Bulgaria's current social security laws were changed as recently as the year 2000.

The National Social Security Institute administers cash benefits, while the National Health Insurance Fund is in charge of medical benefits.

The system is one of social insurance - social security contributions are compulsory for all employees of both Bulgarian and foreign firms in the country.

The rate of social security contributions is 1% for employees, with unemployment fund contributions at 0.5%.

Medical benefits in Bulgaria are funded through compulsory health insurance contributions - all Bulgarian citizens and foreign residents who have permanent residence status (i.e. married to a Bulgarian citizen for at least 2 years, or who have lived there legally for 5 years or more) have to pay these contributions. The rate for these is 6%, split equally between employers and employees.