How to use this calculator
Step 1 — Enter your monthly gross salary in pesos (salary + commissions + overtime — but not the transport allowance).
Step 2 — Enter your monthly transport allowance (if any). Up to 2 SMMLV is excluded from the social-security base and from withholding — entering it in the salary field instead is the most common Colombian payroll error.
Step 3 — Hit "Calculate Net Pay". The calculator builds your IBC, deducts 8% social security (+1–2% Solidarity Fund at 4+ SMMLV), applies the 25% exempt portion (capped at 790 UVT/year), and runs the remainder through the monthly UVT withholding table.
How salary deductions work in Colombia
Social security is charged on the IBC (gross minus transport allowance, capped at 25 SMMLV = COP 43,772,625): 4% pension + 4% health, plus FSP of 1–2% from 4 SMMLV upward. Withholding (Procedimiento 1): 25% of (gross − SS) is exempt income (capped at 790 UVT/year (≈65.83 UVT/month)), then the monthly UVT table applies:
| Monthly base (UVT) | Rate |
|---|
| 0 – 95 | 0% |
| 95 – 150 | 19% |
| 150 – 360 | 28% |
| 360 – 640 | 33% |
| 640 – 945 | 35% |
| 945 – 2,300 | 37% |
| Above 2,300 | 39% |
Sources: DIAN Resolución 000238/2025 (UVT $52,374), Estatuto Tributario.
Deductions explained: IBC, the 25% exemption, UVT withholding
Colombia's formula is the most intricate on this site. First, build the IBC: salary + commissions + overtime — excluding the transport allowance (up to 2 SMMLV) and capped at 25 SMMLV. Second, social security: 4% health + 4% pension on the IBC; earn 4+ SMMLV and add the 1–2% Solidarity Fund (FSP). Third, the 25% exemption: up to 25% of (IBC − SS) is exempt, capped at 790 UVT per year — the most-misunderstood number in Colombian payroll. Finally, withholding: the remainder is converted to UVT and run through the monthly table (0% to 95 UVT, up to 39% above 27,000 UVT).
Worked examples
Example 1 — COP 5,000,000/month (no transport allowance): IBC = 5,000,000. SS = 8% × 5,000,000 = COP 400,000. Base = 4,600,000. 25% exempt = 1,150,000 (under the 790-UVT annual cap). Withholding base = 3,450,000 = 65.87 UVT — below 95, so withholding = COP 0. Take-home = 5,000,000 − 400,000 = COP 4,600,000.
Example 2 — COP 20,000,000/month: SS = COP 1,600,000; FSP = 1% × 20,000,000 = COP 200,000. Base = 18,200,000. 25% exempt capped at 790 UVT/year ≈ COP 3,447,955. Withholding base ≈ 14,752,045 = 281.66 UVT → withholding ≈ COP 2,477,814. Take-home ≈ COP 15,722,200/month.
Common mistakes
1. The 790-UVT cap as monthly. It's per year (≈65.83 UVT/month) — treating it monthly nearly doubles the exemption.
2. Including the transport allowance in the IBC. Up to 2 SMMLV of transport allowance is excluded from social security and withholding.
3. Missing the Solidarity Fund. Salaries at 4+ SMMLV owe 1–2% FSP on top of the standard 8% — a real payslip line.
Sources & verification
Figures compiled from: DIAN.
Last verified: 23 October 2026.