Net Salary Calculator South Africa 2026
Calculate your take-home pay after all deductions
This calculator provides estimates only. Actual deductions may vary based on your specific circumstances.
From gross to net, deduction by deduction
Net salary is what remains after every statutory and contractual deduction. This calculator shows the statutory part — PAYE and UIF — which is the same for everyone on the same gross. The rest depends on what you signed up for: pension or provident fund, medical scheme, group life, garnishee orders and loan repayments.
The deduction stack, in the order payroll applies it
| Line | Typical amount on R40 000 gross | Tax effect |
|---|---|---|
| Gross salary | R40 000,00 | — |
| Pension / provident (say 7,5%) | −R3 000,00 | Reduces taxable income |
| PAYE | ≈ −R6 754,00 | Reduced by the fund contribution |
| UIF (1%, capped) | −R177,12 | No tax effect |
| Medical scheme (adult + 1) | −R4 200,00 | Medical tax credit ≈ R728 off PAYE |
| Group life (say 0,5%) | −R200,00 | No tax effect |
| Net | ≈ R26 400,00 | — |
The 7,5% pension line is the one with leverage: R3 000 contributed reduces PAYE by roughly R930 a month, so the real cost of the contribution is about R2 070, not R3 000.
Statutory versus contractual deductions
Statutory — PAYE, UIF and SDL — the employer must deduct or pay them, and you cannot contract out. Contractual — pension, medical, group life, funeral cover — only apply if they are in your employment contract or you joined the fund. A deduction that appears on your payslip without a signed agreement behind it is recoverable; ask payroll for the mandate.
What a net salary figure cannot tell you
- Whether the employer’s 50% medical subsidy is included in the cost-to-company figure
- Whether the 13th cheque is guaranteed or discretionary
- Whether the car allowance is a fixed allowance or a reimbursement of actual business travel
- What happens to net pay in a no-work-no-pay month — UIF and PAYE fall to zero, but fund contributions usually continue
Two offers, same gross, different net
Offer A pays R40 000 basic. Offer B pays R36 000 basic plus R4 000 travel allowance and a 60% employer medical contribution. On gross alone A looks better by R4 000. Once the travel allowance is taxed at 80% and the medical credit is counted, the gap closes to a few hundred rand — and B may leave you with a medical scheme you would otherwise have paid for yourself. Put both through this calculator and the cost-to-company calculator before you decide.
Frequently Asked Questions About Net Salary
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How the net salary calculator works
Net pay is gross pay minus PAYE, UIF and any other deduction such as pension, medical aid, garnishee or loan repayment.
On R25 000,00 gross, with PAYE of R3 381,00, UIF of R177,12 and a 7,5% pension contribution of R1 875,00, the net is about R19 566,88.
The pension contribution lowers taxable income, so the PAYE on the reduced figure is slightly less than the PAYE on the full salary — the deduction costs less than it appears to.
What changes the answer in South Africa
Only UIF is capped: 1% of remuneration up to a ceiling of R17 712 a month, so R177,12 is the maximum employee contribution. PAYE has no ceiling. Medical scheme contributions qualify for a tax credit rather than a deduction, which is why they appear after PAYE rather than before it.
Common questions about the net salary calculator
Why is my net pay different from what a calculator shows?
Because of your specific deductions — pension percentage, medical aid, group life, garnishees. A calculator assumes none unless you enter them.
Is UIF deducted from my bonus?
UIF is capped at the monthly ceiling, so a bonus in the same month does not increase the UIF beyond R177,12 for an employee.
Are travel allowances taxed?
Yes, but with an 80% (or 20% if the vehicle is owned by the employer) inclusion in taxable income, and a logbook claim at year end.