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Calculation of the temporary disability benefit – NEW RULE
Calculation of the temporary disability benefit – NEW RULE
By Decision No. 31 of the Cabinet of Ministers dated January 30, 2026, the “Regulation on the Calculation and Payment of Mandatory State Social Insurance Contributions and Benefits Paid at the Expense of the Insurer to Insured Persons Temporarily Disabled for Work” was approved in a new edition. According to the rules, the benefit for temporary disability is determined based on four times the amount of mandatory state social insurance contributions calculated and paid for the insured person over the consecutive four quarters preceding the month in which the temporary disability occurred. Expert Kamala Yusifova provided a more detailed explanation of the changes.
Social insurance payments stipulated by legislation and granted to insured persons covered by mandatory state social insurance as of the date of occurrence of an insured event include:
- temporary disability benefit (for the period established by legislation);
- maternity benefit;
- one-time childbirth allowance;
- childcare allowance until the child reaches the age of 3;
- one-time funeral allowance.
The right to receive a temporary disability benefit (for the period established by legislation), as well as a maternity benefit, arises after at least 6 months of social insurance service.
Temporary disability benefits are granted to insured persons for calendar days of temporary disability based on sick leave data transmitted from the Ministry of Health’s “Unified Health Information System” to the centralized electronic information system (CEIS) of the Ministry of Labor and Social Protection of the Population via the Electronic Government Information System. It should be noted that the electronic issuance of sick leave certificates is regulated by the “Instruction on the Procedure for Issuing Sick Leave Certificates for Insured Persons in the Form of an Electronic Document,” approved by Decision No. 9 of the Cabinet of Ministers dated January 8, 1993.
If temporary disability continues consecutively, either with or without interruptions, the benefit for the first 14 calendar days is paid by the employer (insurer) at its own expense, while the remaining days are paid by the insurer from mandatory state social insurance funds. The temporary disability benefit is paid starting from the first day of disability until the restoration of work capacity, but for a period not exceeding one year, in accordance with the note to Article 74 of the Labor Code.
According to the new amendment, the temporary disability benefit is calculated based on four times the amount of mandatory state social insurance contributions paid (or accrued for the relevant period) for the insured person over the consecutive four quarters preceding the month of temporary disability. The amount of the temporary disability benefit is calculated using the following formulas:
TB = CD × AAE
Where:
TB – amount of the temporary disability benefit;
CD – number of calendar days of temporary disability;
AAE – average daily earnings.
AAE = TE / DC
Where:
AAE – average daily earnings;
TE – total earnings of the insured person over the consecutive four quarters preceding the month of temporary disability;
DC – number of divisor calendar days over the consecutive four quarters preceding the month of temporary disability.
DC = TC – EC
Where:
DC – divisor calendar days;
TC – total calendar days over the consecutive four quarters preceding the month of temporary disability;
EC – excluded days deducted during the calculation period.
Example 1: An employee temporarily loses work capacity for 25 calendar days in June 2026. In this case, four times the mandatory state social insurance contributions paid for the 1st quarter of 2026 and the 4th, 3rd, and 2nd quarters of 2025 are taken as total earnings. This amount is divided by the number of divisor calendar days over the consecutive four quarters to determine the average daily earnings. The resulting amount is then multiplied by 25 calendar days to calculate the total benefit.
Assume that mandatory state social insurance contributions totaling 1,800 manats were accrued and paid for the employee over the previous four quarters. The base amount to be considered will be 7,200 manats:
1,800 × 4 = 7,200 manats.
Assume there are 365 calendar days over four quarters with no excluded days. The employee temporarily lost work capacity for 25 calendar days. In this case, the calculation will be as follows:
7,200 ÷ 365 = 19.73 manats;
19.73 × 25 = 493.25 manats.
It should be noted that prior to the amendment, working days were used as the basis for calculations. After the approval of the rules in the new edition, calendar days are taken into account instead of working days.
By Decision No. 31 of the Cabinet of Ministers dated January 30, 2026, the “Regulation on the Calculation and Payment of Mandatory State Social Insurance Contributions and Benefits Paid at the Expense of the Insurer to Insured Persons Temporarily Disabled for Work” was approved in a new edition. According to the rules, the benefit for temporary disability is determined based on four times the amount of mandatory state social insurance contributions calculated and paid for the insured person over the consecutive four quarters preceding the month in which the temporary disability occurred. Expert Kamala Yusifova provided a more detailed explanation of the changes.
Social insurance payments stipulated by legislation and granted to insured persons covered by mandatory state social insurance as of the date of occurrence of an insured event include:
- temporary disability benefit (for the period established by legislation);
- maternity benefit;
- one-time childbirth allowance;
- childcare allowance until the child reaches the age of 3;
- one-time funeral allowance.
The right to receive a temporary disability benefit (for the period established by legislation), as well as a maternity benefit, arises after at least 6 months of social insurance service.
Temporary disability benefits are granted to insured persons for calendar days of temporary disability based on sick leave data transmitted from the Ministry of Health’s “Unified Health Information System” to the centralized electronic information system (CEIS) of the Ministry of Labor and Social Protection of the Population via the Electronic Government Information System. It should be noted that the electronic issuance of sick leave certificates is regulated by the “Instruction on the Procedure for Issuing Sick Leave Certificates for Insured Persons in the Form of an Electronic Document,” approved by Decision No. 9 of the Cabinet of Ministers dated January 8, 1993.
If temporary disability continues consecutively, either with or without interruptions, the benefit for the first 14 calendar days is paid by the employer (insurer) at its own expense, while the remaining days are paid by the insurer from mandatory state social insurance funds. The temporary disability benefit is paid starting from the first day of disability until the restoration of work capacity, but for a period not exceeding one year, in accordance with the note to Article 74 of the Labor Code.
According to the new amendment, the temporary disability benefit is calculated based on four times the amount of mandatory state social insurance contributions paid (or accrued for the relevant period) for the insured person over the consecutive four quarters preceding the month of temporary disability. The amount of the temporary disability benefit is calculated using the following formulas:
TB = CD × AAE
Where:
TB – amount of the temporary disability benefit;
CD – number of calendar days of temporary disability;
AAE – average daily earnings.
AAE = TE / DC
Where:
AAE – average daily earnings;
TE – total earnings of the insured person over the consecutive four quarters preceding the month of temporary disability;
DC – number of divisor calendar days over the consecutive four quarters preceding the month of temporary disability.
DC = TC – EC
Where:
DC – divisor calendar days;
TC – total calendar days over the consecutive four quarters preceding the month of temporary disability;
EC – excluded days deducted during the calculation period.
Example 1: An employee temporarily loses work capacity for 25 calendar days in June 2026. In this case, four times the mandatory state social insurance contributions paid for the 1st quarter of 2026 and the 4th, 3rd, and 2nd quarters of 2025 are taken as total earnings. This amount is divided by the number of divisor calendar days over the consecutive four quarters to determine the average daily earnings. The resulting amount is then multiplied by 25 calendar days to calculate the total benefit.
Assume that mandatory state social insurance contributions totaling 1,800 manats were accrued and paid for the employee over the previous four quarters. The base amount to be considered will be 7,200 manats:
1,800 × 4 = 7,200 manats.
Assume there are 365 calendar days over four quarters with no excluded days. The employee temporarily lost work capacity for 25 calendar days. In this case, the calculation will be as follows:
7,200 ÷ 365 = 19.73 manats;
19.73 × 25 = 493.25 manats.
It should be noted that prior to the amendment, working days were used as the basis for calculations. After the approval of the rules in the new edition, calendar days are taken into account instead of working days.