what u think,,opinions and suggestions will be appreciated..

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AldenG
Posts: 3357
Joined: Wed Apr 29, 2009 3:11 am

Re: what u think,,opinions and suggestions will be appreciat

Post by AldenG » Thu Jan 16, 2014 10:54 pm

Jesse is saying more clearly what I tried to explain to you in a general way.

It looks like we both believe the extra deduction is likely to be tax you pay (by deduction) on your free housing and meals, separate and in addition to the tax you pay on your cash salary.

Of course there might be something else incorrect, but this tax explanation seems most likely.


As he persisted, I was obliged to tootle him gently at first and then, seeing no improvement, to trumpet him vigorously with my horn.

Re: what u think,,opinions and suggestions will be appreciat

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CH
Posts: 869
Joined: Fri Nov 11, 2005 10:13 am
Location: Espoo

Re: what u think,,opinions and suggestions will be appreciat

Post by CH » Fri Jan 17, 2014 3:28 pm

Yes, it's most probably tax on fringe benefits. By law, any fringe benefit is to be taxed according to its nominal value. So, if you have housing and meals "free" that is a form of salary payment and is taxed. That goes for more or less anything that you get from an employer. The reason for this is that one cannot circumvent taxation by providing part of the salary as a fringe benefit. So yes, the housing is "free", but it is really in lieu of monetary payment and you pay tax accordingly. One cannot try to cheat either by paying, say, 1 euro a month in rent. The rest, up to a nominal value, would then be counted as a gift/benefit and taxed (I'm not totally sure how it works in this case... but the point is the tax office will look to it that they get their part, no matter what you do).

A good article about it can be found here: https://www.yrityssuomi.fi/luontoisedut ... okuntaedut (select "English" at top right corner)

If you don't trust the family to actually have payed the tax you can always call the Vero office and ask them.

cors187
Posts: 1861
Joined: Sun Feb 06, 2011 11:59 pm
Location: land of the thunder hammers

Re: what u think,,opinions and suggestions will be appreciat

Post by cors187 » Sat Jan 18, 2014 1:14 pm

I think the main issue is that the OP has very little income and that in reality he never agreed to the low salary. He agreed to the salary without the employer taking out the extra (Owed to Employer).
So to my understanding the employee signed a contract which he was not aware that the employer would take out the costs of living.

http://www.vero.fi/en-US/Precise_inform ... 2826220%29
Full room and board
15 §

The value of room and board, lighting and heating is €453.00 per month in a single room and €435.00 per month in a shared room.
Theoretically you could live for under 300/month including a bed and buying very cheap discount food?, do most agree?

Lets agree that the absolute diverse eating minimum could not be under 3 Euro a day 3x30=90 euro/month

Through years of being here , generally a single room from the forum or another source does NOT appear for under 250 euro/month, OK so sometimes it does.Any price under or around that is a shared room.
Lets agree that the single room minimum could not be under 8.3 Euro a day 8.3x30= 249 euro/month
249+90=339Euro/month.
Establishing that under 300euro/month for room and board is cheap, now the extra 153 euro a month that the employer charges (5.1 euro a day) does not seem so high.

I think the fact of this thread is not the 453.00 euro/month deduction, its a moderate deal if the food is diverse and extras are abundant.
Its the total salary of 1500 euro thats the problem.
453/month reminds me of my mums place as a hungry teenager :roll:

vesak
Posts: 13
Joined: Tue Feb 13, 2007 10:25 pm

Re: what u think,,opinions and suggestions will be appreciat

Post by vesak » Sat Jan 18, 2014 6:02 pm

I understand this can be confusing & frustrating. Check your work contract and if needed talk with your employer to clarify matters.

Fringe benefits can be part of your salary, or they can be extra on top of salary. Depends on the company and employer.

Fringe benefits are always part of your total income taxation-wise
https://www.vero.fi/en-US/Precise_infor ... 2826220%29


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