# What is the current PAYE tax rate in South Africa?

## What is the current PAYE tax rate in South Africa?

2019 tax year (1 March 2018 – 28 February 2019)

​Taxable income (R) ​Rates of tax (R)
1 – 195 850 18% of taxable income
195 851 – 305 850 35 253 + 26% of taxable income above 195 850
305 851 – 423 300 63 853 + 31% of taxable income above 305 850
423 301 – 555 600 100 263 + 36% of taxable income above 423 300

How is PAYE tax calculated in South Africa?

Example. If a monthly paid employee under 65 years old started working on 1 March 2018 and earned R10,000 in March and R20,000 in April, their tax would be calculated as follows: Tax calculated on R120,000 as per tax tables = R7,533. PAYE payable for March = R7,533 x 1/12 = R627.

What is the tax percentage for PAYE?

Above the personal allowance, you’ll be charged at either 20%, 40% or 45% depending on whether you’re a basic rate, higher rate or additional rate tax payer. The rate you pay will be determined by your income.

### How is the PAYE calculated?

When your employer calculates your PAYE, your earnings get multiplied by 52 weeks, 26 weeks or 12 months (depending on how often you get paid) to get an annual amount, before being applied to the SARS tax tables to calculate annual tax. The employer deducted PAYE of: R193. 50 x 3 = R580. 50 in total.

How much must I earn to pay PAYE South Africa?

R83 100 if you are younger than 65 years. If you are 65 years of age to below 75 years, the tax threshold (i.e. the amount above which income tax becomes payable) increases to R128 650. For taxpayers aged 75 years and older, this threshold is R143 850.

How do I calculate my PAYE?

PAYE = (Total tax payable – total rebates) / 12 This may seem like a lot to consider, but is fairly simple. Let’s look at an example: Sipho is 29 years old and in 2017/2018 tax year earns a fixed monthly salary of R20 000.

## Is PAYE calculated on gross salary?

Your employer uses your tax code during PAYE to determine how much to take off from your gross salary according to your personal allowance. This PAYE/NI calculator will determine which bands your gross salary falls in and tell you how much tax you pay.

How much tax do I pay on 50000?

If you make \$50,000 a year living in the region of California, USA, you will be taxed \$10,417. That means that your net pay will be \$39,583 per year, or \$3,299 per month. Your average tax rate is 20.8% and your marginal tax rate is 33.1%.