Why Pensions are double taxed?

[Beep_Boop]

AFAIK, your calxulations and assumption aren't correct. The pension contribution is deducted from the gross (brutto/pre-tax) salary.

[Upphew]

Shouldn't the pension and unemployment contribution be deducted from the gross income before calculating the income tax, like?

They are: https://www.vero.fi/fi-FI/Syventavat_ve ... utusmaksut_

[wolf80]

I thought the same until I checked my payslip closely today. Can you check yours and do some calculations yourself?

Either you can't properly read your payslip, or your employer is cheating you out of your money. All of my payslips take the pension contribution out of the taxable income.

[Upphew]

AFAIK, your calxulations and assumption aren't correct. The pension contribution is deducted from the gross (brutto/pre-tax) salary.

I thought the same until I checked my payslip closely today. Can you check yours and do some calculations yourself?

The pension insurance and withholding tax are both calculated from brutto. Thus it seems you pay taxes on your pension insurance. But you don't pay taxes according to payslip. You pay them according to pre-completed tax return. Check your numbers from that.

[Rip]

"Työeläkemaksut" is probably the largest automatic deduction for most employed persons. Yes, the tax percentage on pay slip is applied to the gross, pre(employee)-pension payment sum, but the percentage itself is calculated by route where pension payments are deducted from the estimated gross salary. Also the final taxes are calculated by this way.

[Beep_Boop]

I've just checked the yearly big-a** paper from Vero. To me it seems pretty clear that the pension contributions are deducted from the pre-tax amount.