Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
78,646 SAR
Social Security
- 7,078 SAR
Unemployment
- 786 SAR
Total tax
- 7,865 SAR
Net pay
* 70,781 SAR
Marginal tax rate
10.0%
Average tax rate
10.0%
90.0%
Net pay
10.0%
Total tax
Total tax
Net pay
The Taxberg
70,781 SAR
Net pay
9,438 SAR
Tax the employer pays
7,865 SAR
Tax you pay
Total tax paid
17,302 SAR
Did you know your employer also pays tax on your salary? It costs the employer 9,438 SAR to pay you 78,646 SAR. In other words, every time you spend 10 SAR of your hard-earned money, 2.20 SAR goes to the government.
Real tax rate
19.6%
So, with you and the employer both paying tax, what used to be a 10% tax rate now rises to 19.6%, meaning your real tax rate is actually 9.6% higher than what it seemed at first.
Summary
If you make 78,646 SAR a year living in Saudi Arabia, you will be taxed 7,865 SAR. That means that your net pay will be 70,781 SAR per year, or 5,898 SAR per month. Your average tax rate is 10.0% and your marginal tax rate is 10.0%. This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of 100 SAR in your salary will be taxed 10 SAR, hence, your net pay will only increase by 90 SAR.
Bonus Example
A 1,000 SAR bonus will generate an extra 900 SAR of net incomes. A 5,000 SAR bonus will generate an extra 4,500 SAR of net incomes.
NOTE* Withholding is calculated based on the tables of Saudi Arabia, 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.