Italy take-home pay calculator

Enter your gross yearly salary (RAL) to see your net pay in Italy for 2026: INPS contributions, IRPEF with the new 33% middle rate, the employee and tax-wedge deductions, regional and city surcharges and the impatriati regime, step by step.

For people who move their tax residence to Italy; see the conditions
Take-home per payment (13 a year)€2,151
Per year€27,960
Monthly average€2,330
Effective rate30.1%
Marginal rate61%
Taxable income€36,324
  • Take-home 69.9%
  • IRPEF 18.9%
  • Regional and municipal 2.1%
  • INPS 9.2%
ItemYearPer paymentMonthly average
Gross salary€40,000.00€3,076.92€3,333.33
INPS social security−€3,676.00−€282.77−€306.33
IRPEF income tax−€7,540.16−€580.01−€628.35
Regional surcharge−€533.07−€41.01−€44.42
Municipal surcharge−€290.59−€22.35−€24.22
Take-home pay€27,960.18€2,150.78€2,330.02
How your IRPEF is calculated
Gross salary€40,000.00
INPS social security−€3,676.00
Employment income€36,324.00
Taxable income€36,324.00
IRPEF at 23%, 33%, 43%€9,186.92
Employee deduction (detrazione lavoro dipendente)−€1,187.26
Extra deduction (tax wedge, €20,000 to €40,000)−€459.50
IRPEF to pay€7,540.16
Regional and municipal surcharges
Lombardy regional surcharge€533.07
Milan municipal surcharge€290.59

Both are charged on taxable income and only when IRPEF is due. Payroll deducts them the following year in instalments.

Know the take-home pay you need? Try the net to gross calculator. Moving to Italy? See the impatriati regime calculator. Self-employed? Try the freelancer (regime forfettario) calculator.

Take-home pay for common salaries

Take-home per payment (13 a year) in Milan, 2026, without the impatriati regime.

How salary tax works in Italy

  • INPS: 9.19% of your salary for pensions, plus 1% on pay above €56,224.
  • IRPEF: income tax on your salary after INPS, at 23%, 33% and 43%. The employee deduction (detrazione per lavoro dipendente) cancels it completely up to about €8,500 and fades out by €50,000.
  • Tax-wedge measures: up to €20,000 you receive a tax-free payment of 4.8% to 7.1% of your pay; between €20,000 and €40,000 an extra deduction of up to €1,000 lowers your IRPEF.
  • Regional and municipal surcharges: your region and city add their own percentage of taxable income, from about 1.2% to 3.3% for the region and up to 1.2% for the city.

Frequently asked questions

How much is €40,000 after tax in Italy?

In Milan, a €40,000 gross salary (RAL) leaves €27,960 a year in 2026, or €2,151 in each of 13 payments, after €3,676 INPS, €7,540 IRPEF and €824 of regional and municipal surcharges.

What are the IRPEF rates in 2026?

23% up to €28,000, 33% from €28,000 to €50,000 (cut from 35% by the 2026 Budget) and 43% above €50,000, before the employee deduction.

How much does the impatriati regime save?

On €60,000 in Milan it raises take-home pay from €37,555 to €49,637 a year, because only half of the salary after INPS is taxed. It lasts five years and has conditions.

What is RAL?

Retribuzione annua lorda: your gross yearly salary, which is how Italian job offers are quoted. It is usually paid in 13 instalments, with the tredicesima in December; some sectors add a quattordicesima in the summer.

Full list of sources and assumptions: methodology.

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