How Much Do I Pay for an Employee With Companio Work?
All employees, including Estonian ones, will be incorporated into the Companio Work system for management and administration purposes.
During the first month, you will receive two invoices. We will use a Spanish Customer Support Agent as an example:
a. The first invoice, which will be paid only on the first month, and includes:
Registration fee: This is a fee that you only pay once when you register as an employee. It’s a single payment of €290 for the registration process. Once paid, you won’t need to pay this fee again.
Monthly fee: Our monthly fee varies depending on the employee’s country of residence. For example, the monthly fee would be €590 for an employee residing in Spain..
Salary: Let's assume the net salary is €1100. The gross salary would be approximately €1408, which includes bonuses and allowances.
Social taxes, unemployment, and other social benefits: €556
Deposit: This deposit serves as a safeguard for any unforeseen issues or delays in the payment of the employee's salary. It functions similarly to a rental or security deposit. The deposit amount corresponds to the employee's complete salary, including gross salary and social taxes (€1965 in this case). However, it's important to note that the deposit will be refunded if no unexpected complications arise during the employment period.
b. The regular monthly invoice, encompassing the gross salary, social taxes, and monthly fee.
Gross salary of the employee: €2000
Social taxes, unemployment, and other social benefits: €796
Monthly fee: €490.
Then the second and subsequent invoices you will receive just the regular monthly invoice, that includes only the following:
Gross salary of the employee: €1408.
Social taxes, unemployment, and other social benefits: €556.
Monthly fee: €590.
So, in this case, the total amount of the first invoice for this employee would be €4809, and for the second one, it would be €2554.
You can calculate how much you would have to pay for hiring an employee here, but please note that the calculation does not include VAT (22%), which will be reimbursed later.
In addition, the amounts are approximate. It's just an estimate, and there can be a variation of up to 5% (but generally much less). This is because the taxes on employee salaries depend on various factors, including their tax residence, marital status, family situation, or length of employment.
If you would like us to provide an estimate, don't hesitate to contact us.
Once we have sent that estimate, you can reject it if you disagree. In that case, you will need to ask those employees to register as freelancers in their country and invoice your company.
During the first month, you will receive two invoices. We will use a Spanish Customer Support Agent as an example:
a. The first invoice, which will be paid only on the first month, and includes:
Registration fee: This is a fee that you only pay once when you register as an employee. It’s a single payment of €290 for the registration process. Once paid, you won’t need to pay this fee again.
Monthly fee: Our monthly fee varies depending on the employee’s country of residence. For example, the monthly fee would be €590 for an employee residing in Spain..
Salary: Let's assume the net salary is €1100. The gross salary would be approximately €1408, which includes bonuses and allowances.
Social taxes, unemployment, and other social benefits: €556
Deposit: This deposit serves as a safeguard for any unforeseen issues or delays in the payment of the employee's salary. It functions similarly to a rental or security deposit. The deposit amount corresponds to the employee's complete salary, including gross salary and social taxes (€1965 in this case). However, it's important to note that the deposit will be refunded if no unexpected complications arise during the employment period.
b. The regular monthly invoice, encompassing the gross salary, social taxes, and monthly fee.
Gross salary of the employee: €2000
Social taxes, unemployment, and other social benefits: €796
Monthly fee: €490.
Then the second and subsequent invoices you will receive just the regular monthly invoice, that includes only the following:
Gross salary of the employee: €1408.
Social taxes, unemployment, and other social benefits: €556.
Monthly fee: €590.
So, in this case, the total amount of the first invoice for this employee would be €4809, and for the second one, it would be €2554.
How Do I Accurately Calculate How Much I Have to Pay For Hiring an Employee Using Companio Work?
You can calculate how much you would have to pay for hiring an employee here, but please note that the calculation does not include VAT (22%), which will be reimbursed later.
In addition, the amounts are approximate. It's just an estimate, and there can be a variation of up to 5% (but generally much less). This is because the taxes on employee salaries depend on various factors, including their tax residence, marital status, family situation, or length of employment.
If you would like us to provide an estimate, don't hesitate to contact us.
Once we have sent that estimate, you can reject it if you disagree. In that case, you will need to ask those employees to register as freelancers in their country and invoice your company.
Updated on: 20/02/2024
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