i What this calculator does
Shows how much PAYE comes off a bonus or 13th cheque in South Africa and how much you actually receive. There is no separate bonus tax rate: SARS requires employers to annualise, which means working out the tax on your full year's income with the bonus and without it, and deducting the difference from the bonus. Because the bonus sits on top of your salary, it is taxed at your highest bracket or pushes you into the next one, which is why a R35,000 bonus can lose a third of its value on the payslip.
The calculator uses the 2026/27 tables and rebates from this site's SARS reference, allows for a retirement fund deduction that reduces the taxable base, and shows whether the bonus crossed a bracket. A bonus does not raise the tax on your salary; it is only the bonus itself that is taxed at the higher rate.
Uses the 2026/27 SARS tax tables and rebates with the annualisation method most payrolls apply. Medical credits, other deductions and payroll rounding will change the exact amount on your payslip. Not tax advice.
Frequently asked questions
Is a bonus taxed at a higher rate in South Africa?
Not at a special rate, but effectively yes. The bonus is added on top of your annual income and taxed at your marginal bracket, often pushing part of it into the next one, so the percentage taken from the bonus is higher than the average rate on your salary.
How does the annualisation method work?
Your employer calculates the tax on your projected annual income plus the bonus, subtracts the tax on the annual income alone, and deducts the difference as PAYE from the bonus. This is what the calculator does.
Why did my colleague on a similar salary pay less tax on the same bonus?
Differences in retirement contributions, medical credits, other income or a bracket threshold change the result. Someone just below a bracket edge pays more on a bonus than someone comfortably inside one.
Can I reduce the tax on my bonus?
A once-off retirement annuity contribution in the same tax year is deductible up to 27.5% of income (capped at R430,000), which brings the taxable bonus down. Some employers let you salary-sacrifice part of the bonus into the pension fund before tax.
Is UIF deducted from a bonus?
Only up to the cap. UIF is 1% of remuneration to a ceiling of R177.12 a month, which most employees already reach on their salary, so the bonus usually attracts no extra UIF.
Will I get tax back at year end?
If your employer taxed the bonus with the annualisation method correctly, no. If the bonus was taxed at a flat rate or your income changed during the year, your assessment reconciles it and a refund or extra payment follows.
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<iframe src="https://www.tradeanswers.co.za/embed/bonus-tax-calculator.html"
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title="Bonus Tax Calculator - TradeAnswers" loading="lazy"></iframe>
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