PAYE Calculator South Africa 2026/2027 | Free Salary Tax Calculator

South African Salary & PAYE Calculator

Enter your details below for an instant, accurate breakdown

Gross Monthly Salary (R) Your salary before any deductions

Retirement Contribution / Month (R) RA / pension / provident fund contribution

Age Group

Tax Year

Medical Aid Dependants Medical Aid Tax Credits (MTC) reduce your PAYE

Monthly Take-Home Pay

R 0

Annual: R 0

Effective Tax Rate 0%

Marginal Tax Rate 0%

Gross Salary R 0

PAYE Tax R 0

UIF Contribution (Employee) R 0

Retirement Deduction R 0

Full Calculation Breakdown

Item	Monthly	Annual

Frequently Asked Questions — PAYE & South African Income Tax

PAYE (Pay As You Earn) is the income tax deducted from your salary by your employer each month and paid to SARS on your behalf. It is calculated using the SARS tax brackets and rebates for the current tax year. Your employer is legally obligated to withhold the correct amount and pay it to SARS by the 7th of each month.

For 2026/2027: 18% on income up to R245,100; 26% on R245,101–R383,100; 31% on R383,101–R530,200; 36% on R530,201–R695,800; 39% on R695,801–R887,000; 41% on R887,001–R1,878,600; 45% above R1,878,600. These are marginal rates — you only pay the higher rate on income above each threshold, not your whole salary.

Employees pay 1% of their gross salary towards UIF, capped at a salary of R17,712 per month — so the maximum UIF deduction is R177.12 per month. Your employer also contributes 1% on your behalf, for a total UIF contribution of 2%. UIF provides short-term relief for unemployment, maternity, illness and dependants' benefits.

If you earn below R99,000 per year (under age 65), you pay no income tax. The threshold is R153,250 for those aged 65–74 and R171,300 for those aged 75 and older. These thresholds are derived from the primary (R17,820), secondary (R9,765) and tertiary (R3,249) rebates applied against the tax calculated using the 18% starting bracket.

Your marginal tax rate is the rate that applies to the last rand you earn — the bracket you fall into. Your effective tax rate is the actual percentage of total income paid as tax after all rebates and deductions. For example, a person earning R500,000/year may be in the 31% bracket (marginal) but pay an effective rate of around 19% after the primary rebate and retirement deductions.

You may not need to file if your income is below R500,000 from a single employer, you have no other income sources, and PAYE is your only deduction. However, SARS recommends filing to claim any refund if your employer over-deducted. If you have multiple income sources, a travel allowance, or medical expenses, you must file. Check your obligation via SARS eFiling (sars.gov.za).

If your employer over-deducts PAYE — common when income changes mid-year or deductions are not captured correctly — SARS refunds the difference when you file your annual income tax return. The refund is paid into your registered bank account. Ensure your return is submitted via eFiling before the October deadline. Refunds are typically processed within 21 business days of assessment.

How PAYE Is Calculated in South Africa (2026/2027)

PAYE (Pay As You Earn) is income tax withheld from your salary by your employer each month and paid to SARS on your behalf. It is calculated using the annual SARS tax tables applied on a monthly basis. Your employer must remit PAYE to SARS by the 7th of the following month.

South Africa uses a progressive tax system — you only pay the higher rate on income above each threshold, not on your total salary.

2026/2027 SARS Income Tax Brackets

Taxable Income (Annual)	Rate	Tax on Bracket
R0 – R245,100	18%	18% of income
R245,101 – R383,100	26%	R44,118 + 26% above R245,100
R383,101 – R530,200	31%	R79,998 + 31% above R383,100
R530,201 – R695,800	36%	R125,599 + 36% above R530,200
R695,801 – R887,000	39%	R185,215 + 39% above R695,800
R887,001 – R1,878,600	41%	R259,783 + 41% above R887,000
Above R1,878,600	45%	R666,339 + 45% above R1,878,600

Tax Rebates (Subtracted from Your Gross Tax)

Once gross tax is calculated, SARS subtracts rebates to arrive at PAYE:

Primary rebate: R17,820/year — all taxpayers under 65
Secondary rebate: R9,765/year — taxpayers aged 65–74
Tertiary rebate: R3,249/year — taxpayers aged 75+

The resulting tax-free thresholds: R99,000/year (under 65), R153,250/year (65–74), R171,300/year (75+).

Medical Aid Tax Credits (MTC)

If you belong to a medical aid, a monthly credit is subtracted directly from your PAYE: R376/month for the main member, R376/month for the first dependant, and R254/month for each additional dependant. These are credits, not deductions — they come straight off the tax bill.

Worked Example: R30,000/month Salary (Under 65, No Medical Aid)

Calculation Step	Amount
Gross annual income	R360,000
Less: retirement deduction (R2,000/month)	−R24,000
Taxable income	R336,000
Gross tax (2026/2027 bracket)	R67,752
Less: primary rebate	−R17,820
Annual PAYE	R49,932
Monthly PAYE	R4,161
UIF (1% of R17,712 cap)	R177
Monthly take-home pay	≈ R23,662

What Deductions Reduce Your PAYE?

Retirement contributions: RA, pension and provident fund contributions up to 27.5% of income (capped at R430,000/year) are tax-deductible, reducing your taxable income directly.
Medical aid tax credits: Monthly credits subtracted from PAYE — not a deduction from income.
Travel allowance: If you receive a travel allowance for business use, a portion is exempt from tax based on a logbook and SARS tables.

PAYE vs Final Tax on Assessment

PAYE is a monthly estimate. When you file your annual tax return with SARS (via eFiling, typically due in October), the final assessment corrects any difference. If too much was withheld, SARS refunds the balance. If too little, you will owe a shortfall — this most commonly occurs with multiple income sources or variable bonuses.

Data source: SARS 2026/2027 Budget Tax Guide