DACH Payroll Specialists
DACH Payroll, Done Right
German social security. Austrian 13th and 14th salaries. Swiss cantonal variations. We handle the complexity so you can focus on your team.
Trusted by companies expanding into DACH
DACH payroll is uniquely complex
Three countries, three entirely different systems. Each with strict compliance requirements.
German Social Security Maze
Health, pension, unemployment, nursing care, accident insurance. Each with different rates, caps, and reporting requirements that change annually.
7+ contribution typesAustrian Mandatory Bonuses
13th and 14th month salaries are not optional bonuses. They are legal requirements with specific payment windows and tax treatments.
2 extra monthsSwiss Cantonal Variations
26 cantons, 26 different tax rates. Your Zurich employee and Geneva employee have completely different withholding calculations.
26 variationsVarying Payment Cycles
Germany expects the 25th. Austria varies by industry. Switzerland often pays at month-end. Miss a local bank holiday and employees feel it.
0 toleranceOne mistake can mean fines, employee distrust, or audit triggers. We eliminate the risk.
Your monthly payroll cycle, handled
Every month, like clockwork. Here's how we ensure your team gets paid accurately and on time.
Data Collection
We gather any changes: new hires, salary adjustments, bonuses, terminations, expense reimbursements.
Calculation & Validation
Gross-to-net calculations with all statutory deductions. Our team reviews for accuracy before processing.
Review & Approval
You receive a summary for approval. Clear breakdown of costs by employee, category, and country.
Payment Execution
Salaries hit employee accounts. We handle bank transfers, currency conversion, and local payment rails.
Reporting & Filing
Tax filings submitted. Social security reported. Payslips delivered. You get a comprehensive report.
Data Collection
We gather any changes: new hires, salary adjustments, bonuses, terminations, expense reimbursements.
Calculation & Validation
Gross-to-net calculations with all statutory deductions. Our team reviews for accuracy before processing.
Review & Approval
You receive a summary for approval. Clear breakdown of costs by employee, category, and country.
Payment Execution
Salaries hit employee accounts. We handle bank transfers, currency conversion, and local payment rails.
Reporting & Filing
Tax filings submitted. Social security reported. Payslips delivered. You get a comprehensive report.
Deep expertise in every DACH jurisdiction
Each country has unique requirements. Here's how we handle them.
Germany Payroll
Social Security
Health insurance (KV), pension (RV), unemployment (AV), nursing care (PV), and accident insurance. Employer pays approximately 21% on top of gross salary.
Tax Withholding
Monthly Lohnsteuer calculated via ELStAM electronic system. Includes church tax (Kirchensteuer) and solidarity surcharge (Solidaritaetszuschlag) where applicable.
Reporting Requirements
DEUEV notifications for social security, monthly wage tax filings, and year-end Lohnsteuerbescheinigung for each employee.
Special Cases
Kurzarbeit (short-time work), Minijobs (marginal employment), student workers, and cross-border commuters all have distinct rules.
Record Keeping
6-year retention for payroll documents. 10-year retention for bookkeeping records. All audit-ready.
Social Security
Health insurance (KV), pension (RV), unemployment (AV), nursing care (PV), and accident insurance. Employer pays approximately 21% on top of gross salary.
Tax Withholding
Monthly Lohnsteuer calculated via ELStAM electronic system. Includes church tax (Kirchensteuer) and solidarity surcharge (Solidaritaetszuschlag) where applicable.
Reporting Requirements
DEUEV notifications for social security, monthly wage tax filings, and year-end Lohnsteuerbescheinigung for each employee.
Special Cases
Kurzarbeit (short-time work), Minijobs (marginal employment), student workers, and cross-border commuters all have distinct rules.
Record Keeping
6-year retention for payroll documents. 10-year retention for bookkeeping records. All audit-ready.
Salary Structure
14 monthly payments standard: Urlaubsgeld (vacation bonus) in summer and Weihnachtsgeld (Christmas bonus) in December. These are legally required.
Social Security
Health, pension, unemployment, and accident insurance. Employer pays approximately 21% plus 0.55% insolvency protection fund contribution.
Tax Withholding
Progressive tax rates from 0% to 55%. Monthly withholding via Lohnzettel. Special tax treatment for the 13th and 14th month payments.
Collective Agreements
Kollektivvertrag determines minimum salaries, annual increases, and sector-specific benefits. Over 450 active agreements across industries.
Termination Pay
Abfertigung (severance) calculations differ for old system employees (pre-2003). New system uses company pension fund contributions.
Multi-Pillar System
AHV/IV/EO (state pension), ALV (unemployment), BVG (occupational pension), and UVG (accident insurance). Each pillar has different contribution rates and caps.
Cantonal Taxes
Quellensteuer (withholding tax) varies by canton, marital status, and number of children. 26 cantons means 26 different calculation methods.
Minimum Wage
No federal minimum wage, but cantonal minimums exist in Geneva (CHF 24.32/hr), Basel-Stadt, Neuchatel, and Jura. Collective agreements often set sector rates.
Work Permits
Different rules for EU/EFTA nationals versus third-country nationals. Permit type affects employment terms and reporting requirements.
Sick Leave
Up to 720 days over a 900-day period with daily sickness allowance insurance. Employer obligation duration depends on years of service.
Everything you need for DACH payroll
Comprehensive payroll management. No gaps, no surprises.
Gross-to-Net Processing
- Salary calculations
- Tax withholding
- Social security contributions
- Net pay determination
Statutory Compliance
- Monthly tax filings
- Social security reporting
- Year-end certificates
- Regulatory updates
Employee Payments
- Bank transfers in EUR/CHF
- Expense reimbursements
- Bonus processing
- Multi-currency handling
Payslips & Documentation
- Digital payslips in local language
- Year-end tax documents
- Employment certificates
- Audit-ready records
Deductions & Benefits
- Health insurance enrollment
- Pension contributions
- Supplementary benefits
- Voluntary deductions
Reporting & Insights
- Monthly cost summaries
- Country-by-country breakdown
- YTD reports
- Custom exports
Automation
- Automatic rate updates
- Error prevention
- Document generation
- Deadline tracking
Security & Privacy
- GDPR native
- EU data centers
- AES-256 encryption
- Complete audit logging
Simple, transparent pricing
Payroll is included in your EOR service. No separate fees, no per-payroll charges, no surprises.
Payroll Included in EOR
Full payroll management for DACH employees
No setup fees. No per-payroll fees. No hidden charges.
vs. Standalone payroll providers:
$200-400/employee/month + local entity required
Questions about your specific situation? Talk to us
Learn more about DACH payroll
Guides, tools, and resources to help you understand DACH payroll complexity.
German Social Security Guide
Understand the 7+ contribution types and how they affect your employment costs.
Austrian 13th/14th Month Explainer
Why Austrian employees get 14 paychecks and how to handle the tax implications.
Swiss Cantonal Tax Overview
26 cantons, 26 tax rates. See the differences at a glance.
Frequently asked questions
Everything you need to know about DACH payroll.
Yes. The $599/month per employee covers everything: monthly payroll processing, tax withholding and filing, social security contributions, payslips, year-end documents, and compliance monitoring.
There are no separate payroll fees or per-transaction charges.
We calculate and remit all mandatory contributions:
- Health insurance (Krankenversicherung)
- Pension insurance (Rentenversicherung)
- Unemployment insurance (Arbeitslosenversicherung)
- Nursing care insurance (Pflegeversicherung)
- Accident insurance (Unfallversicherung)
We stay current with annual rate changes and contribution caps.
Austrian law requires two additional monthly salaries: Urlaubsgeld (vacation bonus, typically paid in June) and Weihnachtsgeld (Christmas bonus, typically paid in November).
We handle the timing, tax treatment, and ensure these payments comply with applicable collective agreements (Kollektivvertrag).
Switzerland has 26 cantons, each with different tax rates. For employees subject to Quellensteuer (withholding tax), we calculate the correct rate based on their canton of residence, marital status, and number of children.
We handle the varying calculation methods and ensure timely remittance to cantonal tax authorities.
We pay employees in their local currency:
- EUR for Germany and Austria
- CHF for Switzerland
You fund payroll in USD. We handle currency conversion at competitive rates with full transparency on exchange rates used.
Around the 16th-20th of each month, you receive a payroll summary for review. This includes a breakdown by employee, cost category, and country.
You can approve via email or our portal. Once approved, we execute payments on the 25th (or earlier for Switzerland if month-end falls on a weekend).
You receive comprehensive reporting:
- Monthly cost summaries by employee and country
- Year-to-date reports for budgeting
- Custom exports in CSV or Excel format
- Real-time dashboard access
All reports can be filtered by date range, country, cost center, or department.
DACH employment law changes frequently. We monitor regulatory updates across all three countries and implement changes automatically.
When significant changes occur, we notify you in advance and explain the impact on your employees and costs.
Yes. Employees can submit expenses through our system. We validate them against local tax rules, include approved amounts in the next payroll run, and handle any tax implications.
You maintain full approval control over which expenses are reimbursed.
We handle payroll across all three countries from a single point of contact. You receive consolidated reporting while we manage the country-specific compliance for each jurisdiction.
The $599/month per employee rate applies regardless of which DACH country the employee is in.
Your payslip arrives in your local language with full transparency on all deductions. You can see exactly how your gross salary translates to net pay, including every tax and social security contribution.
We handle your:
- Pension contributions
- Health insurance enrollment
- Tax withholding
- Statutory benefits
You can always reach our team with questions about your pay. We are here to help.
Have a question we didn't answer?
Contact UsReady to simplify your DACH payroll?
No more compliance worries. No more manual calculations. Just accurate, on-time payroll every month.
Free consultation. We'll review your DACH payroll needs and show you exactly how we can help.
Part of your complete DACH solution