32.75% taxes. That is so low.
32.75% taxes. That is so low.
I'd imagine that those who earn 10x what you earn hit the €75518 faster than you so they pay their fair share faster. No? Define "fair".
Many people ignore portugal mandatory social contribution, it is mandatory even if you earn minimum wage, and the tax there is about 34% (forgot exact number, the way they charge make it clunky to calculate). Most portuguese people think this tax is "only" 11% because the rest of the tax is "paid" by the employer. Average people don't understand that if your salary was supposed to be 1000 and you get only 650 after tax you paid 350 in taxes even if your paycheck says your pretax salary is 800.
Note: the income tax is paid on top of the social contribution, so is easy to end paying 50%+ taxes if you are in tech. Then Portugal gets mad with all recent grads moving to Germany. (By the way, I still live in Portugal but all companies I worked for since moving here were German, Portuguese companies can't compete in wages)
Then you have Social Security (mandatory): 11% on the employee and 23,75% on the employer, or 21,4% for independent workers.