⚙ Inputs

Employee Pension (8%)
Mandatory for employers with ≥3 staff. Employee contributes 8% of emolument.
NHF Contribution (2.5%)
National Housing Fund — mandatory for all employees earning ≥₦3,000/mo.

Allowances (optional — included in gross)

📊 Monthly Breakdown

Monthly Net Take-Home

₦0

₦0 per year

Gross Monthly Salary
₦0
Consolidated Relief Allowance (CRA) max(₦200K, 1% of gross) + 20% of gross
−₦0
Employee Pension 8% of gross emolument
−₦0
NHF Contribution 2.5% of monthly salary
−₦0
Taxable Income
₦0
PAYE Tax Effective rate: 0.0%
−₦0
Net Take-Home Pay
₦0

Gross salary breakdown

Net Pay
PAYE Tax
Pension
NHF
CRA Exempt

PAYE Tax Bands — Nigeria 2026

Annual Taxable Income Tax Rate Tax on Band Cumulative Tax
First ₦300,000 7% ₦21,000 ₦21,000
Next ₦300,000 (₦300K–₦600K) 11% ₦33,000 ₦54,000
Next ₦500,000 (₦600K–₦1.1M) 15% ₦75,000 ₦129,000
Next ₦500,000 (₦1.1M–₦1.6M) 19% ₦95,000 ₦224,000
Next ₦1,600,000 (₦1.6M–₦3.2M) 21% ₦336,000 ₦560,000
Above ₦3,200,000 24%

ⓘ PAYE is applied on annual taxable income. This calculator converts monthly figures to annual, applies the bands, then divides back to monthly.

Employer Obligations

PAYE Remittance

Deduct PAYE from employee salaries and remit to the relevant State Internal Revenue Service (SIRS) monthly.

Due: 10th of following month

Employer Pension

Employer must contribute 10% of employee's monthly emolument to the employee's Retirement Savings Account (RSA).

Rate: 10% employer + 8% employee

NHF Deduction

Deduct 2.5% of monthly salary and remit to the Federal Mortgage Bank of Nigeria (FMBN) via NHFIS.

Due: Monthly

NSITF Contribution

Nigeria Social Insurance Trust Fund — 1% of employee monthly payroll. Covers workplace injury insurance.

Rate: 1% of payroll

ITF Levy

Industrial Training Fund — 1% of annual payroll for employers with ≥5 employees or payroll ≥₦500K/yr.

Rate: 1% of annual payroll

Annual Tax Returns

File annual PAYE returns with SIRS. Employees earning below CRA threshold may be exempt from PAYE.

Due: 31 January each year

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