The Belgian is one of the highest taxed citizens in Europe. One particular way of to run the state, to contribute to our health care or to ensure our social security but which is strongly felt compared to some of our European neighbours.
According to the latest OECD study, Belgium is often in the lead when it comes to taxation at work, and it is single people without children who put their hands in the wallet more.
Indeed, single workers, without children, and paid at the average wage are deprived of nearly 52.3% of their remuneration for taxes.
Concretely, if we refer to the median salary of 2019 which was of 3486 euros gross selon Statbel, a single person without children sees 1,812 euros of his salary go to taxes, leaving him with a net remuneration of 1,674 euros. (This calculation is nevertheless theoretical and may vary depending on various factors, salaries have notably been indexed since this estimate but the tax percentage is indeed correct, editor’s note.)
In the rest of the European member countries of the OECD, the wage tax percentage for single people without children is much lower. On average, they are taxed at 41.3%, a difference of more than 10% compared to our country. If we take the example cited above, their net remuneration would be around 2057 euros. Be careful, however, that median salaries differ from one European country to another.
For single people without children who have a higher salary, ie 167% of the median salary, the tax increases to 59% of their salary. For those who are less well paid (67% of the average salary), the tax decreases to 46%.
Couples with children benefit
In contrast to young single people without children, couples with children receiving an average salary are at an advantage. But here too, the wage tax remains high. For married couples with two salaries and two children, the share of taxes is 45.2% in 2021. Our country also holds the OECD record here.
Taxes and social contributions for married couples with a single average income and two children reach 37.2% of the salary. Belgium does better than five other European countries which are ahead of it in this category.
For a single parent of two children who receives two-thirds of the average salary, his gross salary will be taxed at 29.35%. Only Sweden does worse with 32.4% tax.