Salary Tax Calculator Pakistan 2026-27
Your monthly tax and take-home pay under the 2026-27 FBR slabs, with the pension fund, donation and zakat savings.
Of every Rs 100 you earn, Rs 0.50 goes to tax and Rs 99.50 is yours to keep.
- Take-home 99.5%
- Tax 0.5%
Salaried tax slabs, 2026-27 (yearly taxable income)
| Yearly taxable income | Tax |
|---|---|
| Up to Rs 600,000 | No tax |
| Rs 600,001 to Rs 1,200,000 You are here | 1% of the amount above Rs 600,000 |
| Rs 1,200,001 to Rs 2,200,000 | Rs 6,000 + 11% of the amount above Rs 1,200,000 |
| Rs 2,200,001 to Rs 3,200,000 | Rs 116,000 + 20% of the amount above Rs 2,200,000 |
| Rs 3,200,001 to Rs 4,100,000 | Rs 316,000 + 25% of the amount above Rs 3,200,000 |
| Rs 4,100,001 to Rs 5,600,000 | Rs 541,000 + 29% of the amount above Rs 4,100,000 |
| Rs 5,600,001 to Rs 7,000,000 | Rs 976,000 + 32% of the amount above Rs 5,600,000 |
| Above Rs 7,000,000 | Rs 1,424,000 + 35% of the amount above Rs 7,000,000 |
Source: Finance Act 2026 (Gazette of Pakistan, 26 June 2026) and FBR Circular 2 of 2026-27
How salary tax works in 2026-27
Pakistan taxes salaries in slabs. Your whole year’s taxable salary is placed in one slab, and you pay that slab’s fixed amount plus a percentage of whatever is above the slab’s starting point. The calculator does this for you and marks your slab in the table.
The 2026-27 slabs apply from 1 July 2026, set by the Finance Act 2026. The first Rs 600,000 a year is tax free. The biggest changes from last year are in the middle: the Rs 2.2 million to 3.2 million slab dropped from 23% to 20%, and the 9% surcharge on salaries above Rs 10 million was removed.
For the tax on every common salary in one list, from Rs 40,000 to Rs 1,000,000 a month with last year alongside, see income tax on salary in Pakistan.
Worked examples
| Monthly salary | Yearly salary | Tax per year | Tax per month |
|---|---|---|---|
| Rs 50,000 | Rs 600,000 | Rs 0 | Rs 0 |
| Rs 100,000 | Rs 1,200,000 | Rs 6,000 | Rs 500 |
| Rs 150,000 | Rs 1,800,000 | Rs 72,000 | Rs 6,000 |
| Rs 300,000 | Rs 3,600,000 | Rs 416,000 | Rs 34,667 |
| Rs 1,000,000 | Rs 12,000,000 | Rs 3,174,000 | Rs 264,500 |
Take Rs 150,000 a month. That is Rs 1,800,000 a year, which falls in the Rs 1,200,001 to Rs 2,200,000 slab. Tax is Rs 6,000 plus 11% of the Rs 600,000 above Rs 1,200,000, so Rs 6,000 + Rs 66,000 = Rs 72,000 a year, or Rs 6,000 a month.
Three legal ways to pay less
Put money in a pension fund. Contributions to an approved pension fund (VPS) give a tax credit under section 63, on up to 20% of your taxable income. The credit is worked out at your average tax rate. On a Rs 300,000 monthly salary, putting Rs 720,000 a year into a VPS cuts the tax from Rs 416,000 to Rs 332,800. New to VPS? Read what VPS is and how it works, or use the VPS tax saving calculator.
Donate to approved institutions. Donations to approved charities give a similar credit under section 61, on up to 30% of your taxable income. Keep the receipt, and pay by crossed cheque or bank transfer, because cash does not count.
Pay zakat through the system. Zakat paid under the Zakat and Ushr Ordinance is taken off your taxable income under section 60, before the slab is worked out.
Enter any of these in the calculator to see the new tax and how much you save.
Common questions
Is the tax worked out on my monthly or yearly salary?
Yearly. Your employer estimates the year’s tax and deducts it in equal monthly amounts. If your salary changes mid-year, the monthly deduction is adjusted for the rest of the year.
What counts as taxable salary?
Basic pay plus most allowances and benefits. Some items are exempt or taxed differently, so check your payslip or ask your employer’s payroll team if you are unsure. Enter the taxable amount, not the gross on your offer letter, if they differ.
Do these slabs apply to freelancers and business owners?
No. These are the slabs for salaried people, where salary is more than 75% of taxable income. Business and freelance income is taxed under a different table.
What was the tax for 2025-26?
Switch the tax year in the calculator to 2025-26. It uses last year’s slabs and the 9% surcharge on taxable income above Rs 10 million.
Where do these figures come from?
From the Finance Act 2026 published in the Gazette of Pakistan on 26 June 2026, and FBR Circular 2 of 2026-27, which explains the changes. The 2025-26 figures are from FBR’s copy of the Income Tax Ordinance 2001.
Related
See what a monthly investment could grow to with the SIP calculator, and how inflation affects your salary’s buying power with the inflation calculator.