Beyond Numbers: Plan with Your Net
Knowing your net salary is not just a curiosity; it is the first step toward solid financial planning. This is the real money you have to create your budget, define your savings goals, and plan your investments.
Frequently Asked Questions (FAQ)
The law establishes a 'personal and family minimum,' which is an amount of your income exempt from paying IRPF. Having dependent children increases this minimum, which reduces the base on which the tax is calculated and, therefore, the withholding is lower and your net salary is higher.
Gross is the total amount before taxes. Net is what you actually receive in your bank after Social Security and IRPF withholdings.