Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
590,000 元
Income Tax
- 241,605 元
Housing Fund
- 3,826 元
Pension
- 2,258 元
Medical Insurance
- 564 元
Unemployment
- 141 元
Total tax
- 248,394 元
Net pay
* 341,606 元
Marginal tax rate
45.0%
Average tax rate
42.1%
57.9%
Net pay
42.1%
Total tax
Total tax
Net pay
The Taxberg
341,606 元
Net pay
11,545 元
Tax the employer pays
248,394 元
Tax you pay
Total tax paid
259,939 元
Did you know your employer also pays tax on your salary? It costs the employer 11,545 元 to pay you 590,000 元. In other words, every time you spend 10 元 of your hard-earned money, 4.41 元 goes to the government.
Real tax rate
43.2%
So, with you and the employer both paying tax, what used to be a 42.1% tax rate now rises to 43.2%, meaning your real tax rate is actually 1.1% higher than what it seemed at first.
Summary
If you make 7,080,000 元 a year living in the region of Beijing, China, you will be taxed 2,980,729 元. That means that your net pay will be 4,099,271 元 per year, or 341,606 元 per month. Your average tax rate is 42.1% 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 4106775
42.0%
1
Beijing
CNY 4099271
42.1%
2
Guangzhou
CNY 4098492
42.1%
3
North America
Country 
Net pay
Average tax
Rank
USA
CNY 4027107
43.1%
1
Canada
CNY 3459065
51.1%
2
Latin America
Country 
Net pay
Average tax
Rank
Guatemala
CNY 6271982
11.4%
1
Brazil
CNY 5137055
27.4%
2
Costa Rica
CNY 4834307
31.7%
3
Panama
CNY 4773946
32.6%
4
Mexico
CNY 4636840
34.5%
5
Puerto Rico
CNY 4618308
34.8%
6
Argentina
CNY 4601950
35.0%
7
Uruguay
CNY 4497270
36.5%
8
Colombia
CNY 4488976
36.6%
9
Chile
CNY 4424226
37.5%
10
Peru
CNY 4393432
38.0%
11
Ecuador
CNY 4137440
41.6%
12
Show more
Africa
Country 
Net pay
Average tax
Rank
Angola
CNY 5151951
27.2%
1
Kenya
CNY 4959658
30.0%
2
Ivory Coast
CNY 4822258
31.9%
3
Nigeria
CNY 4816713
32.0%
4
Ghana
CNY 4690620
33.8%
5
Mozambique
CNY 4617965
34.8%
6
Zambia
CNY 4356308
38.5%
7
Cameroon
CNY 4319555
39.0%
8
Morocco
CNY 4306707
39.2%
9
Senegal
CNY 4256257
39.9%
10
South Africa
CNY 3965824
44.0%
11
Uganda
CNY 3919791
44.6%
12
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Middle East
Country 
Net pay
Average tax
Rank
Kuwait
CNY 7003379
1.1%
1
Saudi Arabia
CNY 6976000
1.5%
2
Bahrain
CNY 6944708
1.9%
3
United Arab Emirates
CNY 6726000
5.0%
4
Qatar
CNY 6726000
5.0%
5
Oman
CNY 6513600
8.0%
6
Egypt
CNY 5311995
25.0%
7
Lebanon
CNY 5311366
25.0%
8
Turkey
CNY 4124846
41.7%
9
Israel
CNY 3716867
47.5%
10
Show more
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.