'ZVW' in case of salary and benefit in one wage calculation

Note:

The description below applies up to and including 2012.

As of 2013, the payroll configuration is changed due to the introduction of the'Uniformering Loonbegrip'. Please refer to the release notes for the CLA for more information.

If both a salary and a benefit are calculated in one wage calculation, you may have to deal with two different 'ZVW' percentages. For instance, this occurs in case of a manager/major shareholder The general rule is that all wage components are calculated according to the normal rate, with the exception of the wage components for pensions and other benefits. This is because wage components for pensions and other benefits can be calculated using a lower rate. In Profit Payroll the following wage components provide for the reduced premium calculation of the 'ZVW' if one wage calculation is used for both salary and benefit:

  • 100.005.026 'ZVW Premie Verlaagd'
  • 100.005.011 'ZVW Werkgeversbijdrage Verlaagd'
  • 100.005.505 'ZVW Maximum Verlaagd'
  • 100.005.502 'ZVW Maximum'

    Note:

    Each wage component has a comment in which the operation of the wage component is explained. Always take a look at this explanation on the Comment tab in the properties of the wage component in the CLA. If you do not have the wage component available, first activate it.

Reduced 'ZVW' premium

The 100.005.026 'ZVW Premie Verlaagd' wage component uses the ''ZVW' calculation basis to calculate the income-dependent 'ZVW' premium. The wage component is a net deduction. The premium rate is dependent on the value in the 'ZVW' field for the tax authority agency at the employee level.

Reduced 'ZVW' employer share

The 100.005.011 'ZVW Werkgeversbijdrage Verlaagd' wage component has the exact same value as the 100.005.026 'ZVW Premie Verlaagd' wage component and is calculated if the Conscientious objections check box is not selected in the tax authority agency settings. The wage component is a fiscal addition that is not included in the employee insurances. There are situations in which it is not mandatory for you to reimburse the 'ZVW' employer share. Please refer to the tax authority's 'Loonheffingen' manual. In this case, enter No as the value for the Werkgeversbijdrage vergoeden parameter.

Reduced 'ZVW Maximum'

The wage component calculates the reduced maximum 'ZVW' premium basis. This only applies in case of a combination of a wage that is included in the 'Loon ZVW Normaal' calculation basis and a wage that is included in the 'Loon ZVW Verlaagd' calculation basis.

Calculation method: Cumulative 'Maximum ZVW Totaal' - Cumulative premium basis 'Loon ZVW Normaal' - Cumulative 'Maximum ZVW Verlaagd' up to and incl. the previous period.

Maximum 'ZVW'

The maximum limits are determined first based the calculation basis of the normal rate, and then on the calculation basis of the reduced rate.