The game of blind man's buff

The Slovak levy system deducts contributions from the gross wages of employees. It has two components — the part paid by the employee and the part paid by the employer. Suppose that the employer's total labour cost (super-gross wage) is 21% more than the gross wage. After deducting these contributions, the employee receives the gross wage. From the gross wage, an additional 11% is deducted, and the employee receives the net salary. If the super-gross wage (total labour cost) is 1212 euros, calculate the gross and net wages.

Final Answer:

h =  957.48 Eur
c =  852.16 Eur

Step-by-step explanation:

$$\begin{gathered} r_1=100\%-21\%=1-\frac{21}{100}=0.79 \\ h=1212\cdot r_1=1212\cdot 0.79=957.48\text{Eur} \end{gathered}$$

$$\begin{gathered} r_2=100\%-11\%=1-\frac{11}{100}=0.89 \\ c=h\cdot r_2=957.48\cdot 0.89=852.16\text{Eur} \end{gathered}$$

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