Greece is the cham­pion in de­duc­tions

Kathimerini English - - Front Page -

Greece is the leader in with­hold­ing money from work­ers’ salaries among the coun­tries of the euro­zone and the Or­ga­ni­za­tion for Eco­nomic Co­op­er­a­tion and Devel­op­ment (OECD), new data show.

As of this year, for ev­ery 100 eu­ros em­ploy­ers pay for their em­ploy­ees, just be­tween 42.50 and 67 eu­ros will reach work­ers’ pock­ets, de­pend­ing on the size of the salary. The re­main­der, from 33 to 57.50 eu­ros, goes into state cof­fers, ei­ther in the form of so­cial se­cu­rity con­tri­bu­tions or in the form of taxes.

The in­come tax and sol­i­dar­ity levy are now di­rectly de­ducted from work­ers’ gross salaries based on the new tax rates, while half a per­cent­age point has been added to the so­cial se­cu­rity con­tri­bu­tion paid by the em­ployee and that paid by the em­ployer.

There­fore, from the av­er­age an­nual gross salary of a worker with two chil­dren com­ing to 20,296 eu­ros, the state is with­hold­ing a far from neg­li­gi­ble 40.9 per­cent this year. In prac­ti­cal terms this means that the em­ployer pays 25,573 eu­ros per year, of which 33.33 per­cent goes to the pen­sion funds, 7.56 per­cent goes to the tax author­i­ties and the em­ploy­ers is left with 20,110 eu­ros per year net, or 1,080 eu­ros per month, even though the em­ployer has paid 1,826 eu­ros. THANOS TSIROS

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