The PAYE figure looks wrong
Why tax jumps in bonus months and how to verify a calculation.
Year-to-date averaging
PAYE is calculated on annualised year-to-date remuneration, not the current month alone. A bonus pushes the annualised figure into a higher bracket, so that month's tax is higher and later months correct themselves.
Check the inputs
- Date of birth — rebates depend on age
- Medical aid dependants — tax credits reduce PAYE
- Retirement fund contributions — deductible up to 27.5% capped at R350,000
- Any tax directive on the employee
Verify independently
Run the same figures through the PAYE calculator or the tax calculator. If they differ, check for a mid-year salary change or an opening balance captured incorrectly.
Still unsure
Contact support with the employee number and period — we will show you the calculation line by line.