Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
₦2,279
Income Tax
- ₦143
National Housing Fund (NHF)
- ₦56.98
Pension contributions
- ₦182
Total tax
- ₦382
Net pay
* ₦1,897
Marginal tax rate
16.8%
Average tax rate
16.8%
83.2%
Net pay
16.8%
Total tax
Total tax
Net pay
The Taxberg
₦1,897
Net pay
₦273
Tax the employer pays
₦382
Tax you pay
Total tax paid
₦656
Did you know your employer also pays tax on your salary? It costs the employer ₦273 to pay you ₦2,279. In other words, every time you spend ₦10 of your hard-earned money, ₦2.88 goes to the government.
Real tax rate
25.7%
So, with you and the employer both paying tax, what used to be a 16.8% tax rate now rises to 25.7%, meaning your real tax rate is actually 8.9% higher than what it seemed at first.
Summary
If you make ₦118,508 a year living in Nigeria, you will be taxed ₦19,868. That means that your net pay will be ₦98,640 per year, or ₦8,220 per month. Your average tax rate is 16.8% and your marginal tax rate is 16.8%. 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 ₦16.76, hence, your net pay will only increase by ₦83.24.
Bonus Example
A ₦1,000 bonus will generate an extra ₦832 of net incomes. A ₦5,000 bonus will generate an extra ₦4,162 of net incomes.
North America
Country 
Net pay
Average tax
Rank
Canada
NGN 116635
1.6%
1
USA
NGN 108239
8.7%
2
Asia / Pacific
Country 
Net pay
Average tax
Rank
Australia
NGN 118508
0.0%
1
Singapore
NGN 118512
0.0%
2
Hong Kong
NGN 118507
0.0%
3
Thailand
NGN 112583
5.0%
4
Indonesia
NGN 108079
8.8%
5
Taiwan
NGN 108019
8.9%
6
South Korea
NGN 105841
10.7%
7
New Zealand
NGN 104417
11.9%
8
India
NGN 104294
12.0%
9
China
NGN 102882
13.2%
10
Vietnam
NGN 100761
15.0%
11
Pakistan
NGN 100422
15.3%
12
Japan
NGN 96298
18.7%
13
Malaysia
NGN 95738
19.2%
14
Kazakhstan
NGN 93858
20.8%
15
Philippines
NGN 57511
51.5%
16
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Middle East
Country 
Net pay
Average tax
Rank
Egypt
NGN 118508
0.0%
1
Saudi Arabia
NGN 118510
0.0%
2
United Arab Emirates
NGN 112579
5.0%
3
Qatar
NGN 112583
5.0%
4
Lebanon
NGN 110212
7.0%
5
Bahrain
NGN 109023
8.0%
6
Oman
NGN 109047
8.0%
7
Kuwait
NGN 105490
11.0%
8
Israel
NGN 102924
13.2%
9
Turkey
NGN 99832
15.8%
10
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NOTE* Withholding is calculated based on the tables of Nigeria, 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.