Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
165,360 元
Income Tax
- 50,517 元
Housing Fund
- 3,826 元
Pension
- 2,258 元
Medical Insurance
- 564 元
Unemployment
- 141 元
Total tax
- 57,306 元
Net pay
* 108,054 元
Marginal tax rate
45.0%
Average tax rate
34.7%
65.3%
Net pay
34.7%
Total tax
Total tax
Net pay
The Taxberg
108,054 元
Net pay
11,545 元
Tax the employer pays
57,306 元
Tax you pay
Total tax paid
68,851 元
Did you know your employer also pays tax on your salary? It costs the employer 11,545 元 to pay you 165,360 元. In other words, every time you spend 10 元 of your hard-earned money, 4.16 元 goes to the government.
Real tax rate
38.9%
So, with you and the employer both paying tax, what used to be a 34.7% tax rate now rises to 38.9%, meaning your real tax rate is actually 4.2% higher than what it seemed at first.
Summary
If you make 1,984,320 元 a year living in the region of Beijing, China, you will be taxed 687,673 元. That means that your net pay will be 1,296,647 元 per year, or 108,054 元 per month. Your average tax rate is 34.7% 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 1304151
34.3%
1
Beijing
CNY 1296647
34.7%
2
Guangzhou
CNY 1295868
34.7%
3
North America
Country 
Net pay
Average tax
Rank
USA
CNY 1271337
35.9%
1
Canada
CNY 1091082
45.0%
2
Latin America
Country 
Net pay
Average tax
Rank
Guatemala
CNY 1761892
11.2%
1
Brazil
CNY 1442687
27.3%
2
Costa Rica
CNY 1413832
28.8%
3
Uruguay
CNY 1402358
29.3%
4
Colombia
CNY 1379000
30.5%
5
Panama
CNY 1372580
30.8%
6
Chile
CNY 1366818
31.1%
7
Mexico
CNY 1324648
33.2%
8
Puerto Rico
CNY 1323951
33.3%
9
Argentina
CNY 1289758
35.0%
10
Peru
CNY 1272328
35.9%
11
Ecuador
CNY 1230533
38.0%
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.