Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
R 33 080
PAYE (Pay As You Earn)
- R 5 912
UIF (Unemployment Insurance Fund)
- R 177
Total tax
- R 6 089
Net pay
* R 26 991
Marginal tax rate
30.5%
Average tax rate
18.4%
81.6%
Net pay
18.4%
Total tax
Total tax
Net pay
The Taxberg
R 26 991
Net pay
R 508
Tax the employer pays
R 6 089
Tax you pay
Total tax paid
R 6 597
Did you know your employer also pays tax on your salary? It costs the employer R 508 to pay you R 33 080. In other words, every time you spend R 10 of your hard-earned money, R 1.99 goes to the government.
Real tax rate
19.6%
So, with you and the employer both paying tax, what used to be a 18.4% tax rate now rises to 19.6%, meaning your real tax rate is actually 1.2% higher than what it seemed at first.
Summary
If you make R 396 960 a year living in South Africa, you will be taxed R 73 065. That means that your net pay will be R 323 895 per year, or R 26 991 per month. Your average tax rate is 18.4% and your marginal tax rate is 30.5%. 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 30.47, hence, your net pay will only increase by R 69.53.
Bonus Example
A R 1 000 bonus will generate an extra R 695 of net incomes. A R 5 000 bonus will generate an extra R 3 477 of net incomes.
Compare average tax
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.