Taxable Amount and Employee Contributions

How to calculate the employee contribution based on the taxable amount?

In Thailand, the taxable amount for employment income is calculated based on the employee’s gross salary, which includes basic salary, allowances, and bonuses, minus any eligible deductions such as personal income tax exemptions and social security contributions. The net pay is obtained after subtracting employee contributions from the gross salary.

The total cost to the company (CTC) includes the total gross pay for the employee, employer contributions, SSF contribution, PVD contribution, bank fees, service fees, and any other expenses related to the employment of the employee.

Alongside the CTC, AYP may also charge additional charges such as a one-time setup fee for a new entity, a monthly service fee, bank fees, VAT/GST, and a salary deposit.