What do I need to consider in the payroll processing of apprentices?
March 13, 2024 | 30,00 EUR | answered by Elvira Klinger
Dear Mr. Tax advisor,
my name is Lorenzo Köhler and I run a small company in the construction industry. In our company, we also employ apprentices, and I am currently facing the challenge of correctly processing the payroll for these employees. Since I have not employed apprentices before, I am unsure of what I need to consider in the payroll process and what specific aspects I should be aware of.
Currently, I am unsure if I have to pay the apprentices according to a specific collective agreement and if there are special regulations regarding social security contributions. Additionally, I am wondering if there are any tax differences between apprentices and regular employees and how I should correctly include the apprenticeship salary in the payroll.
My concern is that I might make mistakes in the payroll of apprentices, which could lead to legal consequences or disadvantage the apprentices. Therefore, I would be very grateful if you could explain to me in detail what I need to consider in the payroll of apprentices and what specific steps I should take to ensure correct processing.
Could you provide me with possible solutions and inform me about the legal regulations relevant to the payroll of apprentices? I look forward to benefiting from your expertise and thank you in advance for your support.
Best regards,
Lorenzo Köhler
Dear Mr. Köhler,
Thank you for your inquiry regarding the payroll of apprentices in your company. It is understandable that you may feel uncertain, as the calculation of apprentices' wages can have some peculiarities. I will now explain in detail what you need to pay attention to in the payroll of apprentices and how to avoid errors.
First of all, it is important to know that apprentices are usually remunerated according to a collective agreement or a training regulation. There are industry-specific collective agreements that establish minimum wages for apprentices. It is therefore advisable to inform yourself about the valid collective agreement for your industry and adjust the remuneration accordingly.
Regarding social security contributions, there are no special regulations for apprentices. They are subject to social security contributions just like regular employees. However, apprentices are exempt from unemployment insurance, as they usually cannot become unemployed.
Tax-wise, there are also no differences between apprentices and regular employees. The apprentices' remuneration is subject to the same tax regulations as normal salaries. However, it is important to note that apprentices usually have a lower income and may therefore not have to pay any or only minimal taxes.
To correctly consider the apprentices' remuneration in the payroll, you should first determine the amount of the remuneration provided for in the collective agreement or training regulation. This remuneration is then paid out monthly and recorded accordingly in the payroll.
To avoid errors in the payroll of apprentices, I recommend that you seek the assistance of an experienced tax advisor who can support you in the correct calculation. Furthermore, you should regularly inform yourself about current changes in laws to ensure that your payroll is compliant.
I hope that my explanations will assist you and support you in the correct calculation of apprentices' wages. If you have any further questions or need assistance, I am at your disposal.
Best regards,
Elvira Klinger.
