Which taxes and fees do I have to deduct from my salary?
March 26, 2022 | 30,00 EUR | answered by Thomas Schottmann
Dear tax advisor,
my name is Siegfried Pilz and I work as an employee in a medium-sized company. Lately, I have noticed that my net salary is lower than expected. I am now wondering which taxes and deductions are being taken from my gross salary and if these amounts are correct.
I have limited experience with payroll and tax issues, so I am unsure if I am understanding everything correctly. I want to make sure that I am not overlooking any important information and that my salary is being calculated correctly.
Furthermore, I am concerned if I may be paying too much in taxes or if there are ways to optimize my deductions. Could it be possible that I have not taken certain allowances or tax benefits into account?
Could you please explain to me in detail which taxes and deductions are being taken from my salary and how these amounts are calculated? Are there ways to reduce my tax burden or optimize my deductions? I would greatly appreciate your professional advice and support.
Thank you in advance.
Sincerely,
Siegfried Pilz
Dear Mr. Pilz,
Thank you for your inquiry regarding your payroll and deductions from your salary. It is understandable that you are concerned about whether the amounts are correct and if there are ways to optimize your tax burden.
Firstly, I would like to explain to you which taxes and deductions are taken from your gross salary. The most common deductions include income tax, social security contributions, and possibly additional deductions such as church tax or solidarity surcharge.
Income tax is a tax that is paid directly by your employer to the tax office. The amount of income tax is based on your income, tax class, and other factors. In addition, social security contributions are deducted to finance various social benefits such as health insurance, pension insurance, and unemployment insurance.
It is important to check if your tax class is correct and if all tax-free allowances you may be entitled to have been taken into account. You may be able to reduce your tax burden by applying for allowances or tax benefits, such as work-related expenses, special expenses, or extraordinary burdens.
To optimize your deductions, I recommend conducting a thorough analysis of your payroll and possibly consulting with your employer or a tax advisor. It may be beneficial to file a tax return to receive possible tax refunds.
I am available to clarify any further questions you may have and to assist you in optimizing your tax burden. Please do not hesitate to contact me if you need more information.
Best regards,
Thomas Schottmann, Tax Advisor
