HR Glossary

What is Lohnsteuer - Wage Tax (Germany)?

Germany's pay-as-you-earn income tax withheld by the employer from each employee's gross salary and remitted directly to the Finanzamt (tax office), calculated based on the employee's tax class (Steuerklasse), income level, and individual circumstances.

Why it matters in hiring

Lohnsteuer - Wage Tax (Germany) comes up whenever teams compare candidates, set policy or report on people data. Getting the definition right keeps decisions consistent, which is the same reason springhire scores every applicant against the same criteria rather than on impression.

Related terms starting with L

• Labour Court
• Layoff
• Limited Contract (UAE)
• Lockout
• Long Service Award
• Lateral Move
• Long Service Leave (Australia)
• Leave Policy

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