Ignorant about taxes

[userface]

....

[raamv]

you have a basic rate and a higher rate. If you sent the tax card late, then it is possible that they used a higher rate for their safety.
Call your employer to ask them how they got the 25% rate ( Pay dept. or outsourced company).
On top of your tax comes the unemployment pension rate of approx 3-4.5%. and a 0.5-1% of.
If you are paid rent or other expenses ( as benefits) they deduct tax for those.

[shrecher]

I recently got my first paycheck and from the 2000€ gross salary I got, my take home pay is only 1500. It's almost like 25% tax. I want to know if this is too much or is it just about right. The taxcard I sent to our payroll office has 11% basic tax in it, that's why I was wondering how this seems to be a big cut to my salary.

I am thinking of actually rising my tax from 11% to 15% but with that I now know my take home pay would be a lot less.

What is included in the witholding tax, and how do they calculate it? Because when I tried to do the calculations myself. That is like 20% of my salary and nowhere near the 11% stated in my tax card.

~5% is deduction for social security and unemployment. This is not on your tax card and it is automatically added to gross present. For salary 2000 the tax is 19%+5%, it is 24%. If you declared in tax card the salary less then 2000, it means from sum exceeding the declared you will be taxed with additional percent (the declared is taxed by basic %). I think you've been taxed correctly

Check by this link: http://prosentti.vero.fi/veropros_tieto ... nguage=ENG
don't forget to add 5% on top of it.

[Hank W.]

I recently got my first paycheck and from the 2000€ gross salary I got, my take home pay is only 1500. It's almost like 25% tax. I want to know if this is too much or is it just about right. The taxcard I sent to our payroll office has 11% basic tax in it, that's why I was wondering how this seems to be a big cut to my salary.

OK, the tax card says 11% for a sum of money. 11% salary is something like 1000 euros a month. The tax card has two figures, the basic percent and the auxiliary percent. So any money earned above the basic goes auxiliary. So if the tax card says 11% for 1000 and rest at 38% you know what happens First 1000 is at 11% and the other 1000 is at 38%. You have it all written there in the 'paycheck' of what is taken and from where don't you? Very clear as mud. I translate those for a beer...

I am thinking of actually rising my tax from 11% to 15% but with that I now know my take home pay would be a lot less.

No, don't think.... Get your tax percentage according to 2000 per month salary, should be around 18-20% and that the excess is taken per month and not per annum. (You can go to the tax office with your last payslip and they'll know the answers to all the questions they will ask and you'll pop a vein trying to guess) Otherwise when you have earned the maximum (like if you have 20 000/year) then in November December you will get in the ass with the auxiliary 38%-42% tax. Which you cannot change then any more. Unless you are only working say on a contract and you know you won't be working any more after the 20 000 - you're in China or someplace. Then you have to do the opposite, keep the yearly balance, take the money and go. Otherwise... And the tax return/overtax comes then the year after that, so the best thing to figure is to keep the balance zeroed until you know exactly how the thing works

What is included in the witholding tax, and how do they calculate it? Because when I tried to do the calculations myself. That is like 20% of my salary and nowhere near the 11% stated in my tax card.

Yes well even if you don't know how to read your tax card, you can calculate the tax right, it is about 20% from 2000/mo = 24000/year salary

Oh, and congratulations on the job.