Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
R 14 406
PAYE (Pay As You Earn)
- R 1 224
UIF (Unemployment Insurance Fund)
- R 144
Total tax
- R 1 368
Net pay
* R 13 038
Marginal tax rate
19.0%
Average tax rate
9.5%
90.5%
Net pay
9.5%
Total tax
Total tax
Net pay
The Taxberg
R 13 038
Net pay
R 288
Tax the employer pays
R 1 368
Tax you pay
Total tax paid
R 1 657
Did you know your employer also pays tax on your salary? It costs the employer R 288 to pay you R 14 406. In other words, every time you spend R 10 of your hard-earned money, R 1.15 goes to the government.
Real tax rate
11.3%
So, with you and the employer both paying tax, what used to be a 9.5% tax rate now rises to 11.3%, meaning your real tax rate is actually 1.8% higher than what it seemed at first.
Summary
If you make R 172 872 a year living in South Africa, you will be taxed R 16 421. That means that your net pay will be R 156 451 per year, or R 13 038 per month. Your average tax rate is 9.5% 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.
North America
Country 
Net pay
Average tax
Rank
USA
ZAR 156 632
9.4%
1
Canada
ZAR 132 711
23.2%
2
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.