Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
€ 2,988
Health care
- € 91.13
Pension
- € 239
Total tax
- € 330
Net pay
* € 2,658
Marginal tax rate
11.1%
Average tax rate
11.0%
89.0%
Net pay
11.0%
Total tax
Total tax
Net pay
The Taxberg
€ 2,658
Net pay
€ 457
Tax the employer pays
€ 330
Tax you pay
Total tax paid
€ 787
Did you know your employer also pays tax on your salary? It costs the employer € 457 to pay you € 2,988. In other words, every time you spend € 10 of your hard-earned money, € 2.63 goes to the government.
Real tax rate
22.9%
So, with you and the employer both paying tax, what used to be a 11% tax rate now rises to 22.9%, meaning your real tax rate is actually 11.9% higher than what it seemed at first.
Summary
If you make € 2,988 a year living in Luxembourg, you will be taxed € 330. That means that your net pay will be € 2,658 per year, or € 221 per month. Your average tax rate is 11.1% and your marginal tax rate is 11.1%. 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 € 11.05, hence, your net pay will only increase by € 88.95.
Bonus Example
A € 1,000 bonus will generate an extra € 890 of net incomes. A € 5,000 bonus will generate an extra € 4,448 of net incomes.
Compare average tax
North America
Country 
Net pay
Average tax
Rank
USA
EUR 2,729
8.7%
1
Canada
EUR 2,599
13.0%
2
Asia / Pacific
Country 
Net pay
Average tax
Rank
Australia
EUR 2,988
0.0%
1
Singapore
EUR 2,988
0.0%
2
Hong Kong
EUR 2,988
0.0%
3
Pakistan
EUR 2,954
1.1%
4
Thailand
EUR 2,839
5.0%
5
Philippines
EUR 2,819
5.7%
6
Indonesia
EUR 2,747
8.1%
7
Taiwan
EUR 2,724
8.9%
8
South Korea
EUR 2,669
10.7%
9
Malaysia
EUR 2,635
11.8%
10
New Zealand
EUR 2,633
11.9%
11
India
EUR 2,629
12.0%
12
China
EUR 2,594
13.2%
13
Vietnam
EUR 2,518
15.7%
14
Japan
EUR 2,428
18.7%
15
Kazakhstan
EUR 2,366
20.8%
16
Show more
Africa
Country 
Net pay
Average tax
Rank
South Africa
EUR 2,958
1.0%
1
Morocco
EUR 2,774
7.2%
2
Kenya
EUR 2,569
14.0%
3
Ivory Coast
EUR 2,540
15.0%
4
Cameroon
EUR 2,521
15.6%
5
Zambia
EUR 2,469
17.4%
6
Mozambique
EUR 2,447
18.1%
7
Ghana
EUR 2,365
20.9%
8
Angola
EUR 2,288
23.4%
9
Senegal
EUR 2,246
24.8%
10
Uganda
EUR 2,221
25.7%
11
Nigeria
EUR 2,149
28.1%
12
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Middle East
Country 
Net pay
Average tax
Rank
Saudi Arabia
EUR 2,988
0.0%
1
United Arab Emirates
EUR 2,839
5.0%
2
Qatar
EUR 2,839
5.0%
3
Bahrain
EUR 2,749
8.0%
4
Oman
EUR 2,749
8.0%
5
Kuwait
EUR 2,659
11.0%
6
Israel
EUR 2,595
13.2%
7
Lebanon
EUR 2,419
19.1%
8
Egypt
EUR 2,351
21.3%
9
Turkey
EUR 1,918
35.8%
10
Show more
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.