Wage Tax: check percentages

Wage tax / social insurance contributions [loonheffing] (in some instances abbreviated to 'tax' or 'wage tax') are calculated using a graded tax system based on income brackets [schijventarief]. For each income bracket a different percentage is applied. In this step you can define these percentages.

Standard settings

The percentages for brackets 1, 2, 3, 1; 65 and older and for the special rate for non-recurring payments (45% regulation) are supplied by SAP as part of the standard delivery. If necessary you can make interim changes. Please note that when making changes you must always use the percentages defined by the tax authorities.

Activities

1. Check the percentage for bracket 1 and change if necessary.

2. Check the percentage for bracket 2 and change if necessary.

3. Check the percentage for bracket 3 and change if necessary.

4. Check the percentage for bracket 1; 65 and older and change if necessary.

5. Check the percentage for the 45% regulation and change if necessary.

6. Interim changes: Delimit the old data and create a new record with the correct start date and new percentages. Unchanged data must be transferred into the new record.

&ADDITIONAL HINTS&