Payroll tax is tax that is mandatorily withheld from your salary. This is determined by law and occurs automatically. The first column shows the amounts that have been withheld in the month to which the salary slip pertains. The second column shows the total of the payroll taxes for the entire year.
- Wages wage tax: this is the amount over which your payroll tax is calculated.
- Wage tax: this is the amount of payroll tax that must be withheld by the employer.
- Wages wage tax (special rate): this is the number of special payments, such as holiday allowance and end-of-year bonus, over which your payroll tax is calculated at a special rate.
- Wage tax (special rate): this is the amount of payroll tax on special payments, such as holiday allowance and end-of-year bonus, which must be withheld by the employer.
- Labour deduction: this is the discount on your payroll tax and national insurance contributions. The amount of this discount is calculated automatically.
Your December salary slip will also show the total amounts for the entire year. These can also be found on the annual income statement that you will receive in January of the following year. These amounts are important and may be relevant to your tax return, for example, so make sure that you keep these documents in a safe place.