How to calculate the net salary

When they make you an offer of work, the most normal thing is that they talk to you about an annual gross salary. Follow these tips to calculate the net salary you will receive each month and avoid surprises. Basically, to know it you will have to add the withholding of the Social Security and the IRPF and then subtract it from the gross salary.

one

To calculate your net salary you first have to know your gross salary and know if your contract is indefinite or temporary because according to the modality, Social Security discounts a percentage or another. Thus, if you are a temporary worker you will be retained 6.4% of your gross salary for Social Security. If your annual gross were € 1000 with payments included, your gross payroll would be deducted € 64. If your contract is undefined, a 6.35% is applied, which in the case would subtract € 63.5.

two

Then, the IRPF discount should be calculated, which could vary from 2% to 46% depending on the salary received and the worker's socio-personal status (number of children, physical conditions, marital status, etc.). Find out what is your specific case and what percentage corresponds to you for the calculation. If your case is equivalent to the minimum of IRPF (2%), 20 € would be deducted from your gross payroll for any type of contract. The scale of withholdings applicable to 2016 will be 19% for salaries of up to € 12, 450 per year, of 24% for salaries between € 12, 450 and € 20, 200 per year, of 30% of those located in the section between € 20, 200 and € 35, 200 per year. With regard to the highest salaries, between € 35, 200 and € 60, 000 a year, the retention will be 37%, while those that exceed € 60, 000 will have a 45% withholding.

3

Once the Social Security and IRPF discounts have been calculated, you must add them to calculate the total discount. In the previous example this would be equivalent to € 84 in the case of having an eventual contract (€ 64 of SS + € 20 IRPF) and € 83.5 in the case of an indefinite contract (€ 63.5 of SS and € 20 of IRPF). Subtract the total discount to the value of your gross salary. Following the example: Temporary contract: 1000 - 84 = € 916 net per year.

4

Finally, divide the annual net amount by the number of payments you have per contract. The result will be your monthly net salary. Finishing the example: Temporary contract: 916/14 (pays) = 65.43 € net per month.

• We have used an example (1, 000 euros gross per year) unlikely. It simply serves to exemplify the case better.