The gross salary is the amount of salary earned by an employee according to Turkish Labor Law.
· Gross Salary = Net Salary + Sum of Deductions (Social Security Premium contributed by employee (including unemployment insurance) + income tax + stamp tax)
II- NET SALARY:
The net salary is the amount of salary actually received by employees.
· Net Salary = Gross Salary – Sum of Deductions
III- EMPLOYER’S COST:
In addition to gross salary, the employer is obliged to pay the employer’s social security contribution and unemployment insurance premiums.
· Total cost of the employee to the employer = gross salary + employer’s social security premium (including unemployment insurance)