What is the Payroll Tax Calculator?

The Payroll Tax Calculator is a practical tool for employees and employers to calculate monthly and annual tax deductions based on gross income and tax rate. By entering your gross monthly income and the applicable tax rate, the calculator computes the monthly tax, net monthly income, annual gross income, total annual tax, and net annual income. This helps users understand their take-home pay and plan finances more effectively.

How to Use:

1. Enter Gross Monthly Income (PKR): Input your total income before tax in Pakistani Rupees.
2. Enter Tax Rate (%): Input the percentage of tax applicable on your income.
3. Click “Calculate”: The calculator computes monthly tax, net income, and annual totals.
4. Review Result: The output shows gross and net monthly income, monthly tax deduction, annual gross income, annual tax, net annual income, and a tip for increasing net income through tax planning.