South Africa’s 2026/27 tax year (from 1 March 2026) finally adjusted brackets for inflation — the first change in three years: rates of 18%–45% with a R17,820 primary rebate, so under-65s pay no tax on the first R99,000 a year. UIF takes 1% to the R17,712/month ceiling — and unlike most deductions, it does not reduce your taxable income.
Estimates only — not tax advice. Results are computed from official 2026 tax rules; always verify important decisions with the relevant tax authority.
Step 1 — Enter your monthly gross salary in R.
Step 2 — Select your age. At 65+ and 75+ you get bigger rebates and higher tax-free thresholds.
Step 3 — The calculator applies UIF (1% to R17,712), then PAYE minus your rebate.
Step 4 — Read your monthly net. Your employer adds UIF 1% and SDL 1% on top of your gross.
2026/27 brackets (1 March 2026 – 28 February 2027; all adjusted +3.4% for inflation):
| Annual taxable income | Rate |
|---|---|
| R1 – 245,100 | 18% |
| R245,101 – 383,100 | R44,118 + 26% above R245,100 |
| R383,101 – 530,200 | R79,998 + 31% above R383,100 |
| R530,201 – 695,800 | R125,599 + 36% above R530,200 |
| R695,801 – 887,000 | R185,215 + 39% above R695,800 |
| R887,001 – 1,878,600 | R259,783 + 41% above R887,000 |
| Above R1,878,600 | R666,339 + 45% above R1,878,600 |
Then subtract your rebate (a direct cut to the tax bill, not to income): R17,820 primary (under 65), +R9,765 secondary (65–74), +R3,249 tertiary (75+). Tax-free thresholds: R99,000 (under 65), R153,250 (65–74), R171,300 (75+).
UIF: 1% employee + 1% employer on remuneration, ceiling R17,712/month (max R177.12/month each) — unchanged since June 2021, and it does not reduce taxable income. SDL (1% of payroll) is employer-only and doesn’t touch your net.
Example 1 — R30,000/month (under 65): UIF R177.12. Annual R360,000 → tax = 44,118 + 26% × 114,900 = R73,992 − R17,820 rebate = R56,172/year (R4,681/month). Net = R25,141.88/month.
Example 2 — R15,000/month: UIF R150; annual R180,000 → tax = 18% × 180,000 = R32,400 − 17,820 = R14,580/year (R1,215/month). Net = R13,635/month.
Example 3 — R8,000/month (under 65): annual R96,000 < R99,000 threshold → zero PAYE; only UIF R80 comes off.
1. Deducting UIF before PAYE. UIF doesn’t reduce taxable income — it’s a separate 1% line. Calculators that subtract it understate tax.
2. The R17,728 ceiling myth. It’s R17,712 — a small difference that matters at the cap.
3. Using frozen 2023/24 brackets. Budget 2026 moved every bracket and rebate +3.4% — old tables overstate tax.
| Applicable period | Year of assessment 2026/27 (1 Mar 2026 – 28 Feb 2027) |
| Based on | SARS Budget 2026 (brackets, rebates, thresholds); UIF Act (R17,712 ceiling, Gazette 28 May 2021) |
| Last verified | 24 October 2026 |
| Assumes | Resident employee; no medical-aid credits claimed |
| Doesn’t cover | Medical-aid tax credits; retirement-annuity deductions; s10(1)(o) foreign-employment exemption |
Sources: Figures compiled from: SARS tax tables, SARS.
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R99,000/year (R8,250/month) for under-65s; R153,250 at 65–74; R171,300 at 75+. Below that, the rebate wipes out all PAYE.
No — UIF is a separate 1% contribution (max R177.12/month at the R17,712 ceiling) that doesn’t lower the income PAYE is computed on.
Yes — Budget 2026 adjusted all brackets, rebates and thresholds +3.4% for inflation, the first change since 2023/24.
UIF 1% (to the R17,712 ceiling) and SDL 1% of payroll (where annual payroll exceeds R500,000).
📖 How salary deductions work in South Africa — full guide
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