Hourly cost of undeclared indirect employment or net salary
The amount a worker receives per hour of undeclared work, without tax or social security deductions
(€)
8.7
Net hourly wage for a single employee
The average net hourly salary of an employee in the formal economy, representing all economic sectors.
(100% of the average salary in the rest of the economy)
14.4
Tax wedge
Percentage of total labor cost that goes to the state in the form of taxes and social security contributions
(% of labour cost)
45.9
VAT rate for indirect care services for service providers
The value-added tax (VAT) rate applied to indirect care services, affecting costs for providers and end users
(%)
5
Share of direct employment
Share of direct employment
(%)
70.5
Public finance balance for €1 invested
Above 1: Positive socio-fiscal balance (profit for the state).
Below 1: Negative socio-fiscal balance (cost for the state).
1.14 €
Indirect care support policy (€/h)
Subsidy per hour
The amount of subsidy required to make declared hourly wages competitive with undeclared work, considering social security and tax charges. (Gross cost for public finances)
8.1
Price paid by users
The total cost that the user must pay for one hour of declared work, after deduction of any subsidies or assistance. (remaining expenses)
8.7
Direct return effect
The revenue generated directly for the state through the subsidy (taxes and social contributions). Additional savings, such as reduced unemployment benefits or social aid, could also be considered, but they are not included in this simulator to maintain a simplified approach.
7.9
Indirect return effect
The indirect financial impact for the state. In this simulator, only the increase in working hours in the rest of the economy—enabled by the time saved for users—is considered.
2.44
Windfall effect
The amount of taxes and social contributions that would have been paid or retained even without the subsidy. This helps refine the calculation of net estimated benefits.
1.19
Net public cost
This indicator measures the return on investment for public authorities per euro invested in the subsidy. A negative result means that the state recovers more than it spends through generated tax and social revenues as well as cost savings.