Salary rate

Annual

Month

Semimonthly

Weekly

Day

Hour

Withholding

Salary

R 11 500

PAYE (Pay As You Earn)

- R 761

UIF (Unemployment Insurance Fund)

- R 115

Total tax

- R 876

Net pay

*
R 10 625

Deductions

A deduction is a specific amount you can remove from your taxable income to lower it.

- R 1 310

Marginal tax rate

19.0%

Average tax rate

7.6%

92.4%

Net pay

7.6%

Total tax

Total tax

Net pay

Summary

If you make **R 138 000** a year living in **South Africa**, you will be taxed ** R 10 506**. That means that your net pay will be **R 127 494** per year, or **R 10 625** per month. Your average tax rate is **7.6%** and your marginal tax rate is **19.0%**. This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of **R 100** in your salary will be taxed **R 19**, hence, your net pay will only increase by **R 81**.

Bonus Example

A **R 1 000** bonus will generate an extra **R 810** of net incomes. A **R 5 000** bonus will generate an extra **R 4 050** of net incomes.

NOTE* Withholding is calculated based on the tables of South Africa, income tax. For simplification purposes some variables (such as marital status and others) have been assumed. This document does not represent legal authority and shall be used for approximation purposes only.