PAYE Tax Calculator

What is the Free PAYE Tax Calculator?

The free PAYE Tax Calculator computes Nigerian income tax using the Nigeria Tax Act 2025 bands — the most current rates as of 2025. Enter your Gross Income and select Monthly or Annual as your income period, and the tool calculates your Consolidated Relief Allowance (CRA), taxable income, total PAYE tax, and monthly net take-home pay. A full band-by-band breakdown shows exactly how much falls into each tax rate.

• → Calculate your expected monthly take-home pay after PAYE deduction
• → Check how a salary increase or new job offer affects your tax liability
• → Verify that your employer's PAYE deduction matches the correct rate
• → Plan salary structure to optimise the CRA and minimise tax exposure
• → Understand the progressive tax bands and how each portion of income is taxed

How to Use the Free PAYE Tax Calculator

1. 1 Enter your gross income in the Gross Income field.
2. 2 Choose your income period using the Income Period selector: Monthly (your monthly salary) or Annual (your total yearly earnings).
3. 3 Read the results: Annual Gross, CRA (Consolidated Relief Allowance), Taxable Income, and Total PAYE Tax.
4. 4 Scroll down to the tax breakdown table to see how much of your income falls into each tax band (0%, 15%, 18%, 21%, 23%, 25%) and the exact tax for each band.
5. 5 Your Net Monthly Take-Home is shown at the bottom of the results.

Key Features

• 🇳🇬
  Nigeria Tax Act 2025

  Uses the updated 2025 tax bands including the new 0% exempt band on the first ₦800,000.
• 📊
  Full band breakdown

  Shows exactly how much income falls into each progressive tax band and the tax for each.
• 🧮
  CRA calculation

  Automatically computes the Consolidated Relief Allowance (20% of gross + ₦400,000 minimum).
• 📅
  Monthly or annual

  Enter a monthly salary or annual income — the tool converts automatically.
• 🆓
  Free, no signup

  No account needed.

Example Usage

Gross Income: ₦300,000/month (₦3,600,000/year)

Annual Gross: ₦3,600,000
CRA: ₦1,120,000
Taxable Income: ₦2,480,000
Total PAYE: ₦252,000
Net Monthly: ₦278,000

Frequently Asked Questions about the Free PAYE Tax Calculator

What is the free PAYE Tax Calculator?

Calculate Pay As You Earn income tax based on Nigerian tax brackets.

Is the PAYE Tax Calculator free to use?

Yes, the PAYE Tax Calculator is completely free. No account, subscription, or signup is required — ever.

Does my data get uploaded anywhere?

No. The PAYE Tax Calculator runs entirely in your browser. Your data is never sent to any server.

Does it work offline?

Yes. Once the page has loaded, the tool works without an internet connection.

Which browsers are supported?

All modern browsers — Chrome, Firefox, Safari, and Edge. No plugins or extensions required.

What are the 2025 Nigerian PAYE tax bands?

Under the Nigeria Tax Act 2025: 0% on the first ₦800,000, 15% on the next ₦2,200,000 (up to ₦3M), 18% on the next ₦9,000,000 (up to ₦12M), 21% on the next ₦13,000,000 (up to ₦25M), 23% on the next ₦25,000,000 (up to ₦50M), and 25% on all income above ₦50M.

What is the Consolidated Relief Allowance (CRA)?

The CRA is a tax-free allowance deducted from gross income before tax is calculated. It is the higher of: (a) ₦400,000 + 20% of gross income, or (b) 1% of gross income + 20% of gross income. In practice, the ₦400,000 floor means the CRA minimum is ₦400,000 plus 20% of your salary.

Does this calculator include pension (PFA) deductions?

This calculator computes PAYE tax only. Mandatory pension contributions (typically 8% employee contribution under the Contributory Pension Scheme) are deducted separately by your employer before PAYE is applied in some salary structures. For a full net pay calculation, subtract your pension contribution from gross income before using this tool.

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