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Financial Management
6 min
Calculate Your Real Net Compensation
Gross, net, taxable net, take-home pay... Payslips are a headache. And for independents, it's even more complex. Yet knowing your real net compensation is essential for negotiating, comparing offers, or managing your activity. This guide gives you the formulas and methods to calculate what actually ends up in your pocket.
1
Understand the different "nets"
There are several notions of "net". Don't confuse them.
For employees:
Gross salary What's negotiated with the employer. Basis for calculating contributions.
Net salary before tax Gross • employee contributions (~22-25%) What appears before withholding tax.
Taxable net salary Net + non-deductible CSG/CRDS Basis for calculating income tax.
Take-home pay Net before tax • withholding tax What arrives in your bank account.
Approximate formulas:
| From... | To... | Coefficient | |---------|-------|-------------| | Gross | Net before tax | × 0.78 | | Gross | Taxable net | × 0.80 | | Net before tax | Take-home | • withholding (per tax bracket) |
Example (€50K gross annual): • Net before tax: ~€39,000 • Taxable net: ~€40,000 • Take-home (30% bracket): ~€33,000
For independents: The calculation differs by status (see following sections).
For employees:
Gross salary What's negotiated with the employer. Basis for calculating contributions.
Net salary before tax Gross • employee contributions (~22-25%) What appears before withholding tax.
Taxable net salary Net + non-deductible CSG/CRDS Basis for calculating income tax.
Take-home pay Net before tax • withholding tax What arrives in your bank account.
Approximate formulas:
| From... | To... | Coefficient | |---------|-------|-------------| | Gross | Net before tax | × 0.78 | | Gross | Taxable net | × 0.80 | | Net before tax | Take-home | • withholding (per tax bracket) |
Example (€50K gross annual): • Net before tax: ~€39,000 • Taxable net: ~€40,000 • Take-home (30% bracket): ~€33,000
For independents: The calculation differs by status (see following sections).
2
Calculation for micro-entrepreneurs
In micro-enterprise, the calculation is simple but deceptive.
Basic formula:
Net = Revenue • Social charges • Tax
Social charges (2025):
| Activity | Rate | |----------|------| | Sale of goods | 12.3% | | BIC services | 21.1% | | BNC services | 21.1% | | Regulated liberal professions | 21.2% |
Income tax:
Option 1: Final withholding • 1% (sales), 1.7% (BIC), 2.2% (BNC) • Conditions: N-2 tax income < threshold
Option 2: Progressive scale • Flat-rate deduction (34% BNC, 50% BIC, 71% sales) • Then standard IR scale
Example (BNC consultant, €60K revenue):
| Item | Amount | |------|--------| | Annual revenue | €60,000 | | Social charges (21.1%) | • €12,660 | | Taxable base (after 34% ded.) | €39,600 | | Estimated IT (30% bracket) | • €6,600 | | Real net | ~€40,740 |
Net/Revenue ratio: ~68%
Warning: No deduction of actual expenses. If you have many expenses, the actual regime may be more advantageous.
Basic formula:
Net = Revenue • Social charges • Tax
Social charges (2025):
| Activity | Rate | |----------|------| | Sale of goods | 12.3% | | BIC services | 21.1% | | BNC services | 21.1% | | Regulated liberal professions | 21.2% |
Income tax:
Option 1: Final withholding • 1% (sales), 1.7% (BIC), 2.2% (BNC) • Conditions: N-2 tax income < threshold
Option 2: Progressive scale • Flat-rate deduction (34% BNC, 50% BIC, 71% sales) • Then standard IR scale
Example (BNC consultant, €60K revenue):
| Item | Amount | |------|--------| | Annual revenue | €60,000 | | Social charges (21.1%) | • €12,660 | | Taxable base (after 34% ded.) | €39,600 | | Estimated IT (30% bracket) | • €6,600 | | Real net | ~€40,740 |
Net/Revenue ratio: ~68%
Warning: No deduction of actual expenses. If you have many expenses, the actual regime may be more advantageous.
3
Calculation for EURL managers (self-employed)
In EURL, you're a Self-Employed Worker. The calculation is more complex.
The principle:
You pay yourself compensation. This compensation is subject to self-employed social charges and IT.
Self-employed social charges:
About 45% of net compensation. (Note: calculated on net, not gross)
Reverse formula:
To have €X net, you need to plan: Total cost = Net × 1.45 (approximately)
Example (target €50K net):
| Item | Amount | |------|--------| | Net target | €50,000 | | Social charges (~45%) | €22,500 | | Gross compensation | €72,500 | | IT (30% bracket, after 10% deduction) | ~€13,500 | | Net after IT | ~€36,500 |
Corporate tax + dividends option:
If EURL under corporate tax, you can combine: • Compensation (charges ~45%) • Dividends (30% flat tax but social charges if > 10% capital)
Warning EURL under corporate tax: Dividends > 10% of share capital = social charges on excess (~45%).
Tip: Run simulations with your accountant to find the optimum.
The principle:
You pay yourself compensation. This compensation is subject to self-employed social charges and IT.
Self-employed social charges:
About 45% of net compensation. (Note: calculated on net, not gross)
Reverse formula:
To have €X net, you need to plan: Total cost = Net × 1.45 (approximately)
Example (target €50K net):
| Item | Amount | |------|--------| | Net target | €50,000 | | Social charges (~45%) | €22,500 | | Gross compensation | €72,500 | | IT (30% bracket, after 10% deduction) | ~€13,500 | | Net after IT | ~€36,500 |
Corporate tax + dividends option:
If EURL under corporate tax, you can combine: • Compensation (charges ~45%) • Dividends (30% flat tax but social charges if > 10% capital)
Warning EURL under corporate tax: Dividends > 10% of share capital = social charges on excess (~45%).
Tip: Run simulations with your accountant to find the optimum.
4
Calculation for SASU presidents
In SASU, you're assimilated to an employee. Charges are higher but protection is better.
The principle:
You pay yourself a salary. This salary is subject to social charges (employer + employee) like a regular employee.
Total social charges:
About 80-85% of net (employer + employee charges).
Formula:
To have €X net, you need to plan: Total company cost = Net × 1.82 (approximately)
Example (target €50K net before IT):
| Item | Amount | |------|--------| | Net before IT target | €50,000 | | Employee charges (~22%) | €14,100 | | Gross | €64,100 | | Employer charges (~42%) | €26,920 | | Total company cost | €91,020 |
After IT (30% bracket): ~€35,000 real net
Mixed salary + dividends strategy:
| Item | Salary only | Optimal mix | |------|-------------|-------------| | Net salary | €50,000 | €10,000 | | Total salary cost | €91,000 | €18,200 | | Remaining profit | €9,000 | €81,800 | | Corporate tax (15%) | €1,350 | €12,270 | | Net dividends | €5,355 | €48,671 | | Total net before IT | €55,355 | €58,671 |
Tip: Pay yourself a minimum salary for social rights, the rest in dividends.
The principle:
You pay yourself a salary. This salary is subject to social charges (employer + employee) like a regular employee.
Total social charges:
About 80-85% of net (employer + employee charges).
Formula:
To have €X net, you need to plan: Total company cost = Net × 1.82 (approximately)
Example (target €50K net before IT):
| Item | Amount | |------|--------| | Net before IT target | €50,000 | | Employee charges (~22%) | €14,100 | | Gross | €64,100 | | Employer charges (~42%) | €26,920 | | Total company cost | €91,020 |
After IT (30% bracket): ~€35,000 real net
Mixed salary + dividends strategy:
| Item | Salary only | Optimal mix | |------|-------------|-------------| | Net salary | €50,000 | €10,000 | | Total salary cost | €91,000 | €18,200 | | Remaining profit | €9,000 | €81,800 | | Corporate tax (15%) | €1,350 | €12,270 | | Net dividends | €5,355 | €48,671 | | Total net before IT | €55,355 | €58,671 |
Tip: Pay yourself a minimum salary for social rights, the rest in dividends.
5
Calculation for umbrella companies
In umbrella employment, the umbrella company manages everything. But how much is really left?
The principle:
1. You invoice through the umbrella company 2. They deduct their management fees 3. They pay your social charges 4. They pay you a net salary
Typical breakdown:
| Item | % of revenue excl. VAT | |------|------------------------| | Invoiced revenue excl. VAT | 100% | | Management fees | • 5 to 10% | | Salary base | 90-95% | | Employer charges | • ~42% | | Employee charges | • ~22% | | Net before IT | ~45-50% |
Example (€100K revenue excl. VAT):
| Item | Amount | |------|--------| | Revenue excl. VAT | €100,000 | | Management fees (8%) | • €8,000 | | Base | €92,000 | | Total charges (~45%) | • €41,400 | | Net before IT | ~€50,600 |
After IT (30% bracket): ~€35,000 real net
Real net / Revenue excl. VAT ratio: ~35%
Advantages despite cost: • Zero administrative management • Employee status (unemployment, full retirement) • Maximum social coverage • Immediate start
Tip: Umbrella is ideal for testing an activity or for one-off assignments. For long-term, your own structure is more advantageous.
The principle:
1. You invoice through the umbrella company 2. They deduct their management fees 3. They pay your social charges 4. They pay you a net salary
Typical breakdown:
| Item | % of revenue excl. VAT | |------|------------------------| | Invoiced revenue excl. VAT | 100% | | Management fees | • 5 to 10% | | Salary base | 90-95% | | Employer charges | • ~42% | | Employee charges | • ~22% | | Net before IT | ~45-50% |
Example (€100K revenue excl. VAT):
| Item | Amount | |------|--------| | Revenue excl. VAT | €100,000 | | Management fees (8%) | • €8,000 | | Base | €92,000 | | Total charges (~45%) | • €41,400 | | Net before IT | ~€50,600 |
After IT (30% bracket): ~€35,000 real net
Real net / Revenue excl. VAT ratio: ~35%
Advantages despite cost: • Zero administrative management • Employee status (unemployment, full retirement) • Maximum social coverage • Immediate start
Tip: Umbrella is ideal for testing an activity or for one-off assignments. For long-term, your own structure is more advantageous.
6
Comparison table and simulator
Summary to compare statuses at equivalent revenue.
Comparison on €100K revenue/billing:
| Status | Charges | Estimated IT | Real net | Ratio | |--------|---------|--------------|----------|-------| | Micro-BNC | €21,100 | €13,800 | ~€65,100 | 65% | | EURL IT | €30,000 | €15,000 | ~€55,000 | 55% | | EURL CT (mix) | €15,000 | €8,000 | ~€58,000 | 58% | | SASU (salary) | €45,000 | €12,000 | ~€43,000 | 43% | | SASU (mix) | €20,000 | €10,000 | ~€52,000 | 52% | | Umbrella | €50,000 | €11,000 | ~€39,000 | 39% |
*Simplified estimates, consult an accountant*
Quick formulas:
| Status | Net before IT | |--------|---------------| | Micro-BNC | Revenue × 0.79 | | EURL self-employed | Revenue × 0.55 to 0.60 | | SASU salary | Revenue × 0.45 to 0.50 | | Umbrella | Revenue × 0.45 to 0.50 |
Online simulators:
• mon-entreprise.urssaf.fr (official, very complete) • simulation-sasu.fr • simulateur-eurl.fr
Key takeaways:
1. More charges ≠ bad choice (better social protection)
2. Immediate net ≠ real net (think about IT)
3. Compare net AFTER IT for fair decisions
4. Include non-financial benefits (unemployment coverage, retirement, banking credibility)
Comparison on €100K revenue/billing:
| Status | Charges | Estimated IT | Real net | Ratio | |--------|---------|--------------|----------|-------| | Micro-BNC | €21,100 | €13,800 | ~€65,100 | 65% | | EURL IT | €30,000 | €15,000 | ~€55,000 | 55% | | EURL CT (mix) | €15,000 | €8,000 | ~€58,000 | 58% | | SASU (salary) | €45,000 | €12,000 | ~€43,000 | 43% | | SASU (mix) | €20,000 | €10,000 | ~€52,000 | 52% | | Umbrella | €50,000 | €11,000 | ~€39,000 | 39% |
*Simplified estimates, consult an accountant*
Quick formulas:
| Status | Net before IT | |--------|---------------| | Micro-BNC | Revenue × 0.79 | | EURL self-employed | Revenue × 0.55 to 0.60 | | SASU salary | Revenue × 0.45 to 0.50 | | Umbrella | Revenue × 0.45 to 0.50 |
Online simulators:
• mon-entreprise.urssaf.fr (official, very complete) • simulation-sasu.fr • simulateur-eurl.fr
Key takeaways:
1. More charges ≠ bad choice (better social protection)
2. Immediate net ≠ real net (think about IT)
3. Compare net AFTER IT for fair decisions
4. Include non-financial benefits (unemployment coverage, retirement, banking credibility)
Conclusion
Knowing your real net compensation is the basis of good career management. Don't be fooled by appearances: a high daily rate can yield a low net if charges are significant. And vice versa. Run your simulations before negotiating or choosing a status. The few hours invested can represent thousands of euros over the year. When in doubt, consult an accountant. The first consultation is often free and will save you costly mistakes.