Your First Payslip Will Look Overwhelming
When your first Israeli payslip arrives, it can feel like an alphabet soup of Hebrew abbreviations and numbers that don't obviously connect. The תלוש משכורת (Tlush Maskoret) is actually a remarkably detailed document — far more transparent than payslips in most countries. Once you know what each line means, it tells you exactly where every shekel goes.
The Big Picture: Three Sections
Every Israeli payslip divides into three main sections:
- Header: your personal details, employer details, employee number, tax file, and the pay month
- Earnings (Rakhivim): base salary, bonuses, travel allowance, and any other additions
- Deductions (Nikhuyim): income tax, Bituach Leumi, health tax, and your share of pension contributions
The gap between your ברוטו (Bruto) (gross) and your נטו (Neto) (net take-home) is where your taxes and savings contributions live. In Israel, this gap is larger than in many countries — but a significant chunk goes into your own pension and savings, not just taxes.
The Earnings Section Line by Line
Schar Basis (שכר בסיס): Your base salary — the number in your employment contract. Everything else is calculated relative to this.
Dmei Nesia (דמי נסיעות): Travel reimbursement for commuting costs. Paid as a non-taxable benefit up to a daily cap set by the government. This appears in earnings but is excluded from the gross figure used to calculate taxes.
Maarav (תוספת מיוחדת): Any special allowances — overtime, shift differentials, or performance bonuses. These are taxable and included in your gross.
The Deductions Section Line by Line
Mas Hachnasa (מס הכנסה): Income tax, deducted at source according to Israel's progressive tax brackets. Your employer applies your personal tax credit points (nekudot zikui) to reduce this figure.
Bituach Leumi (ביטוח לאומי): National Insurance contributions — your employee share. Approximately 3.5-7% of gross, split into a lower rate on income below roughly 7,000 NIS/month and a higher rate above.
Hetel Briut (היטל בריאות): The health levy that funds your Kupat Cholim membership — 3.1% on lower income, 5% above the threshold. This is separate from Bituach Leumi even though both are collected by the National Insurance Institute.
Pensia Oveid (פנסיה עובד): Your pension fund contribution — typically 6% of gross salary, deducted from your pay and placed directly into your pension account.
Keren Hishtalmut Oveid (קרן השתלמות עובד): Your contribution to the study fund — typically 2.5% of gross. This is your money, not a tax, and you can withdraw it tax-free after 6 years.
Employer Contributions (Below the Line)
The bottom of your payslip shows contributions your employer makes on top of your gross salary. These are your money flowing into your savings accounts — they don't reduce your net pay:
- Pensia Maasik (פנסיה מעסיק): Employer pension contribution — typically 6.5% of your gross, plus an additional 8.33% earmarked for severance
- Keren Hishtalmut Maasik (קרן השתלמות מעסיק): Employer study fund contribution — typically 7.5% of your gross (up to the tax-exempt ceiling)
Reading the Summary Box
At the bottom of the payslip you'll find a summary: total earnings, total deductions, and the net amount being transferred to your account. The net figure should match your bank deposit exactly. If there's a discrepancy, contact your payroll department the same day — errors are more common than you'd expect, especially in your first few months.
A Quick Sanity Check
A rough rule of thumb: on a salary of 15,000-20,000 NIS gross, expect your net take-home to be roughly 70-75% of gross after all deductions. If your net is significantly lower, check whether your tax credit points have been applied correctly — this is the most common payslip error for new employees.