Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
€ 11,981
Income Tax
- € 60.82
Health care
- € 365
Pension
- € 958
Dependency Insurance
- € 70.57
Total tax
- € 1,455
Net pay
* € 10,526
Marginal tax rate
20.5%
Average tax rate
12.1%
87.9%
Net pay
12.1%
Total tax
Total tax
Net pay
Summary
If you make € 11,981 a year living in Luxembourg, you will be taxed € 1,455. That means that your net pay will be € 10,526 per year, or € 877 per month. Your average tax rate is 12.2% and your marginal tax rate is 20.5%. This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of € 100 in your salary will be taxed € 20.51, hence, your net pay will only increase by € 79.49.
Bonus Example
A € 1,000 bonus will generate an extra € 795 of net incomes. A € 5,000 bonus will generate an extra € 3,975 of net incomes.
NOTE* Withholding is calculated based on the tables of Luxembourg, income tax. For simplification purposes some variables (such as marital status and others) have been assumed. This document does not represent legal authority and shall be used for approximation purposes only.