Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
1,120,000 元
Income Tax
- 480,105 元
Housing Fund
- 3,826 元
Pension
- 2,258 元
Medical Insurance
- 564 元
Unemployment
- 141 元
Total tax
- 486,894 元
Net pay
* 633,106 元
Marginal tax rate
45.0%
Average tax rate
43.5%
56.5%
Net pay
43.5%
Total tax
Total tax
Net pay
The Taxberg
633,106 元
Net pay
11,545 元
Tax the employer pays
486,894 元
Tax you pay
Total tax paid
498,439 元
Did you know your employer also pays tax on your salary? It costs the employer 11,545 元 to pay you 1,120,000 元. In other words, every time you spend 10 元 of your hard-earned money, 4.45 元 goes to the government.
Real tax rate
44.0%
So, with you and the employer both paying tax, what used to be a 43.5% tax rate now rises to 44.0%, meaning your real tax rate is actually 0.5% higher than what it seemed at first.
Summary
If you make 13,440,000 元 a year living in the region of Beijing, China, you will be taxed 5,842,729 元. That means that your net pay will be 7,597,271 元 per year, or 633,106 元 per month. Your average tax rate is 43.5% and your marginal tax rate is 45.0%. This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of 100 元 in your salary will be taxed 45 元, hence, your net pay will only increase by 55 元.
Bonus Example
A 1,000 元 bonus will generate an extra 550 元 of net incomes. A 5,000 元 bonus will generate an extra 2,750 元 of net incomes.
Compare average tax
Tax per region
Region
Net pay
Average tax
Rank
Shanghai
CNY 7604775
43.4%
1
Beijing
CNY 7597271
43.5%
2
Guangzhou
CNY 7596492
43.5%
3
North America
Country 
Net pay
Average tax
Rank
USA
CNY 7416987
44.8%
1
Canada
CNY 6414582
52.3%
2
Asia / Pacific
Country 
Net pay
Average tax
Rank
Kazakhstan
CNY 12046861
10.4%
1
Hong Kong
CNY 11178916
16.8%
2
Singapore
CNY 10545098
21.5%
3
Indonesia
CNY 9112292
32.2%
4
Thailand
CNY 8835621
34.3%
5
Pakistan
CNY 8768297
34.8%
6
Vietnam
CNY 8747856
34.9%
7
Philippines
CNY 8394842
37.5%
8
New Zealand
CNY 8275352
38.4%
9
Taiwan
CNY 8246099
38.7%
10
Malaysia
CNY 8069930
40.0%
11
China
CNY 7597271
43.5%
12
Japan
CNY 7434151
44.7%
13
Australia
CNY 7262060
46.0%
14
South Korea
CNY 7228674
46.2%
15
India
CNY 3123184
76.8%
16
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Africa
Country 
Net pay
Average tax
Rank
Angola
CNY 9778851
27.2%
1
Kenya
CNY 9411658
30.0%
2
Ivory Coast
CNY 9161845
31.8%
3
Nigeria
CNY 9142785
32.0%
4
Ghana
CNY 8897760
33.8%
5
Mozambique
CNY 8751965
34.9%
6
Zambia
CNY 8267708
38.5%
7
Cameroon
CNY 8191841
39.1%
8
Morocco
CNY 8160791
39.3%
9
Senegal
CNY 8072257
39.9%
10
South Africa
CNY 7463824
44.5%
11
Uganda
CNY 7417791
44.8%
12
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NOTE* Withholding is calculated based on the Beijing tables of China, 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.