Income Tax Calculator Nigeria

Find out how much your salary is after tax

Enter your gross income

Salary rate

Withholding

Salary ₦539

National Housing Fund (NHF) - ₦13

Income Tax - ₦55

Pension contributions - ₦43

Total tax - ₦112

Net pay * ₦427

Marginal tax rate 25.8%

Average tax rate 20.8%

20.8%Total tax

79.2%

Net pay

The Taxberg

₦427

Net pay

₦65

Tax the employer pays

₦112

Tax you pay

Total tax paid

₦177

Did you know your employer also pays tax on your salary? It costs the employer ₦65 to pay you ₦539. In other words, every time you spend ₦10 of your hard-earned money, ₦3.28 goes to the government.

Real tax rate

29.3%

So, with you and the employer both paying tax, what used to be a 20.8% tax rate now rises to 29.3%, meaning your real tax rate is actually 8.5% higher than what it seemed at first.

Summary

If you make ₦1,120,995 a year living in Nigeria, you will be taxed ₦232,645. That means that your net pay will be ₦888,350 per year, or ₦74,029 per month. Your average tax rate is 20.8% and your marginal tax rate is 25.8%. This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of ₦100 in your salary will be taxed ₦25.8, hence, your net pay will only increase by ₦74.2.

Bonus Example

A ₦1,000 bonus will generate an extra ₦742 of net incomes. A ₦5,000 bonus will generate an extra ₦3,710 of net incomes.

Tax per income

₦5,000₦10,000₦15,000₦20,000₦25,000₦30,000₦35,000₦40,000₦45,000₦50,000₦55,000₦60,000₦65,000₦70,000₦75,000₦80,000₦85,000₦90,000₦95,000₦100,000

NOTE* Withholding is calculated based on the Nigeria tables of NG, income tax. For simplification purposes some variables (such as marital status and others) have been assumed. This document does not represent legal authority and shall be used for approximation purposes only.