Salaries vary considerably in different regions of Italy. Those working in Milan and other northern cities are generally the highest paid.
For many employees, particularly executives and senior managers, their remuneration is more than just the monthly pay packet. Most employees in Italy receive an extra month’s salary at Christmas, known as the 13th month’s salary and many employees also receive a 14th month’s salary prior to the summer holiday. Some employees, especially those in the banking and petroleum industries, receive 15th and 16th months’ salary.
Many companies offer a range of benefits to executives and managers, that may include: a company car, private health insurance and health screening, expenses-paid holidays, private school fees, inexpensive or interest-free home and other loans, rent-free accommodation, free or subsidised public transport tickets, free or subsidised company restaurant, sports or country club membership, non-contributory company pension, stock options, bonuses and profit-sharing schemes, tickets for sports events and shows and ‘business’ conferences in exotic places.
Italian income tax has traditionally been among the highest in the EU and although the rates have been reduced in recent years, it’s still above the EU average. On the other hand, tax allowances are more generous than in some other countries.
It’s recommended that you obtain professional income tax advice before moving to Italy, as there are usually a number of things you can do in advance to reduce your tax liability, both in Italy and abroad.
Italian work permits must be sponsored by an Italian company. They cannot be applied for directly by a potential employee or by an agency. Non-EU citizens must obtain a work permit from their future employer in Italy before entering the country.
The Italian work permit scheme is administered regionally, so implementation differs significantly depending on the exact destination within Italy. The average time it takes to get your visa is about two months.
