Payroll Contributions and Tax Burden on Labor Relations in the Slovak Republic

The aim of the paper is to summarize the differences, but also similarities among the percentage of net wages remaining from the gross wages of specific groups of employees involved in employment relationship according to Slovak legislation - employees, pensioners, invalids with the decline in earning capacity up to 70% because of disability, invalids with the decline in earning capacity of over 70% because of disability. The key methods used in the paper contain mathematical and statistical methods (e.g. calculation of health and social insurance contributions, calculation of tax liability and net wage, descriptive statistics, ANOVA, test of multiple values - Tukey test for least significant difference). The research revealed similarities in average of net to gross wage ratio between pensioners and invalids with the decline in earning capacity up to 70% because of disability. Other two groups were statistically significantly different in mentioned ratio from all other analyzed groups.