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Before you take on a new member of staff you will want to consider their salary. There are three figures that you probably need to be aware of:

The gross salary - this is the amount that will go in the Contract of Employment and is made up of the net, or take-home, salary plus employee's tax and NI.
The net salary - we do not recommend making an agreement based on this figure, but your employee may find it helpful to know how much they will take home each pay period.
Your total costs - this sum is made up of the gross salary plus employer's NI. Please note it does not include pension contributions. The employer will pay 1% in pension contributions until April 2018, then rising to 2%. The employee's pension contributions will be deducted from her salary provided a gross salary agreement has been made.

Please use our online calculators to help you with these figures:

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