> Let’s say you got a severance of 200,000€ at the beginning of the year.
I guess if you're at a company for a super long time you'd potentially get a huge severance, but realistically who would actually get this amount?
I get the theoretical possibility of this (and if we're being honest, if you're getting such a high severance the likelihood of moving to a job that pays "just" 50k per year is low), and maybe the author did get a 200k€ severance recently which is why they made this post, but it feels like more explaining a potential problem with the tax system that might also simply be solved by talking to a tax advisor?
The math isn't clear... but it seems all these sentences miss the phrase "over 5 years". I.e. earn 5 x 50K over 5 years, pay 58K extra taxes (in total) over those 5 years.
> The overall amount of taxes paid with additional income: 94k€
> The overall amount of taxes paid without additional income: 36k€
> The difference between the two scenarios: 58k€
> You pay additional 58k€ taxes on a 50k€ salary. Not neat!
Stop being so Protestant and take the [deity stopped existing 3 words ago]-damned sabbatical...
> Let’s say you got a severance of 200,000€ at the beginning of the year.
I guess if you're at a company for a super long time you'd potentially get a huge severance, but realistically who would actually get this amount?
I get the theoretical possibility of this (and if we're being honest, if you're getting such a high severance the likelihood of moving to a job that pays "just" 50k per year is low), and maybe the author did get a 200k€ severance recently which is why they made this post, but it feels like more explaining a potential problem with the tax system that might also simply be solved by talking to a tax advisor?
Author here.
In my department alone I know of 5 people who decided to take the severence. Out of these five, three will take a year off.
I don't think the scenario is that uncommon atm in Germany.
Open to answer any questions btw
Ah, Germans and moaning.
The math isn't clear... but it seems all these sentences miss the phrase "over 5 years". I.e. earn 5 x 50K over 5 years, pay 58K extra taxes (in total) over those 5 years.
> The overall amount of taxes paid with additional income: 94k€
> The overall amount of taxes paid without additional income: 36k€
> The difference between the two scenarios: 58k€
> You pay additional 58k€ taxes on a 50k€ salary. Not neat!
Stop being so Protestant and take the [deity stopped existing 3 words ago]-damned sabbatical...