Social Security Regulations and Pilots

I have a client who is an airline pilot. He is set up as a director of a limited company that invoices a third party who provide pilots to Ryanair. The third party have sent this letter to our client who has now forwarded it to me for guidance. I will be perfectly honest, I am a bit stumped on this one and would be most grateful for any assistance or thoughts.

Social Security Regulation

27th June 2012

Dear Pilot,

As you may be aware the European Parliament has introduced a new Social Security Harmonisation Regulation (Regulation (EU) No 465/2012) which is effective from 28th June 2012. This Regulation makes specific rulings in relation to where aircrew (including self-employed pilots or those operating through Limited Companies) are obliged to make social security contributions. There is also a transitional provision which allows pilots to continue to operate as they currently do for a period of 10 years provided their circumstances do not change. If you have any questions in relation to this you should raise them with your tax advisor.

As a self-employed pilot or Director of a Limited Company you need to ensure that you are aware of your obligations under this legislation and take any necessary steps to ensure your compliance.


  • ademoore
    ademoore Registered Posts: 146 ? ? ?
    Apologies - not an expert on this in the slightest, just thought it was an interesting one to come up! I have a client who is an aircraft engineer and just moved to another country to carry out a contract - so thought it maybe worth a closer look!

    It seems it is to do with the pilots residency, and when pilots (in this particular case) are required to work in different countries, they pay their NI in the country which is their home base (currently UK in your clients case!). Apparently to help clear the air on where social security should be paid (aligning it to the 'home location') and to ensure no one loses their entitlements. Should the work require them to relocate their 'home base' then they need to let relevant authorities know, and then pay the social security in the new 'home' country.

    That's my take on it !! :huh:
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