Benefits for opening a private enterprise in Poland: Start-up tax exemption and preferential tax exemptions in 2026

Deciding to start a business in a foreign country is always a step into the unknown. It’s scary to make mistakes with the paperwork, deadlines, and money. Especially when it comes to opening a private enterprise (sole proprietorship).

W12 & Wikielson experts have prepared an overview of social security benefits for sole proprietors in Poland for 2026. No fluff, just up-to-date information and concrete details.

Ulga na start для JDG (sole proprietors)

Start-up tax exemption is an opportunity for new sole proprietors to reduce the burden on their business. It exempts them from paying social security contributions for the first six months of operation.

Who can use it:

• Sole proprietors who have not conducted business in the Republic of Poland for the past 60 months.
• Sole proprietors who conduct business unrelated to their former employer.
• Sole proprietors who are not engaged in agricultural business.

What does an entrepreneur pay to the Social Security Administration for individual entrepreneurs? Only 9% of medical contributions.

Important: If the individual entrepreneur’s registration is not completed on the first day of the month, the benefit period begins the following month. If the business is suspended, the benefit period does not stop.

Składki preferencyjne – Preferential Social Security Contributions for Individual Entrepreneurs in Poland

After completing the “Ulga na start” (Ulga na start), you can switch to the Preferential Social Security Contributions for up to two years. This reduces the base for calculating social security contributions.

How it’s calculated:

• Social security contributions are calculated based on 30% of the minimum wage, not the standard 60% of the average salary.
• Medical security contributions to the Social Security Administration for individual entrepreneurs in Poland are paid according to the general rules.

When it comes into effect: The benefit applies from the first day of the month following the application. If the application is submitted on the first day, it applies from the same month.

Mały ZUS Plus – Extension of the Benefit Period

New rules for the Mały ZUS Plus program came into effect in 2026. Reduced contributions can now be paid for up to 36 months in each 60-month period of business activity.

Eligibility requirements:

• The individual entrepreneur’s annual income for the previous year does not exceed PLN 120,000.
• The individual entrepreneur cannot work for a previous employer in the same field.
• The activity was conducted for at least 60 days in the previous year.
• The average monthly income must be between 30% of the minimum wage and 60% of the projected average.
• New activities do not automatically entitle you to benefits.

Important: Mały ZUS Plus can be used regardless of whether you have previously used other benefits.

Comparison of ZUS benefit programs for individual entrepreneurs in Poland

Let’s summarize

Newcomers to Polish business are entitled to state support for over five years. The plan is as follows: six months – Ulga na start, the next two years – Preferential ZUS, then up to three years – Minor ZUS Plus. The resulting savings on social contributions compared to the standard rate exceed 50%.

Assistance with registering as a sole proprietor and competent benefit planning are the key to a smooth start for your business. We at W12 & Wikielson offer a full range of services:

• Services for registering as a sole proprietor and registering with ZUS.
• Consultations on JDG taxes in Poland.
• Residence legalization and assistance in obtaining a residence permit in Poland.

Fill out the contact form on our website, and we will find the best solution for starting your business in Poland.