Pension legislation obliges all policyholders (organizations and individual entrepreneurs) to report monthly to the Pension Fund of the Russian Federation in the SZV-M form (clause 1 and clause 2.2 of Article 11 of Federal Law No. 27-FZ of April 1, 1996 (hereinafter referred to as Law No. 27-FZ) )). This form contains individual information about the insured persons with whom the policyholder has formed an employment or civil law relationship. The deadline for submitting the SZV-M is the same for everyone and does not depend on the method of submitting the report (electronically or on paper) or the legal status of the policyholder (it is an organization or individual entrepreneur). In 2021 they will be like this.
Why is the report submitted?
From 2021, the indexation of insurance pensions for working pensioners has been frozen. Moreover, after the retirement of the pensioner, all missed indexations should be taken into account when recalculating payments (Article 26.1 of Law No. 400-FZ dated December 28, 2013 “On Insurance Pensions”).
Therefore, starting from 2021, the monthly SZV-M form was introduced. All employers are required to provide it in accordance with clause 2.2 of Art. 11 of the Law of April 1, 1996 No. 27-FZ “On individual (personalized) accounting in the pension insurance system.”
Essence and meaning of form
The need to introduce new reporting documentation SZV-M is due to changes in the rules for calculating pensions. In 2021, the legislator amended the Federal Law regulating the procedure for calculating insurance pensions. From this moment on, the Pension Fund of the Russian Federation stopped indexing insurance pensions for pensioners who continue to work until their termination. After actual retirement, all missed calculations must be taken into account.
In order to comply with this provision, a reporting form SZV-M appeared in 2021, which is submitted by the employer every month before the fifteenth day. The obligation to provide this reporting lies with each employer, regardless of the number of employees.
SZV-M due date for September 2018
The deadline for submitting the SZV-M according to the law falls on the 15th day of each next month, i.e. for September 2021 it must be submitted no later than 10/15/2018 (Monday). Also see “Deadline for SZV-M for September 2021“.
Let us remind you that the procedure for submitting the form depends on the number of insured persons (Clause 2, Article 8 of Law No. 27-FZ). If their number is small (less than 25), then submission of the report on paper is allowed. If the form includes data on 25 or more persons, it must be submitted only electronically.
Let's sum it up
- The SZV-M for September 2021 must be submitted no later than October 15, 2020.
- The report is submitted on paper only if the number of employees does not exceed 24 people. For 25 or more employees, you will have to report electronically via TCS through EDI operators.
- From March 2021, SZV-M must be handed over to organizations with a single founder acting as a director, even if an employment contract has not been concluded with him.
- In order to properly defend yourself in court and not pay fines, you should take into account the current judicial practice on SZV-M.
Information about the policyholder in the report for September 2021
The preparation of the report begins with entering information about the policyholder and the form itself:
Registration number in the Pension Fund of Russia
It is assigned to each legal entity or individual entrepreneur upon registration with the fund and must be present on all reports sent to the Pension Fund. This is a 12-digit digital code, the correct filling of which can be checked, for example, on the website of the Federal Tax Service of the Russian Federation.
Short name of the policyholder
For a legal entity, it is taken from the constituent documents. If there is no “official” short name, the full name should be indicated.
For an individual, please enter your full name in this field. If the entrepreneur reports, then to the full name. indicate the abbreviation “IP”. If the employer is an individual who is not an individual entrepreneur (for example, a lawyer or a notary), then you do not need to write anything other than your full name in this line.
TIN and checkpoint
They are taken from the certificate issued by the Federal Tax Service of the Russian Federation. For a legal entity, a 10-digit TIN and a 9-digit KPP (reason code for registration) are used. For individuals, the TIN will be 12-digit, and the checkpoint will not apply.
Reporting period
The month (in two-digit format) and year (in four-digit format) are indicated. For September 2021, “09” and “2018” are entered in this line.
Where should reports be submitted?
Any business entity - both an individual entrepreneur and a company - must submit a completed report to the PF body that registered them as an employer. This means that companies ship at their location, and individual entrepreneurs ship at their place of registration.
If a company has representative offices or branches, they must submit this report regardless of the parent companies at their location. In this case, the report indicates the TIN of the parent organization, and the KPP - assigned to the branch during registration.
Information about the insured persons
In the report, include all individuals with whom contracts related to the payment of remuneration to individuals were in effect during the past month (in this case, September 2021). We are talking not only about employment contracts, but also about civil law, copyright, licensing, etc.
The data is presented in the form of a table consisting of 4 columns:
- serial number. The order in which the insured persons are included in the report does not matter. This can be alphabetical, chronological (as contracts are concluded), or even random order.
- FULL NAME. the insured person. We give it in the nominative case. Please indicate your middle name if available.
- individual insurance number in the pension insurance system. We deposit on the basis of the SNILS certificate.
- TIN of an individual. This detail, unlike the previous ones, is not strictly mandatory and if the employer does not have this information, it may not be entered.
Next, information about the person signing the report is indicated and his personal signature is affixed. For a legal entity, this is the manager or the person performing his duties (in the latter case, indicate the details of the document confirming the authority of the responsible person). An entrepreneur or other individual employer signs the report personally. At the same time, in the line “Name of manager’s position” the status of the individual is indicated - entrepreneur, notary, lawyer, etc.
Nuances
When a supplementary form is submitted, it contains data only for those employees who need to be changed or added to the report. There is no need to duplicate correct lines. When correcting information (for example, the employee’s TIN was incorrectly indicated), there is no need to first submit a cancellation form and then a supplementary one. Only the last one is enough.
If during the reporting period any payment was made to an employee who resigned before its due date (for example, a bonus), then information about him does not need to be included in the report, since the employment contract at the beginning of the period was already terminated.
The field “Name of manager’s position” is required. However, it may raise questions for the entrepreneur who submits this report. There are no clear explanations on this matter yet, so for individual entrepreneurs it is recommended to enter the phrase “Individual entrepreneur” here.
The report does not have a column for signature by an authorized representative, only for the manager. Therefore, in the current environment, the proxy representative does not have the authority to sign and file this form for the policyholder. There have been no clarifications from the authorities on this issue yet.
This form must be given to the employee upon dismissal. The law establishes that thanks to it he will be able to confirm his insurance record when applying for a pension. The report should contain only one line - with data on this employee, and it is compiled for all months in which the employment contract was valid. After delivery of the documents, the dismissed person provides written confirmation of their receipt, indicating the exact number of sheets.
Important! It is impossible to hand over a complete report listing all employees - this would be a violation of the law on the protection of personal data.
If an employee changed his last name during the reporting period, but has not yet managed to exchange SNILS, then the document must be submitted with his old data. When submitting a form with a new surname, it may not be accepted, since these changes have not yet been made to the Pension Fund database.
What to pay attention to when generating a report for September 2021
Let us explain a number of points that usually cause difficulties for employers:
- In SZV-M for September 2021, include only those persons whose payments are subject to pension insurance. If, for example, an organization enters into a contract for the sale or lease of property with an individual, then there is no need to enter this person’s data into SZV-M.
- The design of the form is based specifically on the contracts in force in September 2018. The presence of payments on them in the same period does not matter. It also does not matter how many days during September the contract was in force. Even if we are talking about only one day, the employee must still be included in the report. But if in the reporting period there were only payments, and the agreement has already ceased to be valid, then there is no need to include the payee in the SZV-M.
- If employees are absent from work for any reason (long business trip, vacation, maternity leave), but contracts with them are valid in the month of September, information about such persons should also be entered into the form.
- The zero SZV-M form is not taken. If an individual (individual entrepreneur, lawyer, notary) does not have employees and does not enter into civil agreements with other individuals, then he has no obligation to provide this report. A more interesting situation arises if a legal entity consists of one employee who is both a director and a founder. What to do in this case - we will consider further.
FAQ
Do I need to provide a form upon dismissal?
According to legal requirements, if an employee leaves a business entity, he must be given a copy of the SZV-M forms along with a set of mandatory documents. Receiving this document in hand is confirmation that in a given month he has work experience and contributions to the funds were made.
To the question of SZV-M, when dismissing an employee, for what period should you answer - for all months of the current year during which the employment agreement was valid with him.
Since when the report is submitted to the Pension Fund, it contains data on all employees of the company, an extract must be made before handing it over. Only the resigning employee himself should be present. If a business entity provides complete reports, it will disclose the personal data of other employees, and this will be a violation of the law and will lead to penalties.
Important: the report must be issued in person in any case, even if the employee only worked for one day. To obtain confirmation of the issuance of forms, it is necessary to obtain a receipt from the employee indicating how many reports were handed over to him and for what period.
It is worth noting that the law has not yet established specific penalties for the failure to issue these documents. However, the employee can file a complaint about the non-issuance of documents to the labor inspectorate, prosecutor's office or court. Unfortunately, it is difficult to predict the actions of these authorities after receiving it.
Are reports submitted if the individual entrepreneur has no employees?
The law defines cases when individuals registered as entrepreneurs must send SZV-M reports to the Pension Fund. These include cases of hiring individual entrepreneurs’ personnel under employment and civil contracts.
If an entrepreneur carries out activities independently, without the involvement of hired employees, then he may not submit reports to the Pension Fund of the Russian Federation in the SZV-M form.
If an entrepreneur terminates concluded labor agreements with his employees, then his obligation to submit the SZV-M report to the Pension Fund of the Russian Federation disappears starting from the month following the month of termination of the contracts. In this case, it is advisable to send an explanatory letter to the inspector, which reflects the moment of termination of the employment relationship.
According to the law, an entrepreneur does not have to submit a report to himself in the SZV-M form.
Should I submit a report if the company is being liquidated?
When a decision is made to close an enterprise, the liquidation procedure begins. All this time, a certain number of employees can work in the organization. Therefore, when liquidating an organization, it must submit the SZV-M form until the last employee is fired. At the same time, compliance with established deadlines is also mandatory.
Next, you need to proceed from who is carrying out the liquidation - the liquidator or the liquidation commission. The founders of the company are given the right to attract civil contract specialists who will deal with this process.
According to the signed agreements, these persons will receive remuneration, for which the legislation establishes the obligation to charge contributions. Therefore, the liquidated organization must, until the last moment, right up to making an entry about the closure of the legal entity in the Unified State Register of Legal Entities, submit SZV-M forms to the liquidators.
Attention: if the liquidation is carried out by a liquidation commission, then information is provided to its chairman and each member.
There is an option when the owner of the company will take on the responsibilities of closing the company. If they do not accrue and pay remuneration to themselves for performing these functions, then they do not need to submit a report to the Pension Fund.
Should I rent it out to new organizations if there is no bank account and no director?
Representatives of the Pension Fund of Russia have repeatedly commented on the situation when a new business entity does not have a bank account and an employment contract has not been drawn up with the head of the company. Until March 2018, in this case, the submission of a SZV-M report was not required.
The exception was cases when the director had an employment contract. However, already in March 2021, companies whose director and sole founder are represented by one person, without employees, were required to send information to the Pension Fund.
Attention: amendments have now been made that information in the SZV-M form must be submitted even for founders who are not employees of the company.
Report on one founding director: to pass or not?
This situation is not that rare. In this case, the organization usually does not conduct activities and, naturally, the owner does not see the need to pay wages to himself.
Rostrud and the Pension Fund of the Russian Federation previously had completely different positions on this matter. The Pensions Authority has always insisted that the director is still an insured person and should be included in the report. In this case, the presence or absence of payments in his favor does not matter (letter of the Pension Fund of the Russian Federation dated May 6, 2016 N 08-22/6356).
Rostrud, in turn, previously indicated that the sole founder of a company can conduct management activities without concluding an agreement (letter dated March 6, 2013 N 177-6-1). But it is the presence of a valid employment (or similar) contract that is decisive when including the insured person in the SZV-M report.
However, in 2021, the Ministry of Labor changed its position and, in letter dated March 16, 2018 No. 17-4/10/B-1846, still agreed with the opinion expressed by the Pension Fund. Officials, in particular, point out that even in the absence of a formalized contract, labor relations arise upon the actual admission of the employee to work (Article 16 of the Labor Code of the Russian Federation).
Companies consisting of one founder-director are required to submit the SZV-M for September 2021.
Do I need to provide a form upon dismissal?
The current provisions of regulations require that the SZV-M form be handed over to the employee upon termination of a contract with him.
It confirms the fact that he has work experience in the current month, as well as the calculation of insurance contributions for him. To the question of SZV-M, when dismissing an employee for what period should the document be drawn up, you need to answer that for all months in the current year while the agreement with him was in force.
Since companies and individual entrepreneurs submit this form for all their employees, for the resigning person you need to make extracts from the submitted reports, which will contain information only about him.
If the report is handed over to him in full, this will lead to the disclosure of personal data of other employees, which is a violation of relevant legislation and may lead to penalties.
HR specialists in the company must remember that the form is issued to the resigning person, even if the employment agreement with him lasted one day.
Important! To avoid controversial situations, it is necessary to take a receipt from the employee indicating that he was issued SZV-M forms upon dismissal for all working months this year.
Changes from October 1, 2021
From October 1, the Instructions for personalized accounting are applied in a new edition (approved by order of the Ministry of Labor dated December 21, 2016 No. 766n). From October 1, it is no longer enough to send the SZV-M report to the fund; the Pension Fund must also accept them. Changes were made by Order of the Ministry of Labor of Russia dated June 14, 2018 No. 385n.
Also, from October 1, 2021, fines for supplementary SZV-M reports after the deadline for submitting the original data have officially been legalized. See “New requirements for SZV-M from October 1, 2021“.
How do you exchange documents with the Pension Fund now?
Now you need to send personalized reports to the Pension Fund of Russia using the following algorithm:
- The policyholder sends the SZV-M form to the Pension Fund;
- In response, the Pension Fund of Russia sends the policyholder a receipt for delivery of the statements.
- The Pension Fund of the Russian Federation sends a protocol for monitoring information to the policyholder (no later than the business day following the day the report is submitted).
- In response, the employer must send to the Pension Fund a receipt for delivery of the control protocol.
Obviously, all documents in this exchange must be signed with qualified electronic signatures of authorized persons (EDS). Please note that instead of one electronic document - the SZV-M form itself - now as many as 4 electronic documents take part in submitting reports.
SZV-K: what is it and who is taking it in 2021 with an example of filling it out
Then it was also introduced to generalize information about work experience before 2002. Then human resources departments had to “raise” the work books of employees and inform the Pension Fund of Russia about the length of service of employees before 2002.
The compulsory pension insurance system introduced in 2002 provided for fundamentally new sources of financing pension payments - these are insurance premiums that are required to be paid by policyholders who use hired labor in their business activities or provide themselves with work. Since 2002, timely and complete payment of insurance premiums has made it possible for citizens to exercise their right to pension provision.
However, length of service before 2002 is also taken into account when assigning insurance pensions.
