Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
R 74 220
PAYE (Pay As You Earn)
- R 21 081
UIF (Unemployment Insurance Fund)
- R 177
Total tax
- R 21 258
Net pay
* R 52 962
Marginal tax rate
41.0%
Average tax rate
28.6%
71.4%
Net pay
28.6%
Total tax
Total tax
Net pay
The Taxberg
R 52 962
Net pay
R 919
Tax the employer pays
R 21 258
Tax you pay
Total tax paid
R 22 178
Did you know your employer also pays tax on your salary? It costs the employer R 919 to pay you R 74 220. In other words, every time you spend R 10 of your hard-earned money, R 2.99 goes to the government.
Real tax rate
29.5%
So, with you and the employer both paying tax, what used to be a 28.6% tax rate now rises to 29.5%, meaning your real tax rate is actually 0.9% higher than what it seemed at first.
Summary
If you make R 890 640 a year living in South Africa, you will be taxed R 255 099. That means that your net pay will be R 635 541 per year, or R 52 962 per month. Your average tax rate is 28.6% and your marginal tax rate is 41.0%. 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 41, hence, your net pay will only increase by R 59.
Bonus Example
A R 1 000 bonus will generate an extra R 590 of net incomes. A R 5 000 bonus will generate an extra R 2 950 of net incomes.
Compare average tax
North America
Country 
Net pay
Average tax
Rank
USA
ZAR 701 866
21.2%
1
Canada
ZAR 635 483
28.7%
2
Latin America
Country 
Net pay
Average tax
Rank
Guatemala
ZAR 802 291
9.9%
1
Costa Rica
ZAR 740 805
16.8%
2
Puerto Rico
ZAR 740 619
16.8%
3
Chile
ZAR 735 459
17.4%
4
Ecuador
ZAR 704 603
20.9%
5
Panama
ZAR 703 534
21.0%
6
Colombia
ZAR 679 866
23.7%
7
Peru
ZAR 666 195
25.2%
8
Brazil
ZAR 655 837
26.4%
9
Mexico
ZAR 649 166
27.1%
10
Uruguay
ZAR 606 443
31.9%
11
Argentina
ZAR 578 791
35.0%
12
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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.