Salary calculation with the gross-to-net calculator
With a salary calculator, users determine their net earnings from their gross salary for the year 2016 and previous years.Gross-to-net calculatorInterested users can find them online in various versions. Their calculations sometimes differ. Likewise, not all tools are equally good.
Annually updated gross-to-net calculators with precise results
It is important that the gross-to-net calculator uses the tax and social insurance values updated for the current tax year. Social legislation and tax law change annually. This alters income and payroll taxes. Users should ensure that they use a gross-to-net calculator from a site operator who continuously updates these changes in the software. Only then will they receive reliable figures for the net salary of the respective year.
Tax and social insurance contributions are subject to fluctuations
Changes to social insurance and tax provisions occur at the beginning of a year. The legislator usually enacts these at the end of a calendar year, so they only come into force in the new year. To achieve accurate results with the gross-to-net calculator, the developer adjusts the software. Calculators reviewed by a tax lawyer are recommended. In Austria, the gross-to-net calculator from the portal of the Chambers of Labour or the tool at www.bruttonettorechner.at is recommended.
Tools that are simple to use
An important aspect for users of gross-to-net calculators is ease of use. Many tools are self-explanatory and provide a detailed description of the data to be entered in the respective fields of the calculator at the bottom. A gross-to-net calculator works with various values. In most cases, the user first enters the main input figures. Many other values that affect social insurance and tax benefits are added. These factors include the number of children, the contribution to the company pension fund (betriebliche Vorsorgekasse), the single-parent tax credit (Alleinerzieherabsetzungsbetrag) and other information.
Exact calculation only at the tax office
Typically, gross-to-net calculators do not provide a reliable result. They only offer an estimate of how net salary is composed from gross salary. Given the various parameters to be entered, calculation by a universal tool is too complex. Users can obtain an exact calculation only from the tax authority or a tax advisor.
Using gross-to-net calculators
Such a tool is useful in many cases during salary negotiations. It gives users an approximate value of what remains net from gross. Additionally, interested parties aiming for a certain net salary can determine how high the gross amount must be.
Interface of a gross-to-net calculator
Using the tool at www.bruttonettorechner.at makes usage easy. The calculator for the year 2016 has several fields that users select or complete with their entries. One of the most important entries is the gross salary. The user sets the annual or monthly amount in the upper part. He then selects the corresponding payroll period. To determine the net amount, users select the calculation Brutto > Netto. The group status is also important. Here the user decides whether they are an employee, a pensioner or a worker.
For more precise results, the interested person enters additional details about their personal situation. These include information about the company pension fund and the single-parent tax credit. Family circumstances also play a role. Users enter the number of their children. Received allowances and benefits in kind require the specification of exact values.
Commuting costs are claimed by customers under the large or small commuter allowance. The exact number of commuter kilometers must also be specified. Finally, the user states their federal state and the respective tax year. On request, the gross-to-net calculator calculates the employer's costs. To do so, they click the field "Dienstgeberkosten anzeigen" with "Ja".
After pressing the calculate button, the tool displays the net income. In a table, users find the amounts for income tax and social insurance. Added to these are amounts for Christmas or holiday pay in the form of a 13th and 14th month's salary as well as the expected annual remuneration.
