How the raise is worked out
The calculator works out the yearly tax on your current salary and on your new salary under the salaried table for the tax year you pick, including the section 4AB surcharge where it applies. The extra tax is the difference between the two. The extra take-home is the raise minus the extra tax, and the share you keep is the extra take-home divided by the raise. Monthly figures are the yearly figures divided by 12.
The slab rate shown is the percentage that applies to the top rupee of each salary. If the new salary reaches a slab with a higher rate, the calculator says so. That rate applies only to the salary above the slab's start.
Tax year 2027 salaried rates
| Yearly taxable salary | Tax |
|---|---|
| Rs 0 to Rs 600,000 | 0% |
| Rs 600,001 to Rs 1,200,000 | 1% of the amount above Rs 600,000 |
| Rs 1,200,001 to Rs 2,200,000 | Rs 6,000 + 11% of the amount above Rs 1,200,000 |
| Rs 2,200,001 to Rs 3,200,000 | Rs 116,000 + 20% of the amount above Rs 2,200,000 |
| Rs 3,200,001 to Rs 4,100,000 | Rs 316,000 + 25% of the amount above Rs 3,200,000 |
| Rs 4,100,001 to Rs 5,600,000 | Rs 541,000 + 29% of the amount above Rs 4,100,000 |
| Rs 5,600,001 to Rs 7,000,000 | Rs 976,000 + 32% of the amount above Rs 5,600,000 |
| Above Rs 7,000,000 | Rs 1,424,000 + 35% of the amount above Rs 7,000,000 |
Earlier tax years use the tables in the multi-year salary tax calculator. Surcharge under section 4AB on salaried people with taxable income above Rs 10,000,000: 2024: 0%, 2025: 10%, 2026: 9%, 2027: 0%.
Where the rates come from
Every rate is read from the Income Tax Ordinance, 2001 as consolidated by FBR. The rates on this page were last checked against the official text on 2026-09-26.
- Income Tax Ordinance, 2001, First Schedule, Part I, Division I, clause (2), salaried table (as amended to 2026-06-30) official file
- Income Tax Ordinance, 2001, section 4, section 4AB surcharge, which this edition prints after section 4 (as amended to 2026-06-30) official file
- Income Tax Ordinance, 2001, section 149, monthly deduction by the employer (as amended to 2026-06-30) official file
- Income Tax Ordinance, 2001, edition amended to 31.07.2025, tax year 2026 table (as amended to 2025-07-31) official file
Common questions
Can a pay rise leave me with less take-home pay?
Not through the slab table alone. Only the part of the salary above a slab's start is taxed at the higher rate, so each extra rupee still leaves you with most of it. The exception is the section 4AB surcharge in tax years 2025 and 2026: it applies to the whole tax once taxable income passes Rs 10,000,000, so a raise that just crosses that line can reduce take-home pay.
What does moving into a higher slab mean?
It means the new salary reaches a slab with a higher percentage rate. That rate applies only to the salary above the slab's start, not to your whole salary, so the rest of your salary is taxed as before.
How much of a raise from Rs 150,000 to Rs 200,000 a month do I keep in tax year 2027?
The raise is Rs 50,000 a month. Tax goes up by Rs 7,000 a month because the salary moves from the 11% slab into the 20% slab, so you keep Rs 43,000 a month, which is 86% of the raise.
Does it matter when in the year the raise starts?
Yes, for the tax actually deducted. The calculator compares two full years of salary. If the raise starts part way through the year, your yearly salary is a mix of the old and new figures, and under section 149 the employer spreads the tax over the remaining months.