Payroll management, first of all, you can distinguish the difference between these kinds of salaries!

Payroll management, first of all, you can distinguish the difference between these kinds of salaries!

What is the pre-tax salary actually? What is the difference between payable wages and actual wages? Why is the social security contribution salary different from the actual salary? 鈥︹€?There will always be people asking HR: what is the actual pre-tax salary? What is the difference between payroll payroll and actual pay? Why is the social security contribution salary different from the actual salary? As an HR, I can't answer, isn't it very depressing...... Don't worry! To get the answer to the above question, you have to sort out a few important salary concepts and remember a few important formulas. Wages should be paid, that is, the wages and benefits that workers should receive according to the labor they have paid. There are generally post wages, salary scales, performance wages, bonuses, overtime pay, various subsidies and allowances on the payroll. All of this adds up to payable. Article 4 of the Provisions on the Composition of Total Wages, which came into effect on January 1, 1990, stipulates that total wages shall be composed of the following parts: 1) hourly wages; 2) piece-rate wages; 3) bonuses; 4) allowances and subsidies; 5) Overtime pay; 6) Wages paid under special circumstances. Wages payable = basic salary + bonus + allowance and subsidy + overtime pay + wages paid under special circumstances - the part of the reduction in wages or bonuses caused by the employee's absence or absenteeism due to personal reasons. Actual wagesActual wages, also known as due wages, are the wages and remuneration that the employee should actually receive or the employer should actually pay to the employee. According to the provisions of the Interim Regulations on the Payment of Wages, the employer may withhold and pay all social insurance premiums, housing provident fund, and individual income tax payable by the individual worker as stipulated in the law. Actual wages are not the same as wages due. Actual salary = salary payable - part paid by individuals with five insurances and one housing fund - individual income tax payable. Take the monthly salary of 5,000 yuan as an example (the proportion will vary from place to place): 5,000-400 (pension) - 100 (medical insurance) - 10 (unemployment) - 600 (housing provident fund) - 11.25 (personal income tax) = 3,878.75 yuan. The salary should be paid 5000 yuan, and the actual salary is 3878.75 yuan. Contribution wages are the basis for the payment of social insurance premiums by units and employees. It is determined on the basis of the average monthly salary income of the employee in the previous year. The total amount of wages paid by the unit shall be equal to the sum of the paid wages of all employees of the unit. After being approved by the social insurance department, the contribution salary shall remain unchanged throughout the year. Contributory wages = wages due. Taxable wagesTaxable wages are the part of labor remuneration that should be subject to income tax according to national regulations after deducting tax-exempt items in the Individual Income Tax Law. The "remuneration for labor" mentioned here should be the wages payable. All the components of the payable wages are within the scope of individual income tax. Article 25 of the Regulations for the Implementation of the Individual Income Tax Law stipulates that "in accordance with the provisions of the state, the basic endowment insurance premiums, basic medical insurance premiums, unemployment insurance premiums and housing provident fund paid by the unit for individuals and individuals shall be deducted from the taxable income of the taxpayer". China has a threshold for workers to pay individual income tax, and the individual income tax exemption for wages and salaries is 3,500 yuan. Therefore, if the monthly salary income is less than 3,500 yuan, there is no need to pay individual income tax. To sum up, the current taxable wages should be: taxable wages = wages payable - the part of various social insurance premiums that should be borne by individuals - housing provident fund - individual income tax threshold (3,500 yuan). Pre-tax salary: Pre-tax salary refers to the salary payable before paying individual income tax. Because social insurance premiums are not included in the taxable income, social insurance expenses are not deducted from pre-tax wages. Pre-tax wages = wages due. After-tax salaryAfter-tax salary refers to the actual salary income after deducting the personal income tax and the personal contribution part of the four funds (endowment insurance, medical insurance, unemployment insurance, and provident fund) in the pre-tax salary. After-tax wages = actual wages. Knowing the difference between these types of salaries, do you think you can play with salary management? You don't use the compensation form to make a company's compensation strategy plan, and those compensation formulas, data, and analysis will always make you feel broken. Let's study hard!