Isn’t income tax rate around 40-42 percent in Germany for average income of 3000-3500 euros?
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@TheLightning nope. I don’t know the correct term for it. Google just says top tax rate. The following numbers are not correct but it discribes the principle.
In Germany you earn 9744€ taxfree.
For every additional euro you have to pay taxes. The more you earn, the more you have to pay. But not in general, but for the additional euro. The Top Tax Rate of 42% begins at 66.7k. If you earn 66.7k you pay around 18.2% taxes. But every additional euro is taxed by 42%.
So every additional earned euro is taxed harder until you cap out at 66.7k ( in 2024)
Your average tax ceeps increasing (of course) if you earn over 66.7k. This is around 5.5k monthly
In Germany you earn 9744€ taxfree.
For every additional euro you have to pay taxes. The more you earn, the more you have to pay. But not in general, but for the additional euro. The Top Tax Rate of 42% begins at 66.7k. If you earn 66.7k you pay around 18.2% taxes. But every additional euro is taxed by 42%.
So every additional earned euro is taxed harder until you cap out at 66.7k ( in 2024)
Your average tax ceeps increasing (of course) if you earn over 66.7k. This is around 5.5k monthly
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@SchlaubiSchlumpf got it, thanks for very detailed answer. I guess Germany is in good shape for income tax. I heard Belgium is crazy high.
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