Mazars Payroll Newsletter 1/2021

In this first issue of the newsletter in 2021, we bring you more detailed information about the basic rate of the minimum wage, which has increased from CZK 14 600 to CZK 15 200 per month from 1 January 2021. Similarly, the monthly and hourly rates of the lowest level of the guaranteed wage has also increased analogically. The New year also brought changes in the health insurance, social insurance premiums and health insurance.

In the final days of 2020, we closely monitored the situation around the approval of the Tax Package. The entire legislative process was ultimately completed in 2020, with the Tax Package being issued in the Collection of Laws on 31 December 2020. It came into effect from 1 January 2021. We summarize the main changes that the Tax Package introduces in the area of ​​wages, such as the removal of super-gross wages, an increase in the taxpayer discount or the new meal voucher contribution.

We also inform you about the rules for providing compensation of travel expenses and wage deductions. From 1 January 2021, there is an increase in the (basic) unseizable amount, as well as the limit of the fully seizable remainder of net wages (i.e., the calculation base), applied during enforcement deductions from wages and similar income.