CIT obligation in Poland.<\/p>\n\n\n\n

How much does it cost?<\/strong> Service by a local accounting office is a fraction of the cost of global EOR platforms (400-700 USD\/month). Check our offer \u2192<\/a><\/p>\n<\/div><\/div>\n\n\n\n

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PART I: For You, Employee – Your story begins here<\/h2>\n\n\n\n

Imagine such a situation<\/h3>\n\n\n\n

It’s Monday morning. Marta, a programmer from Krakow, opens her laptop and logs into Slack. Her team lead writes from Berlin, a UX designer joins from Lisbon, and the CTO connects from an office in Munich. Marta works for a German tech company – but she has never left Poland. She has no business activity. She is not a “contractor”. On her desk lies an employment contract – a real, full-fledged Polish employment contract, with vacation, sick leave, pension, and all the rights provided by the Polish Labour Code.<\/p>\n\n\n\n

Sounds like fantasy? A few years ago, most people would have said something like this was impossible. Or that it requires setting up a company. Or that it is “on the edge of legality”. None of these beliefs is true.<\/p>\n\n\n\n

Marta uses a mechanism that in the industry is called Direct EOR<\/strong> – based on a European regulation that has existed since 2009 and is just as legal as anything you’ll find in the Polish Labour Code. Employment in Poland without a company<\/strong> is not a slogan – it’s a real legal path used by hundreds of professionals. And all the administrative burden for Marta is carried by Biuro Rachunkowe Precyzja<\/strong>.<\/p>\n\n\n\n

But step by step.<\/p>\n\n\n\n

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Where does such an idea come from? Three paths – and only one really good<\/h3>\n\n\n\n

When a foreign company wants to hire you, it basically has three options. Let’s look at each of them through the eyes of Tomek – an experienced DevOps engineer from Wroc\u0142aw who just received an offer from a tech company in Berlin.<\/p>\n\n\n\n

First path: B2B contract<\/h4>\n\n\n\n

The recruiter writes: “Set up a business, invoice us every month, and we’ll transfer the money to you.” Sounds simple? On paper, yes. In reality, Tomek would have to register a sole proprietorship (JDG), independently pay ZUS and taxes, maintain accounting, and above all – accept the fact that he has no vacation, sick leave, protection against dismissal, or any employee rights. He is a “company”, not a person.<\/p>\n\n\n\n

What’s worse, if Tomek works every day from 9 to 5, under the supervision of a manager from Berlin, in a system that the company has assigned to him – the Polish Labour Code says clearly: this is not a business cooperation. This is a hidden employment relationship. According to Art. 22 of the Labour Code, the State Labour Inspection can challenge such a contract, and the consequences – overdue ZUS contributions, interest, fines – will fall on both parties.<\/p>\n\n\n\n

Tomek, who has a family and a mortgage, is looking for something more stable.<\/p>\n\n\n\n

Second path: classic Employer of Record (intermediary)<\/h4>\n\n\n\n

The Berlin company turns to a global EOR platform – one of those that advertises with the motto “Hire anywhere in the world in 24 hours”. The platform has its own company in Poland and it formally employs Tomek. It signs an employment contract with him, pays contributions, and handles everything.<\/p>\n\n\n\n

Problem? Tomek doesn’t work for<\/em> that platform. He works for a company in Berlin, but his contract bears the name of an entity he’s never heard of before. He doesn’t feel part of the team. He can’t get stock options (because technically he’s not an employee of the Berlin startup). And the costs? The platform takes $400 to $700 per month – just for the fact of intermediation. In addition, there are hidden fees for currency conversion, deposits, and setup commissions. That’s over $10,000 a year that doesn’t go to Tomek or product development.<\/p>\n\n\n\n

Third path: Direct EOR – employment in Poland without a company, without intermediaries<\/h4>\n\n\n\n

And here begins the most interesting part. The Berlin company signs an employment contract directly with Tomek. It does not establish a company in Poland. It does not use any intermediary platform. Tomek has a full-fledged employment contract – with vacation, sick leave, pension, and Labour Code protection. His contract bears the name of the company he truly works for.<\/p>\n\n\n\n

How is this possible? Thanks to Art. 21 para. 2 of the Regulation of the European Parliament and of the Council (EC) No 987\/2009<\/a><\/strong>. This regulation states clearly: if an employer from the European Union has no registered office in the country where the employee is insured, the employee can take on themselves the technical obligation of paying ZUS contributions – based on a written agreement with the employer. You can read more about how this mechanism works in practice in our article: Work for a foreign company without a branch: comparison of B2B, EOR, and Art. 21 employment contract<\/a>.<\/p>\n\n\n\n

The key word here is: technical<\/strong>. This does not mean that Tomek pays for everything out of his own pocket. The company transfers him the full amount – the so-called “gross-gross” salary – which includes his net pay, all social security contributions (both the “employee” and “employer” portions), health insurance, and income tax advance. And Tomek (or rather – the accounting office acting on his behalf) distributes this money and sends it to the right places: to ZUS and to the tax office.<\/p>\n\n\n\n

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Important information: this regulation applies to EU companies<\/h3>\n\n\n\n

We need to say this plainly, because there is a lot of misinformation on the internet. Art. 21 para. 2 of Regulation 987\/2009 applies exclusively to employers from EU member states, the European Economic Area (EEA), and Switzerland.<\/strong> The entire system of Regulations 883\/2004 and 987\/2009 is an architecture for coordinating social security between<\/em> member states – it does not cover companies from the USA, Canada, or Australia.<\/p>\n\n\n\n

What does this mean for you if you received an offer from a company in San Francisco or Toronto? The mechanism is different, but the goal is the same. Poland has signed bilateral social security agreements<\/a> (called Totalization Agreements) with, among others, the United States (since March 2009), Canada (since October 2009), and Australia (since October 2010). Under these agreements, if you work remotely from Poland, you are subject to the Polish ZUS system. The assumption of payer obligations then takes place not on the basis of a European regulation, but on the basis of Art. 17 para. 1 of the Polish Social Insurance System Act<\/strong> – when the employer has no registered office or representation in Poland.<\/p>\n\n\n\n

The final result is very similar: the company transfers you gross-gross, you (or rather your accounting office) pay contributions and advances. But the legal basis is different and requires a slightly different formal approach. This is exactly why it is so important for the entire process to be conducted from the beginning by someone who understands these nuances – for example, Biuro Rachunkowe Precyzja<\/strong>.<\/p>\n\n\n\n

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But wait – I’m a programmer, not an accountant!<\/h3>\n\n\n\n

And here we come to the heart of the matter. Because while employment in Poland without a company<\/strong> is a brilliant legal solution, in practice it generates an avalanche of administrative obligations that fall on the employee’s head.<\/p>\n\n\n\n

Let’s go back to Marta’s story. When her German company first transferred her salary in euros, Marta faced a task that made her dizzy. She had to convert the received euros to zlotys – but not at her bank’s rate, but at the average exchange rate of the Polish National Bank from the last working day preceding<\/em> the day of transfer. Then, from that amount, she had to calculate and separate pension insurance contributions (9.76% on the employee side plus 9.76% on the employer side), disability insurance (1.5% + 6.5%), sick leave (2.45%), workplace accident insurance (1.67%), Labour Fund (2.45%), Guaranteed Employee Benefits Fund (0.10%), and health insurance contribution (9% of the base reduced by social security contributions). Then she had to calculate the tax advance, remembering the tax-free amount (PLN 300 per month), and check whether she had already exceeded the PLN 120,000 annual income threshold, above which the tax rate jumps from 12% to 32%.<\/p>\n\n\n\n

She had to do all this by the 15th of the month (transfers to ZUS) and by the 20th of the month (PIT advance). Every month. Without a mistake. Because one wrong transfer, one poorly filled ZUS DRA declaration – and a bureaucratic merry-go-round begins: requests, corrections, interest, fines.<\/p>\n\n\n\n

Marta is a great programmer. But she is not an accountant. And she doesn’t intend to become one.<\/p>\n\n\n\n

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Biuro Rachunkowe Precyzja – Your peaceful sleep<\/h3>\n\n\n\n

This is exactly why Marta called us – Biuro Rachunkowe Precyzja<\/strong>. And since then, the only thing she needs to remember regarding her finances is to check whether the transfer from Germany has arrived in her account.<\/p>\n\n\n\n

What do we do? Everything else.<\/p>\n\n\n\n

We take on all the administrative burden of the Direct EOR model. We calculate ZUS contributions down to the penny. We prepare and send monthly declarations. We calculate PIT advances, keeping track of NBP exchange rates, tax thresholds, and deadlines. At the end of the year, we prepare the PIT-36 annual return. Details of our payroll and HR service can be found here<\/a>.<\/p>\n\n\n\n

And equally important – from the very beginning we correctly identify which country the employer is from and which legal basis applies. Because as you already know, Art. 21 is not the only path. For a company from Germany or the Netherlands, we use the EU Regulation. For a company from the USA – we use the Polish-American social security agreement and Polish domestic regulations. Each case requires a different approach, and an error in choosing the legal basis can mean serious consequences.<\/p>\n\n\n\n

Marta works. We calculate. The Tax Office and ZUS receive everything on time, in the correct amount, in the correct form. No stress, no surprises, no requests.<\/p>\n\n\n\n

And what is the cost of our service? It’s a fraction of what a global EOR platform would cost. A fraction – with incomparably better quality and personalized approach.<\/p>\n\n\n\n

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Want to work for a foreign company without setting up a sole proprietorship (JDG)?<\/h4>\n

\n We’ll help you navigate the formalities and take off your shoulders the monthly burden of calculating ZUS and PIT and monitoring exchange rates. We’ve been doing this for years \u2013 you know what to expect.\n <\/p>\n


\n Check our ZUS Payer Transfer service
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What you gain – simply and concretely<\/h3>\n\n\n\n

Imagine Kuba, a data analyst from Gda\u0144sk, who received an offer from a Dutch consulting company. Kuba considered B2B, but was afraid of instability. He also considered classic EOR, but didn’t want to sign a contract with a company he’d never heard of. He chose employment in Poland without a company<\/strong> in the Direct EOR model with Precyzja support.<\/p>\n\n\n\n

Today, Kuba has an employment contract directly with the Dutch company he actually works for. He has 26 days of vacation, paid sick leave, pension contributions building his future retirement, health insurance, and Labour Code protection against unjustified dismissal. He also got stock options for the company – something that would be impossible if he were formally employed by an EOR intermediary. He feels part of the team because he is part of it – also on paper.<\/p>\n\n\n\n

And when his child was born last year, he took paternity leave – to which he was entitled under Polish labour law – without any complications. Because Precyzja made sure that all the formalities were taken care of down to the last detail.<\/p>\n\n\n\n

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Warning: not every role is suitable for this model<\/h3>\n\n\n\n

We need to address one more topic that few people talk about – but which is absolutely crucial for your safety and the safety of your employer.<\/p>\n\n\n\n

Meet Agnieszka. Agnieszka is an excellent sales specialist. She received an offer from a Swedish SaaS company – she was to be responsible for acquiring clients in Central and Eastern Europe, negotiating contract terms, and closing deals. The company wanted to hire her under the Direct EOR model, without establishing a company in Poland.<\/p>\n\n\n\n

And here a problem arose that the Stockholm company was unaware of: employing a person in Poland who negotiates and concludes contracts on behalf of a foreign company can create a so-called permanent establishment (PE)<\/strong>. And that changes absolutely everything.<\/p>\n\n\n\n

What is a permanent establishment? In simple terms: if the Polish tax authorities determine that a foreign company is conducting economic activity in Poland through its employee – because that employee negotiates contracts, acquires clients, closes transactions – then the company becomes obligated to pay corporate income tax (CIT) in Poland. In addition, there are reporting obligations, transfer pricing documentation, and the risk of severe penalties.<\/p>\n\n\n\n

What does this mean in practice? The Direct EOR model works excellently for programmers, analysts, engineers, designers, HR specialists, administrators – that is, people who perform internal work that does not directly generate revenue on the Polish market. However, for sales positions where the employee negotiates contract terms or has the authority to conclude them, the risk of creating a permanent establishment is real and must be carefully managed<\/strong>.<\/p>\n\n\n\n

Agnieszka ultimately took the job, but after consulting with Precyzja, her scope of duties was precisely described in the employment contract: she was exclusively responsible for market research, lead generation, and passing contacts to the headquarters in Stockholm, which independently finalized all transactions. This is a crucial distinction – between an advisory\/support role (low PE risk) and a decision-making role in the sales process (high PE risk).<\/p>\n\n\n\n

Precyzja helped both Agnieszka and her employer to properly define the scope of the position and protect both parties from unwanted tax consequences. This is yet another reason why professional support is not optional here – it is essential.<\/p>\n\n\n\n

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Honest about the drawbacks – because every solution has them<\/h3>\n\n\n\n

We would be dishonest if we claimed that the Direct EOR model is perfect. It has three significant limitations you should know about:<\/p>\n\n\n\n

First<\/strong>, in theory it is you, the employee, who takes on the obligation of being the “contribution payer”. It is your name that appears on the ZUS DRA declarations. It is you who is responsible before the tax office for timely PIT advance payments. If you had to do this yourself – it would be overwhelming. But when you hand these obligations over to the professionals at Precyzja, your role comes down to signing a power of attorney. We take over the technical side of being the payer. Learn more about how the transfer of ZUS contribution obligations to the employee works<\/a>.<\/p>\n\n\n\n

Second<\/strong>, the mechanism based directly on Art. 21 of the EU Regulation works exclusively for employers from the EU, EEA, and Switzerland. For companies from the USA, Canada, or other non-EU countries, alternative legal bases exist – but they require a different procedural approach. This is not an insurmountable obstacle, but it requires specialized knowledge that most employees (and foreign HR departments) simply do not have.<\/p>\n\n\n\n

Third<\/strong>, employment in Poland without a company<\/strong> is not suitable for every position. If your role involves negotiating and concluding commercial contracts on behalf of a foreign company, there is a risk of creating a permanent establishment in Poland – which generates serious tax obligations on the employer’s side. This does not mean you cannot work in the Direct EOR model in a sales-related position – but it requires careful design of the scope of duties.<\/p>\n\n\n\n

And here the fundamental paradox reveals itself again: each of these drawbacks is manageable, as long as you have a professional by your side from the very beginning<\/strong>. This is exactly why working with Biuro Rachunkowe Precyzja is not a luxury – it is a safeguard.<\/p>\n\n\n\n

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PART II: For the Foreign Employer – Legal Framework, Territorial Scope, and Permanent Establishment Risk<\/h2>\n\n\n\n

The Challenge: employment in Poland without entity registration<\/h3>\n\n\n\n

You’ve identified an exceptional Polish engineer, project manager, or data analyst. He or she lives in Warsaw, Krakow, or Wroc\u0142aw and wants to work for your company – remotely, from Polish territory. There’s just one problem: you don’t have a registered company, branch, subsidiary, or any local legal representation in Poland.<\/p>\n\n\n\n

The traditional approach – registering a Polish limited liability company (Sp. z o.o.) – involves initial costs on the order of $15,000\u201320,000, and the annual maintenance costs of such a structure (corporate administration, statutory audits, accounting compliance, and the requirement to appoint local management) can exceed $40,000. For hiring one or two people, this is economically irrational.<\/p>\n\n\n\n

Global EOR platforms eliminate the incorporation requirement, but introduce a different kind of burden: monthly fees of $400 to $700 per employee, hidden currency conversion margins (2\u201310%), setup fees, security deposits equivalent to 1\u20133 months of salary, and an intermediary layer that disconnects your employee from your organization.<\/p>\n\n\n\n

There is a third path – employment in Poland without a company<\/strong> in the Direct EOR model. But before we explain its mechanics, we need to precisely define its legal framework, territorial limitations, and one serious tax risk that many payroll service providers ignore.<\/p>\n\n\n\n

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Fundament prawny: Art. 21 ust. 2 Rozporz\u0105dzenia UE nr 987\/2009 – i jego zakres terytorialny<\/h3>\n\n\n\n

Regulation (EC) No 987\/2009 of the European Parliament and of the Council<\/a> of 16 September 2009 lays down detailed rules for the implementation of Regulation (EC) No 883\/2004<\/a> on the coordination of social security systems. Article 21(2) of this act states that where the employer has its registered office or place of business outside the territory of the member state whose legislation applies to the employee, the employer and the employee may agree that the employee shall take on the employer’s obligations regarding the payment of social security contributions on behalf of the employer.<\/p>\n\n\n\n

To nie jest luka prawna ani szara strefa. To mechanizm celowo zaprojektowany przez europejskiego ustawodawc\u0119 w celu u\u0142atwienia swobodnego przep\u0142ywu os\u00f3b i us\u0142ug.<\/p>\n\n\n\n

However – and this is a crucial caveat – this provision applies exclusively to employers from EU, EEA, and Swiss member states.<\/strong> Regulations 883\/2004 and 987\/2009 create a system of social security coordination between<\/em> member states. Their entire legal architecture was built on the principle of free movement of workers and services within the EU Single Market. A company from the United States, Canada, or Australia does not fall within the scope of these regulations – regardless of whether their employee has the right to work in Poland.<\/p>\n\n\n\n

Regulation 1231\/2010 did extend the personal scope of Regulations 883\/2004 and 987\/2009 to third-country nationals, but only in situations involving two or more member states<\/strong> – not in a scenario where a non-EU employer hires an employee working exclusively on Polish territory.<\/p>\n\n\n\n

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What about companies from outside the European Union?<\/h3>\n\n\n\n

If your company is based in the United States, Canada, Australia, or another non-EU\/EEA country, Art. 21 of Regulation 987\/2009 does not apply<\/strong>. However, this does not mean that employment in Poland without a company<\/strong> is impossible. There are alternative legal paths (we also write about remote work for a foreign company in the article: Remote work abroad and ZUS changes<\/a>):<\/p>\n\n\n\n

Bilateral social security agreements (Totalization Agreements).<\/strong> Poland is a signatory to agreements with many non-EU countries, including with the United States<\/a> (since March 1, 2009), Canada (since October 1, 2009), Australia (since October 1, 2010), South Korea, Ukraine, Israel, Turkey, and others (full list of agreements on the Ministry of Family website<\/a>). These agreements implement the lex loci laboris<\/em> principle: work performed in the territory of Poland is subject to Polish legislation in the field of social insurance. However, they do not contain a mechanism identical to Art. 21 – the assumption of payer obligations takes place on the basis of Polish domestic law.<\/p>\n\n\n\n

Polish domestic law – Art. 17 para. 1 of the Social Insurance System Act.<\/strong> When an employer has no registered office or representation in Poland, the employee can assume payer obligations. Functionally, this is a mechanism similar to Art. 21, but based on a narrower, domestic legal basis. The employee registers with ZUS using code 01 25 and submits ZUS DRA declarations in the 40\u201349 series.<\/p>\n\n\n\n

Direct registration of a foreign employer with ZUS.<\/strong> Regardless of the country of origin, any foreign employer can obtain a NIP (Tax Identification Number), register with ZUS (Branch I in Warsaw – Customer Service Centre), and independently pay contributions. The process usually takes 2\u20133 weeks.<\/p>\n\n\n\n

Employer’s seat<\/th>Legal framework<\/th>Art. 21 available?<\/th>Mechanism for assuming obligations<\/th><\/tr><\/thead>
EU\/EEA Member State<\/td>Reg. 883\/2004 + 987\/2009<\/td>Tak<\/strong><\/td>Art. 21 para. 2 Reg. 987\/2009<\/td><\/tr>
Szwajcaria<\/td>Bilateral coordination with EU<\/td>Tak<\/strong><\/td>Art. 21 para. 2 Reg. 987\/2009<\/td><\/tr>
USA, Canada, Australia, etc.<\/td>Bilateral social security agreement<\/td>Nie<\/strong><\/td>Art. 17 para. 1 of the Social Insurance System Act<\/td><\/tr>
Kraj bez umowy dwustronnej<\/td>Polish law only<\/td>Nie<\/strong><\/td>Art. 17 para. 1; risk of double contributions<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Practical conclusion:<\/strong> choosing the correct legal basis is a prerequisite for proper implementation. An error at this stage – for example, invoking Art. 21 by a US employer – can result in ZUS questioning the entire structure. Biuro Rachunkowe Precyzja conducts this qualification at the pre-implementation stage, eliminating systemic risk at the source.<\/p>\n\n\n\n

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Critical caveat: permanent establishment (PE) risk in sales positions<\/h3>\n\n\n\n

This is an issue that many EOR and payroll service providers ignore – but which can turn seemingly simple employment in Poland without a company<\/strong> into a serious tax problem.<\/p>\n\n\n\n

What is a permanent establishment?<\/h4>\n\n\n\n

In accordance with Art. 4a point 11 lit. c) of the CIT Act<\/strong> and Art. 5 of the OECD Model Convention<\/strong> (as well as the relevant provisions of bilateral double taxation avoidance agreements), a permanent establishment (PE) of a foreign enterprise in Poland may arise, among other cases, when a person acting on behalf of and for the benefit of that enterprise habitually exercises authority to conclude contracts on the territory of the Republic of Poland.<\/p>\n\n\n\n

Following the changes introduced under BEPS (Base Erosion and Profit Shifting) Action 7, the OECD Model Convention updated in 2017 significantly expanded this definition. A permanent establishment can also arise when a person habitually plays a key role leading to the conclusion of contracts<\/strong>, which are then routinely approved by headquarters without substantial modifications. In other words: formal authority to sign contracts is no longer required – actual commercial influence is sufficient.<\/p>\n\n\n\n

Position of Polish tax authorities vs. case law<\/h4>\n\n\n\n

In 2024\u20132025, a clear divergence crystallized between the position of the National Tax Information (KIS) and the case law of the Supreme Administrative Court (NSA):<\/p>\n\n\n\n

KIS interprets PE provisions aggressively.<\/strong> In a ruling of 30 January 2025 (ref. 0114-KDIP2-1.4010.646.2024.2.MW), KIS determined that a person without a formal civil law power of attorney, but with the authority to negotiate “all elements” of a contract, creates a permanent establishment. In an even more far-reaching ruling of 6 May 2025 (ref. 0114-KDIP2-1.4010.86.2025.2.MW), KIS found a PE to exist based solely on the fact that a remote employee of a German company performed work from home in Poland – even without any authority to represent the company vis-\u00e0-vis clients.<\/p>\n\n\n\n

The Supreme Court of Poland (NSA) takes a position more favorable to taxpayers.<\/strong> In four rulings from February\u2013October 2025, the NSA consistently ruled in favor of foreign companies: the ruling II FSK 610\/22 of February 13, 2025 found no PE on the part of a sales manager without authority to conclude contracts. The ruling II FSK 609\/22 of February 19, 2025 excluded the possibility that an employee’s home office constitutes a “fixed place of business” – the employer must have the right to control and dispose of the workplace. The rulings II FSK 88\/23 and II FSK 163\/23 from autumn 2025 confirmed that supporting and administrative activities do not create PE.<\/p>\n\n\n\n

Which positions generate PE risk?<\/h4>\n\n\n\n

The degree of risk depends on the actual role of the employee in the sales cycle:<\/p>\n\n\n\n

Type of activity<\/th>PE Risk<\/th>Justification<\/th><\/tr><\/thead>
Negotiates AND signs contracts<\/td>Very high<\/strong><\/td>Satisfies both pre- and post-BEPS test<\/td><\/tr>
Negotiates all terms; headquarters only approves<\/td>High<\/strong><\/td>“Key role” standard from BEPS; KIS position from 2025<\/td><\/tr>
Manages customer relationships; has influence on transactions<\/td>Moderately high<\/strong><\/td>KIS doctrine of “key role” (although courts may reject it)<\/td><\/tr>
Business development \/ lead generation<\/td>Moderately low<\/strong><\/td>Ancillary nature; NSA ruling II FSK 610\/22 supports this thesis<\/td><\/tr>
Market research \/ information gathering<\/td>Low<\/strong><\/td>Exception for ancillary\/preparatory activities from Art. 5 para. 4<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

The consequences of recognizing PE are serious<\/h4>\n\n\n\n

In case of determining the existence of a permanent establishment, the foreign entity must register for CIT within 7 days (form NIP-2), pay monthly CIT advances by the 20th of each month (standard rate 19%), file annual CIT-8 return by March 31, and maintain separate accounting for the establishment. There are also transfer pricing obligations: the foreign entity and its Polish PE are treated as related entities within the meaning of Art. 11a of the CIT Act, which requires TP documentation (local file) when thresholds are exceeded: PLN 10 million for goods\/financial transactions and PLN 2 million for services. Failure to comply threatens tax arrears with interest (approximately 14.5% per annum), criminal tax liability, and transfer pricing adjustments (10\u201330% of adjusted income).<\/p>\n\n\n\n

Key conclusion: the Direct EOR model does not protect against PE<\/h4>\n\n\n\n

We need to say this clearly: the Employer of Record structure – neither in its classic version nor in its Direct version – does not eliminate the risk of creating a permanent establishment.<\/strong> Polish tax authorities can examine the actual nature of the relationship and determine that the actual employer – and the entity conducting economic activity in Poland – is the foreign company assigning the work, not the formal EOR employer. If a Polish employee negotiates contracts, acquires clients, and reports to foreign management, the tax authorities will look through the formal employment structure at the economic reality.<\/p>\n\n\n\n

Recommendation:<\/strong> foreign companies should exercise particular caution when hiring in Poland employees performing key sales functions – in particular, negotiating contract terms, acquiring clients, and closing transactions. A safer approach is to limit the roles filled in Poland to activities of a truly ancillary nature (market research, administrative support, technical assistance) or – if sales roles are necessary – register a Polish subsidiary (Sp. z o.o.<\/a>), which provides tax certainty and eliminates PE disputes. If you are concerned about PE risk, contact us<\/a> – we will help you properly structure the scope of obligations or suggest a safe alternative.<\/strong><\/p>\n\n\n\n

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Direct EOR mechanism: implementation step by step<\/h3>\n\n\n\n

Subject to the above caveats, for positions that do not generate PE risk, the Direct EOR mechanism is implemented as follows:<\/p>\n\n\n\n

Step 1 – Tax identification.<\/strong> Your company must obtain a Polish Tax Identification Number (NIP). This requires submitting a formal application to the appropriate tax office (for foreign entities: Second Tax Office Warsaw-Downtown). This is a registration action, not incorporation – you are not creating a Polish business entity.<\/p>\n\n\n\n

Step 2 – Employment contract.<\/strong> You sign a standard Polish employment contract directly with the employee. The contract must comply with the Labour Code: working hours (40 hours per week), vacation (20 or 26 days depending on service), protection against termination. Under the Act on the Polish Language, the contract must be prepared in a bilingual version, with the Polish text being legally binding. If the position involves any activity that may generate PE risk, the scope of obligations should be precisely described and limited to ancillary activities.<\/p>\n\n\n\n

Step 3 – Payer obligation agreement.<\/strong> As a supplement to the employment contract, you and the employee sign an agreement formalizing the assumption of the technical role of payer. For employers from EU\/EEA\/Switzerland: based on Art. 21 para. 2 of Regulation 987\/2009. For employers outside the EU: based on Art. 17 para. 1 of the Polish Social Insurance System Act.<\/p>\n\n\n\n

Step 4 – ZUS registration.<\/strong> The employee registers with ZUS using form ZUS ZUA (notification for social and health insurance) within 7 days of the employment relationship start date. Additionally, form ZUS ZAA is submitted specifying the address of the foreign employer. Detailed instructions on the procedure can be found on the ZUS website dedicated to notification of an entity acting as a foreign payer<\/a>.<\/p>\n\n\n\n

Step 5 – Monthly payroll cycle.<\/strong> Each month, by the 10th, you make a transfer of the total cost of employment – the “gross-gross” amount – to the employee’s Polish bank account. This single transfer includes base salary, social security contributions on both the employee and employer side, health insurance contribution, and tax advance. Biuro Rachunkowe Precyzja then calculates and distributes the funds: ZUS contributions by the 15th of the month, PIT advance by the 20th of the month, the remaining net amount goes to the employee.<\/p>\n\n\n\n

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Full cost structure: ZUS in Poland in 2026<\/h3>\n\n\n\n

Understanding the composition of the “gross-gross” transfer requires knowledge of the Polish social security contribution structure. In the case of an employment contract, the basis for calculating contributions is the actual gross salary of the employee (not a flat rate as with a sole proprietorship). Key baseline data for 2026: projected average salary is PLN 9,420<\/strong>, minimum wage is PLN 4,806<\/strong>, and the annual limit for the basis of pension and disability insurance contributions (30-fold) is PLN 282,600<\/strong>. Current percentage rates are published on the ZUS website<\/a>.<\/p>\n\n\n\n

The percentage rates of contributions in 2026 have not changed compared to previous years and are as follows:<\/p>\n\n\n\n

Insurance \/ Fund<\/th>Employee<\/th>Employer<\/th>Total<\/th>Amount for gross PLN 15,000<\/th><\/tr><\/thead>
Pension<\/td>9,76%<\/td>9,76%<\/td>19,52%<\/td>2 928,00 z\u0142<\/td><\/tr>
Disability<\/td>1,50%<\/td>6,50%<\/td>8,00%<\/td>1 200,00 z\u0142<\/td><\/tr>
Sickness<\/td>2,45%<\/td>0%<\/td>2,45%<\/td>367,50 z\u0142<\/td><\/tr>
Workplace accident<\/td>0%<\/td>1,67%<\/td>1,67%<\/td>250,50 z\u0142<\/td><\/tr>
Labour Fund + Solidarity Fund<\/td>0%<\/td>2,45%<\/td>2,45%<\/td>367,50 z\u0142<\/td><\/tr>
Guaranteed Employee Benefits Fund<\/td>0%<\/td>0,10%<\/td>0,10%<\/td>15,00 z\u0142<\/td><\/tr>
Total social contributions<\/strong><\/td>13,71%<\/strong><\/td>20,48%<\/strong><\/td>34,19%<\/strong><\/td>5 128,50 z\u0142<\/strong><\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

The column “Amount for gross PLN 15,000” shows example costs for an employee with a monthly gross salary of PLN 15,000 – an approximate amount, actual values may differ by a few cents due to ZUS rounding. The workplace accident insurance contribution (1.67%) is a fixed rate for payers reporting no more than 9 insured people – with a larger number of insured or in high-risk industries, the rate may range from 0.67% to 3.33%.<\/p>\n\n\n\n

In addition to the above social contributions, there is health insurance contribution: 9%<\/strong> of gross salary reduced by employee-side social contributions (i.e., from the gross amount minus 13.71%). At a gross salary of PLN 15,000, the health insurance basis is PLN 12,943.50, and the health insurance contribution is PLN 1,164.92. Since the “Polish Deal” reform of 2022, health insurance contributions are not deductible from income tax – they constitute a net cost borne by the employee.<\/p>\n\n\n\n

Important:<\/strong> After exceeding the annual limit of PLN 282,600 of the basis (so-called 30-fold of the projected average salary), the payment of pension and disability insurance contributions ceases. The remaining contributions (sickness, workplace accident, health, labour fund, guaranteed employee benefits fund) are not subject to this limit and are calculated on the full salary throughout the year.<\/p>\n\n\n\n

Income tax (PIT) is subject to a progressive scale: 0% on the first PLN 30,000 of annual income (tax-free amount), 12% on income in the range PLN 30,001\u2013120,000, 32% on the excess above PLN 120,000. On a monthly basis, the PIT advance is reduced by the amount reducing the tax of PLN 300 (1\/12 of the annual amount of PLN 3,600). Advances must be paid by the 20th of the month following the month of income acquisition.<\/p>\n\n\n\n

Critical compliance point:<\/strong> if the salary is denominated in a foreign currency, Polish tax law absolutely requires conversion to PLN according to the average exchange rate of the Polish National Bank from the last working day preceding the day of income realization – not according to the commercial bank rate or the rate on the day the funds were deposited into the account.<\/p>\n\n\n\n

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Why Biuro Rachunkowe Precyzja is your essential partner<\/h3>\n\n\n\n

The Direct EOR model is elegant in its legal architecture, but operationally demanding and – as we have shown above – encumbered with significant legal caveats. The monthly payroll cycle includes currency conversion at legally mandated exchange rates, calculation of seven separate insurance contributions, monitoring of tax thresholds, preparation of ZUS declarations, calculation of PIT advances, management of PPK, and preparation of annual PIT-36 returns with annexes.<\/p>\n\n\n\n

But that’s not all. As we have shown, there are two additional levels of risk that most payroll service providers do not address: the risk of misclassifying the legal basis (Art. 21 vs. domestic law vs. bilateral agreement) and the risk of creating a permanent establishment in sales positions.<\/p>\n\n\n\n

Biuro Rachunkowe Precyzja<\/strong> manages all these layers:<\/p>\n\n\n\n

Legal qualification:<\/strong> At the pre-implementation stage, we identify which country the employer is from and which legal path applies. For EU\/EEA companies, we use Art. 21 of Regulation 987\/2009. For US companies – we use the Polish-American social security agreement and Polish domestic law. Each case is different and requires precise qualification.<\/p>\n\n\n\n

PE risk analysis:<\/strong> Before finalizing the employment contract, we analyze the scope of position responsibilities in terms of permanent establishment risk. We help structure the position description to minimize this risk – or recommend alternative solutions (company registration, classic EOR) when the risk is too high.<\/p>\n\n\n\n

Current payroll service:<\/strong> You transfer one amount. We calculate the exact gross-gross amount, pay ZUS contributions, calculate and pay PIT advances, manage PPK, prepare declarations and annual returns. You receive a monthly report confirming full regulatory compliance.<\/p>\n\n\n\n

For your employee:<\/strong> We remove all administrative burden from them. They will never see a ZUS DRA form. They will never worry about NBP exchange rates. They sign a power of attorney – we handle the rest.<\/p>\n\n\n\n

About costs:<\/strong> Our fee is a fraction of what global EOR platforms charge. Hundreds of dollars per year, not monthly. No hidden currency margins. No setup fees. No deposits. Check the details of our ZUS transfer to employee service \u2192<\/strong><\/a> English-speaking employers can familiarize themselves with the offer on the website: Hire Employees in Poland Without a Branch<\/a>.<\/p>\n\n\n\n

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Benefits for the employer – summary<\/h3>\n\n\n\n

Radical cost savings.<\/strong> You avoid $15,000\u201320,000 for entity registration and over $40,000 in annual maintenance costs. You eliminate $4,800\u20138,400 per year in EOR platform fees.<\/p>\n\n\n\n

Direct relationship with the employee.<\/strong> Your employee signs a contract with your<\/em> company – not with an intermediary. This strengthens loyalty and enables equity compensation programs (stock options, RSUs) without structural barriers.<\/p>\n\n\n\n

Full legal compliance – but properly classified.<\/strong> The employment contract is subject to the Polish Labour Code. Contributions are paid to the Polish system. Tax obligations are fulfilled. And the legal basis is properly matched to your company’s home country – not assumed by default.<\/p>\n\n\n\n

Speed of implementation.<\/strong> There is no multi-week company registration process. After obtaining a NIP and signing contracts, the employee can start work immediately.<\/p>\n\n\n\n

Awareness of limitations.<\/strong> Through collaboration with Precyzja, you know in advance which positions can be safely filled in the Direct EOR model and where it’s better to consider an alternative – before problems arise.<\/p>\n\n\n

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Are you planning to hire a specialist in Poland without setting up a company?<\/h4>\n

\n We’ll help you choose the right formal path (EU vs. rest of the world), point out the risks to watch out for (e.g., permanent establishment in sales positions), and take off your shoulders the entire burden of monthly payroll. Call and entrust us with the service.\n <\/p>\n

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\n Learn about the ZUS Transfer Service
\n <\/a>
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\n \ud83d\udcde +48 532 88 44 66
\n <\/a>\n <\/div>\n<\/div>\n
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Risks and how Precyzja neutralizes them<\/h3>\n\n\n\n

To summarize the three layers of risk in the Direct EOR model:<\/p>\n\n\n\n

Administrative risk:<\/strong> Errors in contribution calculations, deadlines, or declarations can result in sanctions from ZUS and the tax office. Incorrect currency conversion, miscalculated advances, missed deadlines – each of these elements leads to financial penalties. Precyzja eliminates this risk through flawless execution month after month.<\/em><\/p>\n\n\n\n

Legal qualification risk:<\/strong> Incorrect identification of the legal basis – for example, a US employer invoking EU Art. 21 – can result in ZUS questioning the structure. Precyzja conducts qualification at the pre-implementation stage.<\/em><\/p>\n\n\n\n

Permanent establishment risk:<\/strong> Hiring an employee in a sales position with authority to negotiate and conclude contracts can generate CIT, transfer pricing, and reporting obligations. Precyzja analyzes the scope of the position and recommends a safe structure – or an alternative solution.<\/em><\/p>\n\n\n\n

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Conclusion<\/h3>\n\n\n\n

The Direct EOR model – anchored in Art. 21 para. 2 of EU Regulation No. 987\/2009 (for employers from EU\/EEA\/Switzerland) or in Polish domestic law and bilateral agreements (for non-EU employers) – is a legally solid, cost-optimized, and operationally proven path for hiring Polish specialists without establishing a local entity.<\/p>\n\n\n\n

The mechanism works. The law supports it. The savings are significant. But – like any advanced legal tool – it requires precise management. It requires knowledge of the proper legal basis depending on the employer’s country. It requires awareness of limitations for sales positions. It requires flawless operational execution month after month, every month.<\/p>\n\n\n\n

That is exactly what Biuro Rachunkowe Precyzja<\/strong> guarantees.<\/p>\n\n\n\n

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Frequently Asked Questions about employment in Poland without a company (FAQ)<\/h2>\n\n\n\n

What is employment in Poland without a company in the Direct EOR model?<\/h3>\n\n\n\n

It is a legal mechanism that allows a foreign company to sign a Polish employment contract directly with a Polish specialist – without establishing a company, branch, or using an intermediary in Poland. The employee assumes the technical role of ZUS contribution payer based on an agreement with the employer, and operational support is provided by a local accounting office.<\/p>\n\n\n\n

Is employment in Poland without a company legal?<\/h3>\n\n\n\n

Yes, fully legal. For employers from EU\/EEA\/Switzerland, the legal basis is Art. 21 para. 2 of Regulation (EC) No. 987\/2009 – a European regulation in force since 2009. For non-EU employers, there are alternative mechanisms based on Polish domestic law (Art. 17 para. 1 of the Social Insurance System Act) and bilateral social security agreements.<\/p>\n\n\n\n

Can a US company use Art. 21 of the EU Regulation?<\/h3>\n\n\n\n

No. Art. 21 para. 2 of Regulation 987\/2009 applies exclusively to employers from EU Member States, the EEA, and Switzerland. However, an American company can hire a Polish employee based on the Polish-American social security agreement and Art. 17 para. 1 of the Polish Social Insurance System Act. The effect is functionally similar, but requires a different procedure.<\/p>\n\n\n\n

Can I work as a salesperson in the Direct EOR model?<\/h3>\n\n\n\n

It depends on the scope of responsibilities. If your role involves negotiating and concluding contracts on behalf of a foreign company, there is a serious risk of permanent establishment (PE) in Poland – which generates CIT and transfer pricing obligations on the employer side. Supporting roles (market research, lead generation without transaction finalization) are much safer. Biuro Rachunkowe Precyzja analyzes each case individually.<\/p>\n\n\n\n

How much does Direct EOR service from an accounting office cost?<\/h3>\n\n\n\n

Much less than global EOR platforms, which charge $400\u2013700 per month per employee. Professional payroll and HR service in the Direct EOR model by a local accounting office, such as Biuro Rachunkowe Precyzja, costs a fraction of that amount – without hidden currency margins, setup fees, or security deposits.<\/p>\n\n\n\n

What ZUS contributions must be paid in the Direct EOR model in 2026?<\/h3>\n\n\n\n

The full set: pension insurance (19.52% total), disability insurance (8.00%), sickness insurance (2.45%), workplace accident insurance (1.67%), Labour Fund with Solidarity Fund (2.45%), Guaranteed Employee Benefits Fund (0.10%), and health insurance contribution (9% of the base reduced by employee’s social contributions). All these contributions are financed from the gross-gross amount transferred by the employer – the employee does not cover them from their own pocket.<\/p>\n\n\n\n

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Biuro Rachunkowe Precyzja – your partner in cross-border employment. Professional payroll and HR service for the Direct EOR model, including legal qualification, PE risk analysis, and full compliance. Learn about our ZUS transfer to employee service<\/a> or contact us directly<\/a>.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

We take on all the administrative burden of the Direct EOR model. We calculate ZUS contributions down to the penny. We prepare and send monthly declarations. We calculate PIT advances, keeping track of NBP exchange rates, tax thresholds, and deadlines. At the end of the year, we prepare the PIT-36 annual return. <\/p>\n","protected":false},"author":4,"featured_media":1100,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[6,12],"tags":[],"class_list":["post-1096","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ksiegowosc","category-zus"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.biuroprecyzja.pl\/en\/wp-json\/wp\/v2\/posts\/1096","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.biuroprecyzja.pl\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.biuroprecyzja.pl\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.biuroprecyzja.pl\/en\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/www.biuroprecyzja.pl\/en\/wp-json\/wp\/v2\/comments?post=1096"}],"version-history":[{"count":3,"href":"https:\/\/www.biuroprecyzja.pl\/en\/wp-json\/wp\/v2\/posts\/1096\/revisions"}],"predecessor-version":[{"id":4090,"href":"https:\/\/www.biuroprecyzja.pl\/en\/wp-json\/wp\/v2\/posts\/1096\/revisions\/4090"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.biuroprecyzja.pl\/en\/wp-json\/wp\/v2\/media\/1100"}],"wp:attachment":[{"href":"https:\/\/www.biuroprecyzja.pl\/en\/wp-json\/wp\/v2\/media?parent=1096"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.biuroprecyzja.pl\/en\/wp-json\/wp\/v2\/categories?post=1096"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.biuroprecyzja.pl\/en\/wp-json\/wp\/v2\/tags?post=1096"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}