All about pro-labore, the remuneration of a company's managing partners. Find out who is entitled to this remuneration, how to calculate it correctly and the taxes involved. This article explains the difference between pro-labore and salary, and offers guidance on how to define a fair value.
What is Pró Labore?
Pro-labore, also known as “pro labore”, is the remuneration of the managing namibia mobile phone number partners of a company. The remuneration of partners is a crucial aspect in the financial management of any company.
In this article, you will learn who is entitled to this remuneration, how to calculate it correctly and how to declare it on your income tax, considering the specificities of pro labore.
Main Conclusions
Pro-labore is the remuneration for management services provided by partners in the company, distinct from the distribution of profits, and must be formalized in the articles of association.
All partners who perform operational or administrative functions are entitled to a pro-labore, but investing partners are only remunerated for their share of profits or interest on the invested capital.
Ensuring fair remuneration is essential for the company's financial health.
To calculate the pro-labore, it is necessary to research the market and adjust the value according to the company's financial health, also considering the mandatory INSS and Income Tax discounts.
What is Pro Labore?
Pro -labore is a Latin expression that means “for work” and refers to the remuneration that partners receive for the work they perform in the organization. When defining pro-labore in the business context, it is important to consider that this remuneration is received for management work, and is distinct from the profits distributed among the partners.