Meaning of GPS in Accounting (What it is, Concept and Definition)

GPS stands for Social Security Guide, a document for payment of insurance collected by the National Institute of Social Security (INSS), an autarchy of the Federal Government of Brazil, which guarantees the taxpayer the retirement, pension for death, sickness benefit, maternity benefit, accident benefit, among others, provided for by law.

The collection of the GPS can be done by the company where the employee is hired, being deducted from the employee's salary, such as also by the individual taxpayer, optional taxpayer, domestic employer and by the special insured, upon payment of beef.

To be entitled to the Social Security benefit, the taxpayer must pay monthly, during a specified period, the individual taxpayer, the optional taxpayer and the domestic employer (relating to the employee) may be able to pay on the value.

The rates for payment of GPS contributions vary according to salary and type of worker, and are available on the Social Security website.

GPS contributors are classified into:

Employee - workers hired with a formal contract, temporary workers, persons who provide services to public agencies without contests, Brazilians who work in national companies located abroad, among other.

individual taxpayer – those who are self-employed and workers who provide services to companies, without an employment relationship. Individual taxpayers include taxi drivers, cooperative members, street vendors, day laborers, electricians, etc.

Optional taxpayers – all those over 16 years of age who do not have their own income, but contribute to Social Security. Among them are students, housewives, etc.

domestic servants – all workers who provide services in private homes, as long as the activity is not for profit for the employer. Among them are domestic servants in general, nurses, housekeepers, gardeners, caretakers, etc.

special taxpayer – every worker who carries out their work in rural activities for the subsistence of their own family. Fishermen are also included in this classification.

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