Accounting for Liabilities to Staff Concerning Labor Remuneration

Abstract

This study explores the concept of salary, which refers to any monetary compensation paid by an employer based on an individual labor contract for work performed. It highlights the significance of salary systems for both employees and employers, emphasizing their impact on motivation, performance, and organizational efficiency. A wellstructured salary system is essential for increasing employee productivity. The research reviews current legislation on salaries, including base salary, bonuses, allowances, and other rewards granted by employers. It also examines the tax exemptions available for individuals. The study includes a case example for calculating net salary, considering gross salary, personal exemptions, medical insurance, and income tax. This study provides insights into salary calculations and related tax policies. CZU: 657.471.12; JEL: M41