Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
R 20 250
PAYE (Pay As You Earn)
- R 9 025
UIF (Unemployment Insurance Fund)
- R 1.02
Total tax
- R 9 026
Net pay
* R 11 224
Marginal tax rate
45.0%
Average tax rate
44.6%
55.4%
Net pay
44.6%
Total tax
Total tax
Net pay
The Taxberg
R 11 224
Net pay
R 204
Tax the employer pays
R 9 026
Tax you pay
Total tax paid
R 9 230
Did you know your employer also pays tax on your salary? It costs the employer R 204 to pay you R 20 250. In other words, every time you spend R 10 of your hard-earned money, R 4.56 goes to the government.
Real tax rate
45.1%
So, with you and the employer both paying tax, what used to be a 44.6% tax rate now rises to 45.1%, meaning your real tax rate is actually 0.5% higher than what it seemed at first.
Summary
If you make R 42 120 000 a year living in South Africa, you will be taxed R 18 774 672. That means that your net pay will be R 23 345 328 per year, or R 1 945 444 per month. Your average tax rate is 44.6% 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.
Compare average tax
Europe
Country 
Net pay
Average tax
Rank
Russia
ZAR 36 644 400
13.0%
1
Hungary
ZAR 34 327 800
18.5%
2
Ukraine
ZAR 33 906 600
19.5%
3
Czech Republic
ZAR 32 413 340
23.1%
4
Romania
ZAR 24 640 200
41.5%
5
Poland
ZAR 24 291 716
42.3%
6
Greece
ZAR 23 624 291
43.9%
7
Switzerland
ZAR 22 777 967
45.9%
8
Norway
ZAR 22 410 041
46.8%
9
Luxembourg
ZAR 22 285 529
47.1%
10
United Kingdom
ZAR 22 198 720
47.3%
11
Spain
ZAR 22 136 742
47.4%
12
Denmark
ZAR 21 807 278
48.2%
13
Netherlands
ZAR 21 436 170
49.1%
14
Austria
ZAR 21 302 498
49.4%
15
Sweden
ZAR 21 236 204
49.6%
16
Italy
ZAR 21 137 911
49.8%
17
Germany
ZAR 20 662 968
50.9%
18
Ireland
ZAR 20 484 862
51.4%
19
France
ZAR 18 153 294
56.9%
20
Belgium
ZAR 15 842 469
62.4%
21
Finland
ZAR 15 784 824
62.5%
22
Portugal
ZAR 15 324 455
63.6%
23
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North America
Country 
Net pay
Average tax
Rank
USA
ZAR 23 082 803
45.2%
1
Canada
ZAR 19 995 185
52.5%
2
Asia / Pacific
Country 
Net pay
Average tax
Rank
Kazakhstan
ZAR 37 785 311
10.3%
1
Hong Kong
ZAR 35 018 812
16.9%
2
Singapore
ZAR 33 008 145
21.6%
3
Indonesia
ZAR 28 540 163
32.2%
4
Thailand
ZAR 27 626 730
34.4%
5
Pakistan
ZAR 27 458 637
34.8%
6
Vietnam
ZAR 27 407 602
34.9%
7
Philippines
ZAR 26 276 440
37.6%
8
New Zealand
ZAR 25 885 329
38.5%
9
Taiwan
ZAR 25 726 656
38.9%
10
Malaysia
ZAR 25 201 083
40.2%
11
China
ZAR 23 678 509
43.8%
12
Japan
ZAR 23 176 426
45.0%
13
Australia
ZAR 22 670 298
46.2%
14
South Korea
ZAR 22 512 325
46.6%
15
India
ZAR 8 783 232
79.2%
16
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Latin America
Country 
Net pay
Average tax
Rank
Guatemala
ZAR 37 293 615
11.5%
1
Brazil
ZAR 30 547 123
27.5%
2
Costa Rica
ZAR 28 477 426
32.4%
3
Panama
ZAR 28 235 060
33.0%
4
Mexico
ZAR 27 464 986
34.8%
5
Argentina
ZAR 27 377 875
35.0%
6
Puerto Rico
ZAR 27 333 166
35.1%
7
Colombia
ZAR 26 117 501
38.0%
8
Uruguay
ZAR 26 074 266
38.1%
9
Peru
ZAR 25 940 644
38.4%
10
Chile
ZAR 25 711 992
39.0%
11
Ecuador
ZAR 24 274 036
42.4%
12
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Africa
Country 
Net pay
Average tax
Rank
Angola
ZAR 30 645 423
27.2%
1
Kenya
ZAR 29 493 132
30.0%
2
Ivory Coast
ZAR 28 718 049
31.8%
3
Nigeria
ZAR 28 652 264
32.0%
4
Ghana
ZAR 27 880 357
33.8%
5
Mozambique
ZAR 27 417 859
34.9%
6
Zambia
ZAR 25 909 063
38.5%
7
Cameroon
ZAR 25 666 975
39.1%
8
Morocco
ZAR 25 564 942
39.3%
9
Senegal
ZAR 25 292 617
40.0%
10
South Africa
ZAR 23 345 328
44.6%
11
Uganda
ZAR 23 230 393
44.9%
12
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Middle East
Country 
Net pay
Average tax
Rank
Kuwait
ZAR 41 928 696
0.5%
1
Saudi Arabia
ZAR 41 860 339
0.6%
2
Bahrain
ZAR 41 537 779
1.4%
3
United Arab Emirates
ZAR 40 014 000
5.0%
4
Qatar
ZAR 40 014 000
5.0%
5
Oman
ZAR 38 750 400
8.0%
6
Egypt
ZAR 31 594 980
25.0%
7
Lebanon
ZAR 31 593 411
25.0%
8
Turkey
ZAR 24 534 563
41.8%
9
Israel
ZAR 21 501 592
49.0%
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.