Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
R 8 904
PAYE (Pay As You Earn)
- R 234
UIF (Unemployment Insurance Fund)
- R 89.04
Total tax
- R 323
Net pay
* R 8 581
Marginal tax rate
19.0%
Average tax rate
3.6%
96.4%
Net pay
3.6%
Total tax
Total tax
Net pay
The Taxberg
R 8 581
Net pay
R 178
Tax the employer pays
R 323
Tax you pay
Total tax paid
R 501
Did you know your employer also pays tax on your salary? It costs the employer R 178 to pay you R 8 904. In other words, every time you spend R 10 of your hard-earned money, R 0.56 goes to the government.
Real tax rate
5.5%
So, with you and the employer both paying tax, what used to be a 3.6% tax rate now rises to 5.5%, meaning your real tax rate is actually 1.9% higher than what it seemed at first.
Summary
If you make R 106 848 a year living in South Africa, you will be taxed R 3 876. That means that your net pay will be R 102 972 per year, or R 8 581 per month. Your average tax rate is 3.6% 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 97 594
8.7%
1
Canada
ZAR 85 285
20.2%
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.