[#1] A PLN 21 Billion Crisis: The real story of the debt drowning 640,000 Polish businesses.

On the Polish economic landscape, a red warning light is flashing that cannot be ignored. The debt of active payers to the Social Insurance Institution (ZUS) has exceeded an astronomical PLN 21 billion. This problem directly affects almost 640,000 entrepreneurs. Yet this figure, alarming in itself, is not just a line in the balance sheet of a state institution. Behind each of these statistics there is the story of a specific company, the owner’s difficult choices, and the stress that comes with losing liquidity.

We take a closer look at how large the scale of this phenomenon really is and why it is a key barometer of the condition of Polish SMEs.

A worrying signal for Polish business

When we look at PLN 21.1 billion in arrears owed to ZUS, it is easy to get lost in the zeros. To understand the gravity of the situation, we need to see who these numbers refer to. These are not abstract entities. This is the backbone of the Polish economy - the small and medium enterprise sector, which is facing unprecedented cost and operational pressure.

As entrepreneurs, we understand this reality all too well: the constant race against time, rising costs, and the need to choose which invoice to pay first. For nearly 640,000 companies in Poland, that choice has resulted in overdue social contributions. This is a sign that systemic pressure on cash flow has reached a critical point.

The human story behind the statistics

Official reports are impersonal. Business is not. Business is run by people. Behind every single case of arrears stands an entrepreneur who most likely had to make a dramatic decision: pay employees, settle a key supplier invoice, or transfer funds to ZUS.

This problem is extremely diverse, just as diverse as Polish business itself:

On one hand, there are arrears of a symbolic one grosz (1gr), which technically makes a company a debtor.
On the other, there are extreme cases, including a record holder with a debt of almost PLN 819 million.

This huge spread shows that the “debt noose” does not pick and choose. It can affect both a sole proprietor fighting to survive month to month and a large organization that lost liquidity due to late payments and blocked cash flow.

How big is the “average” problem? Exactly PLN 33,700

The average debt of a statistical Polish entrepreneur to ZUS has risen to PLN 33,700.

For a large corporation this is a rounding error. But for the SME sector this amount has a very concrete dimension:

It is the equivalent of several months of work of a key specialist.
It is the cost of a new machine that could speed up production.
It is a marketing budget that could bring in new customers.

Instead of working for your growth, this money turns into a burden that slows down every business decision. What is worse, the dynamics of debt growth (over 7 percent year on year) show that the problem is not going away - it is getting worse.

Not just “here and now”. The historical context matters

To put this data into perspective, it is worth comparing it with the situation before the pandemic. According to the Supreme Audit Office (NIK), at the beginning of 2020 the number of active debtors hovered around 550,000. The current increase to nearly 640,000 shows that we are dealing with a lasting deterioration in the financial condition of the SME sector.

Importantly, the problem is not a sudden inflow of new, “bad” companies. The data suggests that the main driver of this debt is the deepening difficulties of entrepreneurs who were already in arrears. It is a snowball effect: an unpaid contribution generates interest, blocks access to public tenders or leasing, and in turn makes it harder to earn money to repay the debt.

ZUS as “lender of last resort”?

The data reveal a fascinating and dangerous paradox. While ZUS arrears are growing, tax arrears (VAT, CIT, PIT) in many areas are falling or growing much more slowly. Why?

In a constrained liquidity environment, entrepreneurs must prioritize payments. The Tax Office, with its highly effective enforcement tools (for example fast bank account freezes), is treated as a priority. ZUS, by contrast, is often seen as a “more patient” creditor, with whom it is easier to negotiate an installment plan.

This is a dangerous trap. Treating ZUS contributions as free working capital is a shortcut to losing entitlement to sickness benefits or drastically reducing your future pension. Sometimes, a better solution for preserving liquidity is external bridge financing that allows you to “clean up” your ZUS account and regain the status of a reliable payer.

👉 Learn more: Bridge loan - what it is and when it is worth using

The end of the illusion: Why an installment arrangement is not always enough

Many entrepreneurs hope that an installment arrangement with ZUS will solve their problems. Although it is an important tool that stops enforcement, it does not erase the debt from your company’s history or immediately restore credibility in the eyes of banks.

What is more, an installment arrangement is still a debt that has to be serviced every month, alongside current contributions. For a company that is already struggling with cash flow, this double burden can become the final nail in the coffin.

That is why a strategic approach is crucial. Instead of rolling over the debt indefinitely, it is worth considering its full repayment in order to regain a clean slate and operational freedom.

👉 Read our analysis: Bridge loan or installment arrangement

Takeaways for 2026

The PLN 21 billion in debt is not just a macroeconomic statistic. It is the sum of thousands of individual decisions made under pressure. If your company is part of this statistic, remember: ZUS is not a bank, and arrears in social contributions are the most expensive way to finance your operations.

At PaveNow, we believe that finances should be talked about openly. ZUS debt is a warning sign, not a sentence. You have options - from negotiations with the authority to market financial instruments that allow you to turn toxic public law debt into a predictable installment and regain peace of mind.

Data sources used in the analysis

Periodic reports of the Social Insurance Institution (ZUS) on the financial situation of the Social Insurance Fund (2023-2025).
Activity reports of the National Revenue Administration (KAS) for 2024-2025.‍
Supreme Audit Office (NIK) report on the collection of social insurance contributions.

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