Net salary calculator 2021
As an employee in the Czech Republic, you could be eligible to receive certain credits and relief on taxes. Use our calculator to find what your net salary will look like after these benefits and your insurance payments!
Calculating your net salary in the Czech Republic
The Czech super-gross salary and solidarity tax was cancelled beginning 1.1.2021. As employers don't need to pay additional income tax for employees in super-gross salary, it might affect employees' net gross Czech Republic salary, and employees can earn higher clean salaries.
Czech employees with high wages always paid solidarity tax. The solidarity tax has been cancelled from 1.1.2021 but tax rates have changed, as follows:
- Tax rate up to 141.764 CZK monthly gross salary is 15%
- Tax rate over 141.764 CZK monthly gross salary is 23%
You can see examples explaining this below:
Example 1: working mother with two children
Gross salary: 35.000CZK/month
Deposit income tax BEFORE discounts (15% from 35.000CZK): 5.250CZK
- Credit for tax payer: 2.320CZK
- Tax discount for the first child: 1.267CZK
- Tax discount for the second child: 1.617CZK
Deposit income tax AFTER discounts = 245 CZK
Insurance paid by the employee:
6,5 % social tax = 2.275CZK
4,5% health insurance = 1.575CZK
Net salary after deposit income tax and insurance = 30.904CZK
Insurance paid by her employer:
24,8 % social tax = 8.680CZK
9 % health insurance = 3.150CZK
If your annual salary is 48 times higher than an average salary (35 441CZK/month) – then your salary is considered to be “exceptionally high” in the Czech Republic and you will no longer pay a solidarity tax. A new tax rate is ready to take over solidarity tax‘s job and charge you 23% for every Czech Crown which passes the limit of your exceptionally high salary.
Gross salary: 150.000CZK/month
The limit for a monthly gross salary with a possibility of 15% tax rate is 141.764CZK.
150.000CZK – 141.764CZK (15% tax rate) = 8.236CZK (23% tax rate) (amount over limit)
141.764CZK x 15 % = 21 264,6CZK
8.236CZK x 23 % = 1.894,28CZK
23.159CZK – 2.320CZK (credit for a tax payer) = 20.839CZK – Total month tax
How much will I make after taxes? Your Czech net salary calculator
One of the most common and first questions people ask and want to know when they to begin working in the Czech Republic is “How much I will make after taxes” Tax rates in Czech Republic can be a little difficult to understand at first, but are very manageable and will make more sense the more you get familiar with them. Our quick and handy net salary calculator will help you figure out how much you will be earning after taxes in the Czech Republic. Having a good handle on how the process works and how much you will be earning can make your life here much easier to plan.
At Pexpats, we’ve been assisting students and professionals adjust to their new lives in the Czech Republic. We offer services that range from registering for a temporary residency card, parking permits, arranging Czech trade licenses, and acquiring necessary insurance to Czech foreign police registration, translation services, and one-on-one consulting. No matter where you’re from, we have the experience to guide you through the processes of getting set up in your new home, or helping you update your visa or other legal statuses while living here. We provide quick answers and support at every step of the way, and even developed an app so you can find what you need at the touch of a button.