The Italian payroll month
If you run a monthly payroll at home, the Italian rhythm will feel familiar. What differs is the number of authorities and forms.
Key facts
| Currency | Euro (EUR) |
| Tax year | 1 January – 31 December |
| Pay frequency | Monthly, plus the 13th (and sometimes 14th) month, unless paid pro rata |
| Employer cost on top of gross pay | About 35–40% including the severance accrual |
| Tax and contributions paid | Monthly, by the 16th of the following month (F24) |
| Time zone | CET (UTC+1), CEST in summer: same as Stockholm, Oslo and Copenhagen |
Three authorities, not one
Each month the employer calculates gross pay under the CCNL, withholds the employee's tax and contributions, adds its own contributions, pays the employee and pays the authorities. Before the first payslip, the employer is registered with:
- INPS, the social security institute: pensions, unemployment, sickness and maternity.
- INAIL, the workplace injury insurer.
- Agenzia delle Entrate, the tax agency, which receives withheld income tax.
The hire is reported electronically to the labour authorities the day before work starts.
With our Employer of Record service all registrations are already in place. We are the employer, so you register nothing in Italy.
A typical month
- Mid-monthCut-off for variables: overtime, absences, bonuses, joiners and leavers.
- Third weekPayroll calculated, payslips checked.
- End of monthNet pay transferred (some employers pay early in the next month, as the contract or CCNL allows). Payslips sent, usually digitally.
- 16th of next monthWithheld tax, INPS and INAIL contributions paid with the F24; UniEmens report filed.
Your invoice follows the same calendar, so the month's cost matches the month's payroll.
What we do each month
- CollectHours, leave, overtime, joiners and leavers, pay and benefit changes, approved by you.
- CalculateGross, contributions, tax and net under the CCNL and the law.
- CheckAgainst the previous month; differences explained before anything is paid.
- PayNet pay transferred, payslips issued.
- FileF24, UniEmens and the LUL update.
- ReportPayroll summary and invoice sent to your finance team.
Monthly and annual filings
| Filing | What it is | When |
|---|---|---|
| Payslip (cedolino) | Gross pay, deductions and net pay for the month | Monthly |
| F24 | Single payment form for withheld tax, social security and surcharges | By the 16th of the following month |
| LUL (Libro Unico del Lavoro) | Official payroll and attendance register | Updated monthly |
| UniEmens | Monthly pay and contribution report to INPS | Monthly |
| Certificazione Unica (CU) | Annual statement of income, tax and contributions for the employee's return | By 16 March |
| Modello 770 | Annual withholding agent return | By 31 October |
| INAIL self-assessment | Annual premium calculation | By 16 February |