Welcome to our guide on making the most of your end-of-year premium! 🎉
Are you wondering how to turn your hard-earned premium into benefits that really make a difference? You're in the right place!
We'll start with a typical salary scenario and break down various benefit options, showing you exactly how much you can save and gain compared to taking your premium as cash. From pension savings to smartphones, bike leases to extra vacation days, we'll crunch the numbers so you can see the real impact on your wallet and lifestyle.
⚠️ Remember, these are just examples to illustrate the potential of your Payflip budget. Your personal circumstances and preferences will guide your own choices, but we hope these scenarios will inspire you to explore the full range of benefits available to you.
💰 My salary package and my Payflip budget
Gross salary: €3000
Employer social security contribution rate: 27%Employee social security contribution rate: 13,07%
Withholding taxes rate: 53,5%
Payflip EYP Budget: €3000 * 1.27 = €3810
Let's dive in and see how I can transform my €3810 Payflip budget into a package of benefits worth much more!
🎁 What can I choose with a budget of €3810?
1️⃣ Reimbursement of pension savings
I want to get the reimbursement of the total amount I saved last year: €990.
| Formula | Amount |
Choice price |
| €990 |
Budget impact (employer cost) | €990 * 1.0886 | €1077,71 |
Net benefit | €990 - 53,5% | €460,35 |
Cash | €1077.71 / (1 + 27%) * (1 - 13,07%) * (1 - 53,5%) | €343,02 |
Net optimization | €460,35 - €343,02 | €117,33 |
2️⃣ Smartphone
I want to choose a smartphone that costs €1000.
| Formula | Amount |
Choice price |
| €1000 |
Total budget impact (employer cost)
(for 24 months) | €1000 + (€3 * 24 months * 27%) + (€1000 * 20% * 27%) + (0.0767 * €3 * 24 months) | €1078,96 |
Budget impact (employer cost) for the year of choice | = €1078,96 / 2 | €539,48 |
Net benefit |
| Smartphone 📱
|
Cash
amount received if not allocated to this choice | €1078,96 / (1 + 27%) * (1 - 13,07%) - (1 - 53,5%) | €343,42 |
3️⃣ Bike lease
I want to lease a bike that costs me €75/month during 36 months (leasing contract period).
| Formula | Amount |
Choice price | €75 * 12 * 36 months | €2700 |
Total budget impact (employer cost) |
| €2700 |
Budget impact (employer cost) for the year of choice | = €2700 / 3 | €900 |
Net benefit |
| Bike 🚲 with no taxes |
Cash
amount received if not allocated to this choice | €2700 / (1 + 27%) * (1 - 13,07%) - (1 - 53,5%) | €859,37 |
4️⃣ Extra vacation days
I want to choose 2 extra holidays.
| Formula | Amount |
Choice price | (€3000 * 12 months / 261 working days per year) * (1 + 27%) | €175,17*2 = €350,34 |
Budget impact (employer cost) |
| €350,34 |
Net benefit |
| 2 extra days off ☀️ |
Cash
amount received if not allocated to this choice | €2700 / (1 + 27%) * (1 - 13,07%) - (1 - 53,5%) | €111,51 |
5️⃣ Reimbursement of childcare costs
I have one child and I want to get the reimbursement of the maximum amount for this benefit, which is 600 EUR / child / year.
| Formula | Amount |
Choice price |
| €600 |
Budget impact (employer cost) |
| €600 |
Net benefit | €600 - 53,5% | €279 |
Cash
amount received if not allocated to this choice | €600 / (1 + 27%) * (1 - 13,07%) - (1 - 53,5%) | €190,97 |
Net optimization | €279 - €190,97 | €88,03 |
6️⃣ Cash
I want to get the remaining balance in cash at the end of the year.
= €3810 - (1077,71 + 539,48 + 900 + 350,34 + 600) = €342,47
| Formula | Amount |
Choice price |
| €342,47 |
Budget impact (employer cost) |
| €342,47 |
Estimated gross cash-out | €342,47 / (1 + 27%) | €269,67 |
Estimated net amount | €342,47 / (1 + 27%) * (1 - 13,07%) - (1 - 53,5%) | €109 |
💸 Summary of my choices
Thanks to my Payflip budget of €3810 I was able to get: 👍🏼
Pension savings: €460,35 in net
Smartphone: one smartphone 📱
Bike lease: the bike of your dream 🚲
Extra vacation days: 2 extra days off ☀️
Childcare costs: €279 in net
Cash : €109 in net
If the entire €3810 was paid out as cash, I would have only received €1061,75 in net. 👎🏼
I would have had to pay the following:
Employer social security (27%): €1028.70
Employee social security (13.07%): €497.97
Withholding tax (53,5%): €1221,58
🧐 How can I simulate this in Payflip?
➡️ I want to simulate how much I will get in cash at the end of the year
Go to my Payflip account > Overview
Click on 'Cash-out budget(s)'
Click on the end-of-year premium budget
Enter the amount I would like to get in cash at the end of the year
➡️ I want to simulate a benefit choice
Click on the benefit of my choice
Read all info at my disposal and accept the terms & conditions
Enter the required info
Click on 'see budget impact' 💸
✅ Never hesitate to simulate choices and put them in your shopping bag! Nothing will happen as long as you do not click on 'confirm choices'.
Imagine you are doing some shopping on a classic webshop : nothing happens as long as you do not click on 'pay'.