OECD calculator of taxes and benefits

The OECD TaxBEN methodology and manual describes key modelling concepts such as the treatment of regional differences, the family types and labour market characteristics that are currently supported by the model, its policy scope, and the assumptions underlying the calculation of taxes and benefits. The document also describes how to use the web calculator and the underlying STATA command. The STATA command is available through a dedicated online platform, which may be accessible after the review of the application process (please contact the OECD team for additional information).

• OECD network of national institutions involved in the update of the TaxBEN model
• Tax benefit model glossary

• Adequacy of minimum income benefits
• Net replacement rates in unemployment
• Hours of work needed to escape poverty
• Effective tax rate on taking up work when claiming unemployment benefits
• Effective tax rates on taking up work when claiming minimum income benefits
• Net childcare cost for parents using centre-based childcare
• Effective tax rates on taking up work when claiming minimum income and using childcare services
• Annual net and gross earnings of minimum wage earners
• Marginal effective tax rates on increasing working hours
• Strictness of activation requirements for benefit recipients

The OECD Policy Descriptions describe in detail the rules for calculating the main tax liabilities and social benefits for the working age population in each OECD and EU country.

The reports are updated annually and use a common format to facilitate comparisons between countries and the monitoring of policy reforms over time.