Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
R 167 000
PAYE (Pay As You Earn)
- R 60 029
UIF (Unemployment Insurance Fund)
- R 177
Total tax
- R 60 206
Net pay
* R 106 794
Marginal tax rate
45.0%
Average tax rate
36.1%
63.9%
Net pay
36.1%
Total tax
Total tax
Net pay
The Taxberg
R 106 794
Net pay
R 1 847
Tax the employer pays
R 60 206
Tax you pay
Total tax paid
R 62 053
Did you know your employer also pays tax on your salary? It costs the employer R 1 847 to pay you R 167 000. In other words, every time you spend R 10 of your hard-earned money, R 3.72 goes to the government.
Real tax rate
36.8%
So, with you and the employer both paying tax, what used to be a 36.1% tax rate now rises to 36.8%, meaning your real tax rate is actually 0.7% higher than what it seemed at first.
Summary
If you make R 2 004 000 a year living in South Africa, you will be taxed R 722 472. That means that your net pay will be R 1 281 528 per year, or R 106 794 per month. Your average tax rate is 36.1% and your marginal tax rate is 45.0%. 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 45, hence, your net pay will only increase by R 55.
Bonus Example
A R 1 000 bonus will generate an extra R 550 of net incomes. A R 5 000 bonus will generate an extra R 2 750 of net incomes.
Europe
Country 
Net pay
Average tax
Rank
Russia
ZAR 1 743 480
13.0%
1
Hungary
ZAR 1 633 260
18.5%
2
Ukraine
ZAR 1 613 220
19.5%
3
Switzerland
ZAR 1 535 761
23.4%
4
Czech Republic
ZAR 1 524 020
24.0%
5
United Kingdom
ZAR 1 350 602
32.6%
6
France
ZAR 1 344 193
32.9%
7
Norway
ZAR 1 296 382
35.3%
8
Spain
ZAR 1 276 430
36.3%
9
Denmark
ZAR 1 259 220
37.2%
10
Ireland
ZAR 1 229 182
38.7%
11
Austria
ZAR 1 224 887
38.9%
12
Poland
ZAR 1 203 153
40.0%
13
Netherlands
ZAR 1 177 590
41.2%
14
Sweden
ZAR 1 174 376
41.4%
15
Romania
ZAR 1 172 340
41.5%
16
Greece
ZAR 1 159 331
42.2%
17
Luxembourg
ZAR 1 132 672
43.5%
18
Germany
ZAR 1 096 850
45.3%
19
Italy
ZAR 1 040 512
48.1%
20
Finland
ZAR 1 014 113
49.4%
21
Portugal
ZAR 932 795
53.5%
22
Belgium
ZAR 847 148
57.7%
23
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North America
Country 
Net pay
Average tax
Rank
USA
ZAR 1 420 458
29.1%
1
Canada
ZAR 1 306 218
34.8%
2
Asia / Pacific
Country 
Net pay
Average tax
Rank
Hong Kong
ZAR 1 722 532
14.1%
1
Kazakhstan
ZAR 1 680 911
16.1%
2
Singapore
ZAR 1 644 687
17.9%
3
Taiwan
ZAR 1 594 947
20.4%
4
China
ZAR 1 532 609
23.5%
5
Thailand
ZAR 1 521 519
24.1%
6
South Korea
ZAR 1 439 408
28.2%
7
Indonesia
ZAR 1 421 747
29.1%
8
New Zealand
ZAR 1 414 567
29.4%
9
Australia
ZAR 1 398 939
30.2%
10
Japan
ZAR 1 386 915
30.8%
11
Pakistan
ZAR 1 383 237
31.0%
12
Malaysia
ZAR 1 361 804
32.1%
13
Philippines
ZAR 1 361 287
32.1%
14
Vietnam
ZAR 1 332 202
33.5%
15
India
ZAR 1 121 661
44.0%
16
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Latin America
Country 
Net pay
Average tax
Rank
Guatemala
ZAR 1 787 705
10.8%
1
Costa Rica
ZAR 1 545 068
22.9%
2
Chile
ZAR 1 535 637
23.4%
3
Uruguay
ZAR 1 471 382
26.6%
4
Colombia
ZAR 1 470 788
26.6%
5
Brazil
ZAR 1 463 023
27.0%
6
Panama
ZAR 1 457 630
27.3%
7
Puerto Rico
ZAR 1 424 079
28.9%
8
Ecuador
ZAR 1 389 140
30.7%
9
Mexico
ZAR 1 375 200
31.4%
10
Peru
ZAR 1 369 594
31.7%
11
Argentina
ZAR 1 302 475
35.0%
12
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Africa
Country 
Net pay
Average tax
Rank
Angola
ZAR 1 461 033
27.1%
1
Kenya
ZAR 1 411 932
29.5%
2
Nigeria
ZAR 1 365 361
31.9%
3
Ivory Coast
ZAR 1 345 899
32.8%
4
Ghana
ZAR 1 343 623
33.0%
5
Mozambique
ZAR 1 342 459
33.0%
6
South Africa
ZAR 1 281 528
36.1%
7
Morocco
ZAR 1 255 127
37.4%
8
Cameroon
ZAR 1 242 348
38.0%
9
Zambia
ZAR 1 237 723
38.2%
10
Senegal
ZAR 1 223 017
39.0%
11
Uganda
ZAR 1 166 593
41.8%
12
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Middle East
Country 
Net pay
Average tax
Rank
United Arab Emirates
ZAR 1 903 800
5.0%
1
Qatar
ZAR 1 903 800
5.0%
2
Bahrain
ZAR 1 843 680
8.0%
3
Oman
ZAR 1 843 680
8.0%
4
Kuwait
ZAR 1 812 696
9.6%
5
Saudi Arabia
ZAR 1 803 600
10.0%
6
Egypt
ZAR 1 507 980
24.8%
7
Lebanon
ZAR 1 506 411
24.8%
8
Israel
ZAR 1 355 447
32.4%
9
Turkey
ZAR 1 170 603
41.6%
10
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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.