Does Payroll Africa handle this automatically?

Yes. Every calculation covered here runs automatically inside Payroll Africa — from the monthly payslip through EMP201, EMP501 and IRP5 exports for SARS e@syFile.

Is this SARS 2026/27 compliant?

Yes. Payroll Africa uses the current SARS tax tables, UIF ceilings and BCEA thresholds. Rates update automatically each tax year without changing historical payslips.

How much does Payroll Africa cost?

From R90 per month for 2 employees, R401 for 10, R1,712 for 50 and R4,182 for 200. No setup fees, cancel anytime, free migration from Sage, SimplePay or PaySpace.

ETI

Employment Tax Incentive (ETI) — 2026/27 guide

The Employment Tax Incentive (ETI) is a SARS incentive that reduces an employer's PAYE liability when qualifying young employees are hired. Employers can claim up to R2,000 per qualifying employee per month for the first 12 months and R1,000 per month for a further 12 months.

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SARS-aligned 2026/27 No credit card Free migration

Payroll Africa Editorial · SARS Payroll Compliance Team

The Payroll Africa editorial team is composed of registered tax practitioners, payroll administrators and BCEA specialists who maintain the SARS PAYE, UIF, SDL and ETI engines that power the platform. Every article is reviewed against the current SARS BRS and Basic Conditions of Employment Act before publication.

SARS registered tax practitioners
SAPA-affiliated payroll administrators
BCEA and LRA compliance reviewers

Last updated 30 Sept 2026

Who qualifies for ETI?

Employers who are tax-compliant, registered for PAYE and not in the national/provincial government or public entities. The employee must:

Be aged 18 – 29 (or any age in Special Economic Zones)
Have a valid South African ID, asylum seeker or refugee permit
Have been employed on or after 1 October 2013
Earn less than R7,500 per month (2025)
Not be a domestic or connected person

ETI monthly value (2025)

The ETI amount per qualifying employee, per month:

Earning R0 – R2,499.99: 60% of monthly remuneration (max R1,500) in first year, 30% in second year
Earning R2,500 – R5,499.99: R1,500 in first year, R750 in second year
Earning R5,500 – R7,499.99: sliding formula tapering to R0 at R7,500

Claiming ETI on EMP201

The ETI amount is deducted from the employer's monthly PAYE liability on the EMP201. Payroll Africa calculates ETI per employee automatically each month and pre-populates the EMP201 claim.

Frequently asked questions

Stop looking this up. Let payroll do it.

Payroll Africa applies ETI rules automatically every month — SARS PAYE, UIF and SDL, payslips, EMP201 and IRP5. From R90/month.

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