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How PAYE is calculated in South Africa
Understand annualised taxable remuneration, tax tables, rebates, credits and monthly withholding.
Reviewed 21 September 2026Direct answer
PAYE is employees’ tax withheld by an employer. Payroll determines taxable remuneration, applies the current SARS method and allowable payroll deductions or credits, then withholds the resulting amount during the tax period.
Open Salary and PAYE CalculatorWorked example
For a monthly salary scenario, enter the gross amount, pay frequency, age and applicable retirement or medical inputs. The calculator shows annualised taxable income, estimated PAYE, UIF and net pay as separate lines rather than combining them into one unexplained deduction.
Limits to check
An estimate cannot reproduce every payroll code, fringe benefit, directive, irregular payment or final SARS assessment. Use the correct tax year and compare the result with the employer’s payslip calculation.
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