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Countries South Africa

Country guide · Tax year 2026/27

Salary and tax in South Africa

An employee in South Africa who earns R 72 000 a year takes home 99% of it. With the employer’s charges, the job costs R 73 440, and 97,1% of that reaches the employee.

Take-home share of gross pay
99%
Total employer cost per year
R 73 440
Rank among 50 countries
9 / 50

This guide was created with artificial intelligence support.

Where the money goes

At R 72 000 gross, no income tax is due yet; employee contributions (WVF / UIF and Retirement fund contributions) take R 720. That leaves R 71 280 a year, or R 5 940 a month on average.

The employer pays another R 1 440 in charges on top, 2% of the salary. The whole job costs R 73 440 a year.

Total employer cost of the reference salary, by who receives it
Total employer cost of the reference salary, by who receives itPer yearShare of total cost
Employer chargesR 1 4402%
Income taxR 00%
Employee contributionsR 7201%
Take-home payR 71 28097,1%
Total employer costR 73 440100%

All figures use R 72 000, the salary the calculator starts from for South Africa. Depending on the statistics available, it is an average or a median full-time wage.

How the income tax works

The income tax (LBS / PAYE) rises through 7 bands, from 18% to 45%. The top rate applies from R 1 878 600 of taxable income. That threshold is 26,1 times the reference salary of R 72 000, so only high earners reach the top rate.

The bands apply to taxable income: what is left after allowances and deductible contributions. That is why the rates bite later than the gross salary suggests.

Income tax bands, 2026/27
Taxable income fromMarginal rate
R 018%
R 245 10026%
R 383 10031%
R 530 20036%
R 695 80039%
R 887 00041%
R 1 878 60045%

How the rates rise with the salary

Income tax starts at a gross salary of about R 99 200 a year.

At R 72 000, 1% of pay goes to income tax and employee contributions. Of the next 100 earned, 99 reach the employee, a marginal rate of 1%.

At twice that salary, R 144 000, the average rate is 6,6% and the marginal rate 19%.

Average and marginal rate of income tax and employee contributions, from 0.2 to 4 times the reference salary
Show the figures
Average and marginal rate of income tax and employee contributions, from 0.2 to 4 times the reference salary
Gross salaryAverage rateMarginal rate
R 14 4001%1%
R 28 8001%1%
R 43 2001%1%
R 57 6001%1%
R 72 000 · Reference salary1%1%
R 86 4001%1%
R 100 8001,3%19%
R 115 2003,5%19%
R 129 6005,3%19%
R 144 0006,6%19%
R 158 4007,8%19%
R 172 8008,7%19%
R 187 2009,5%19%
R 201 60010,2%19%
R 216 00010,7%18%
R 230 40011,2%18%
R 244 80011,6%25%
R 259 20012,4%26%
R 273 60013,1%26%
R 288 00013,7%26%

Average and marginal rates, with worked examples:
Pay rise: How much more take-home pay? (South Africa)

Among 50 countries

At the same R 72 000 a year, converted into each local currency, an employee in South Africa takes home 99%, rank 9 of 50.

The same salary leaves the most in Belgium (104,3%) and the least in Switzerland (-63,8%).

Above 100%, refundable credits for low earners pay out more than income tax and contributions take, so net pay exceeds gross: Belgium and Luxembourg.

Take-home share of R 72 000 in each country, one dot per country
Show all 50 countries
Take-home share of R 72 000 in each country, one dot per country
RankCountryTake-home share
1 Belgium104,3%
2 Luxembourg104,1%
3 United Kingdom100%
4 Ireland100%
5 Singapore100%
6 Hong Kong100%
7 Australia100%
8 Norway100%
9 South Africa99%
10 Mexico97,6%
11 Italy96,9%
12 Estonia96,4%
13 Canada95,8%
14 Thailand95%
15 Indonesia94,7%
16 Croatia94,1%
17 Spain93,5%
18 India92,9%
19 Sweden92,5%
20 Brazil92,4%
21 Philippines92,2%
22 Austria92,1%
23 Finland91,8%
24 Colombia91,1%
25 South Korea90,3%
26 Taiwan89,5%
27 Latvia89,5%
28 Portugal89%
29 Cyprus88,5%
30 Denmark88,2%
31 Malaysia88,1%
32 Slovakia87,4%
33 Greece86,6%
34 Turkey85%
35 Japan84,6%
36 New Zealand84,2%
37 Lithuania80,5%
38 Kenya79,1%
39 Poland78,5%
40 Germany78,1%
41 Bulgaria77,6%
42 France72,3%
43 Malta68,9%
44 Hungary66,5%
45 Slovenia63,8%
46 Romania63,2%
47 Czech Republic63,2%
48 United States60,6%
49 Netherlands51%
50 Switzerland-63,8%

Nearby in the ranking

Every country is calculated for the same single employee without children, with the salary converted at the exchange rates of 02 October 2026. A salary that is typical in one country is high in another, so progressive systems look heavier where wages are lower. The ranking says nothing about purchasing power or about what the contributions pay for, such as pensions and health cover. Where the newer rules are not final, a country is calculated with its latest enacted year: Belgium (2025), Norway (2025) and Romania (2025).

Recent rule changes

The model for South Africa includes these recent changes.

  • Model 2026 covers March 2026 to February 2027 (SARS 2027).
  • The 2026/27 model uses SARS’s 2027 tables, in force from 1 March 2026 under the budget announcement. The first band ends at R245,100; the primary rebate is R17,820.

Beyond the payslip

The statutory rules in South Africa on notice, unemployment, sick pay, parental leave and unpaid wages.

  • Notice and dismissal

    Basic Conditions of Employment Act 75 of 1997 / Labour Relations Act 66 of 1995

    1 / 2 / 4 weeks

    Statutory notice

    BCEA section 37: one week for up to six months' service, two weeks for up to one year and four weeks after one year; notice must be in writing, or paid instead under section 38.

  • Unemployment benefit

    Unemployment Insurance Fund (UIF) / Unemployment Insurance Act 63 of 2001

    1 per 4 days worked, max. 365

    Credit days

    Credits accrue over the four years before employment ended; the full 365 days needs about four years as a contributor.

  • Sick pay

    Basic Conditions of Employment Act · sections 22–24 / UIF illness benefit

    6 weeks' working days per 36 months

    Employer-paid sick leave

    The employer pays the ordinary daily wage from the first day of sick leave, for example 30 days on a five-day week; in the first six months, one day accrues per 26 days worked.

  • Parental leave

    Basic Conditions of Employment Act · sections 25–25C / UIF maternity and parental benefits

    4 months + 10 days

    Shared parental leave (court order)

    Under the Constitutional Court's 3 October 2025 order, parents share this leave until Parliament amends the Act; a birth mother keeps priority for the time around the birth, and a parent who is the only one employed may take all of it.

  • Unpaid wages

    Basic Conditions of Employment Act · section 73A / Insolvency Act 24 of 1936 · sections 38 and 98A

    CCMA or court

    Unpaid-wage claim

    BCEA section 73A: employees earning up to the BCEA earnings threshold refer the claim to the CCMA; higher earners claim in the Labour Court, the High Court or a magistrates' or small claims court.

Calculate your own salary

The calculator opens with the reference salary from this page. Change the salary, region or household to see your own figures.

Calculator

Method and sources

Every figure on this page comes from the same tax model as the calculator. Monthly amounts divide the annual result by 12; actual payslips can differ.

Assumptions: a single employee aged 35 without children or church membership, tax year 2026/27.

Official sources