Pension provision for self-employed citizens: Problems and solutions

Abstract

Subject. The article addresses the specifics of taxation and pension provision for self-employed citizens, the related problems and solutions. Objectives. The aim is to analyze the reasons for the self-employed to evade taxes and insurance premiums, assess recent legislative changes with respect to the taxation of the self-employed, identify solutions for de-shadowing of this category of citizens in the context of taxation and pension insurance. Methods. The study draws on methods of statistical analysis of numerical data (comparison, grouping, dynamic analysis, graphic techniques), and traditional methods of scientific knowledge (induction, deduction, systems analysis). Results. Solving the problems of pension provision for the self-employed requires comprehensive and coordinated measures aimed at ensuring an uncritical burden of tax payments and social insurance contributions for the financial situation of the self-employed, taking into account the risks and specifics of their activities, and the de-shadowing of the self-employed, reducing the opportunities for their departure from the legal field. This requires adjusting the existing legislation and technological solutions, considering the digitalization of economic relations. Conclusions. De-shadowing of self-employed citizens and their pension provision requires both the consideration of interests of the self-employed and the specifics of their financial situation, as well as the peculiarities of digital economy, the activities of modern network platforms, and economic relations in the digital environment. In addition, there is a need to improve the efficiency of pension funds and trust management of pension savings.