MEPs don’t set their own salaries. Instead, all MEPs are paid a fixed monthly sum equal to 38.5% of the basic salary of a judge in the European Court of Justice. This system was set up and agreed by all the EU’s national governments in 2009.
At present, an MEP’s salary is set at €8020.53 per month before tax. This is first taxed by the European Union, reducing it to €6250.37. The remainder is then further taxed by HMRC in the UK to ensure that British MEPs pay the same level of tax and National Insurance as people employed in the UK. Deductions are also made for life insurance and medical insurance.