Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
R 3 120
UIF (Unemployment Insurance Fund)
- R 31.20
Total tax
- R 31.20
Net pay
* R 3 089
Marginal tax rate
1.0%
Average tax rate
1.0%
99.0%
Net pay
1.0%
Total tax
Total tax
Net pay
The Taxberg
R 3 089
Net pay
R 62.40
Tax the employer pays
R 31.20
Tax you pay
Total tax paid
R 93.60
Did you know your employer also pays tax on your salary? It costs the employer R 62.40 to pay you R 3 120. In other words, every time you spend R 10 of your hard-earned money, R 0.30 goes to the government.
Real tax rate
2.9%
So, with you and the employer both paying tax, what used to be a 1% tax rate now rises to 2.9%, meaning your real tax rate is actually 1.9% higher than what it seemed at first.
Summary
If you make R 37 440 a year living in South Africa, you will be taxed R 374. That means that your net pay will be R 37 066 per year, or R 3 089 per month. Your average tax rate is 1.0% and your marginal tax rate is 1.0%. 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 1, hence, your net pay will only increase by R 99.
Bonus Example
A R 1 000 bonus will generate an extra R 990 of net incomes. A R 5 000 bonus will generate an extra R 4 950 of net incomes.
Compare average tax
North America
Country 
Net pay
Average tax
Rank
USA
ZAR 34 197
8.7%
1
Canada
ZAR 33 819
9.7%
2
Africa
Country 
Net pay
Average tax
Rank
South Africa
ZAR 37 066
1.0%
1
Morocco
ZAR 34 917
6.7%
2
Zambia
ZAR 34 437
8.0%
3
Kenya
ZAR 32 673
12.7%
4
Ivory Coast
ZAR 32 631
12.9%
5
Cameroon
ZAR 31 589
15.6%
6
Mozambique
ZAR 31 117
16.9%
7
Ghana
ZAR 30 346
19.0%
8
Senegal
ZAR 30 286
19.1%
9
Uganda
ZAR 29 852
20.3%
10
Angola
ZAR 29 072
22.4%
11
Nigeria
ZAR 27 678
26.1%
12
Show more
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.