Payslip Template Italy (Free Excel Download)

Italy Payslip Template — Busta Paga (Free Excel Download)

A ready-to-use payslip (busta paga / cedolino paga) template for Italian employers, with IRPEF income tax, INPS social security and regional/municipal surcharge lines built in — including handling for the 13th (and 14th) month's pay. Amounts are in euros (EUR).

How to Use This Template

1. Complete the employer header with company details and INPS registration (matricola).
2. Enter the employee's gross monthly pay plus any straordinari (overtime) and indennità (allowances).
3. Deduct INPS (9.19%), compute IRPEF on the taxable amount, then add the regional and municipal surcharges for the employee's residence.
4. Remember the TFR accrual line — it is a cost the employer accrues every month.

Italy Payslip Template

Datore di lavoro: [Ragione sociale] | Matricola INPS: [] Dipendente: [Nome e cognome] | Codice fiscale: [] Qualifica: [__________] | Periodo di paga: [Mese / Anno]

Voci a carico azienda (non trattenute): contributi INPS datoriali, TFR maturato nel mese (retribuzione / 13,5), eventuale 13ª/14ª mensilità.

Worked Example

Monthly gross: €2,500 (no overtime), resident in a region applying the standard surcharges.

• INPS employee (IVS): 9.19% × 2,500 = €229.75
• Taxable income: 2,500 − 229.75 = €2,270.25/month → €27,243/year
• IRPEF 2026: 23% on the first €28,000 = 23% × 27,243 = €6,265.89/year → €522.16/month
• Regional surcharge: per the employee's region (range 1.23–3.33% of taxable income)
• Municipal surcharge: per the employee's comune (range 0–0.9%)
• Net pay ≈ 2,500 − 229.75 − 522.16 − surcharges

Statutory Notes for Italy Payroll

• IRPEF 2026: 23% (€0–28,000), 33% (€28,001–50,000), 43% (above €50,000).
• INPS employee share (IVS) is 9.19%, applied up to the annual ceiling of €122,295.
• Regional surcharge: 1.23%–3.33% depending on the region of residence; municipal surcharge: 0%–0.9% depending on the comune.
• TFR (trattamento di fine rapporto): the employer accrues roughly 1/13.5 of annual pay each month as severance.
• 13th month (tredicesima) is standard; many contracts also include a 14th month (quattordicesima).
• The employer acts as sostituto d'imposta — it withholds and remits the tax on the employee's behalf.
• Brackets, ceilings and surcharge rates change — confirm against the Agenzia delle Entrate and INPS each year.

Pro Tips

• Get the residence right. Regional and municipal surcharges follow where the employee lives, not where the company sits — a Milan hire living in Monza changes the numbers.
• Don't forget the 13th in annualisation. IRPEF is annual: multiply by 13 (or 14) for employees entitled to extra months before applying brackets.
• Watch the INPS ceiling. Above €122,295/year the employee IVS stops — payroll software handles it, spreadsheets need the cap formula.
• Show TFR. Employees rarely notice the monthly TFR accrual; printing it reduces end-of-employment disputes.
• Sostituto d'imposta discipline. Withholding is only half the duty — the F24 remittance and the annual CU certification must follow.

Frequently Asked Questions

Q1: What is deducted on an Italian payslip? A: INPS social security (9.19% employee share), IRPEF income tax at the progressive 2026 rates, plus the regional surcharge (1.23–3.33%) and municipal surcharge (0–0.9%) based on the employee's residence.

Q2: What are the 2026 IRPEF brackets? A: 23% on income up to €28,000, 33% from €28,001 to €50,000, and 43% above €50,000.

Q3: What is TFR? A: Trattamento di fine rapporto — a severance accrual the employer builds up each month (about 1/13.5 of annual pay) and pays out when employment ends.

Q4: What is the 13th month's pay? A: The tredicesima is an extra month's salary, typically paid in December and standard across most Italian contracts; many also include a 14th month (quattordicesima) paid in summer.

Q5: What does sostituto d'imposta mean? A: The employer acts as a tax substitute: it withholds IRPEF from the salary and remits it directly to the tax authority on the employee's behalf.

Q6: What is the INPS ceiling? A: The 9.19% employee contribution applies up to an annual ceiling of €122,295; earnings above that are not subject to the employee IVS share.