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Old 04.09.2016, 14:50
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Tax at source married couple ZH - how much to put aside

Hi all,

We just arrived in Zürich a couple of months ago and we are now trying to get a grip of things finance related. The Quellensteuer / Tax at Source system is confusing me a little though so I wanted to check in and see if what I have understood gels with other people's experiences since I am worried about a surprise tax bill at the end of the year.

We are earning around 200k together but neither is earning >120k individually.

I have read all I could on the forum and from what I understand this means we pay tax at source + have to do an annual tax return.

My payslip stated a tax at source rate of 8%, which seems considerably lower than the 15ish % tax rate for married couples earning ca. 200k quoted on the Zurich tax website.

Based on what I have read our actual taxable income will be lower (around 160k or so) if we make good use of deductions (we don't have kids so these were just the very standard deductions and putting the maximum each into pillar3a).

So is it safe to assume we will a) have to complete a tax return b) be taxed at around 160k together and thus c) need to put aside the difference between the tax at source rate we are being charged and the tax rate for married couples earning around 160k (about 13.3% from what I can see).

13% - 8% = ca. 5% unpaid

So I'm planning to put an additional 5% of my gross income aside for taxes.

Does that seem right? :roll eyes:

Thanks in advance for any advice / shared experiences.
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Old 04.09.2016, 14:56
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Re: Tax at source married couple ZH - how much to put aside

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Hi all,

We just arrived in Zürich a couple of months ago and we are now trying to get a grip of things finance related. The Quellensteuer / Tax at Source system is confusing me a little though so I wanted to check in and see if what I have understood gels with other people's experiences since I am worried about a surprise tax bill at the end of the year.

We are earning around 200k together but neither is earning >120k individually.

I have read all I could on the forum and from what I understand this means we pay tax at source + have to do an annual tax return.

My payslip stated a tax at source rate of 8%, which seems considerably lower than the 15ish % tax rate for married couples earning ca. 200k quoted on the Zurich tax website.

Based on what I have read our actual taxable income will be lower (around 160k or so) if we make good use of deductions (we don't have kids so these were just the very standard deductions and putting the maximum each into pillar3a).

So is it safe to assume we will a) have to complete a tax return b) be taxed at around 160k together and thus c) need to put aside the difference between the tax at source rate we are being charged and the tax rate for married couples earning around 160k (about 13.3% from what I can see).

13% - 8% = ca. 5% unpaid

So I'm planning to put an additional 5% of my gross income aside for taxes.

Does that seem right? :roll eyes:

Thanks in advance for any advice / shared experiences.
Taxable salary would be significantly lower than 200k, 150-160k is about right. You will have to do a tax return, you might be able to increase your deductions depending on travel costs etc. Download the tax software form the ZH tax office & go from there.
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Old 04.09.2016, 15:01
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Re: Tax at source married couple ZH - how much to put aside

Awesome appreciate the tip.

I also just found this handy tool that gives good overview of which locations have which tax rates for different family / income combinations. May be slightly outdated but once of the more helpful things I have seen so far.

http://blog.tagesanzeiger.ch/datenbl...rksten-zulangt
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Old 04.09.2016, 17:06
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Re: Tax at source married couple ZH - how much to put aside

http://www.estv2.admin.ch/e/dienstle...uerrechner.htm
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Old 08.09.2016, 10:22
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Re: Tax at source married couple ZH - how much to put aside

Also have to consider that your Fortune (including global liquid assets) is also taxable (Vermogensteuer). This can also be calculated with the tax program that FatmanFilms recommended.
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