Salary Calculator — Take-Home Pay

See your real monthly and annual net pay after income tax, EOBI, and provident fund deductions

Provisional rates: Finance Act 2026 has not yet been notified by FBR. Rates shown for 2026-27 are carried forward from Finance Act 2025 as a provisional estimate and will be updated the moment the new Finance Act is published.
  • Income tax under salaried slabs — see the Income Tax calculator
  • EOBI employee contribution — 1% of the lower of your basic salary or the federal minimum wage (Rs 40,000)
  • Provident fund — your contribution % of basic salary, if applicable
  • Any other recurring deduction you enter

This treats provident fund contributions as a payroll deduction only. An approved provident/pension fund may also reduce your taxable income up to Ordinance limits — confirm the exact treatment with your payroll or HR team, since that credit isn't modeled here.

Frequently Asked Questions

Why is my bonus month's take-home so different from a normal month?
Because a bonus adds to your annual income and gets taxed at your marginal rate, but that extra tax isn't spread across the year — it lands entirely in the month the bonus is paid. This tool shows a normal month (annual tax spread evenly across 11 months) and the bonus month (which absorbs the remaining true-up) separately so the difference isn't a surprise.
Is the EOBI contribution calculated on my full salary?
No — EOBI contributions are calculated on the lower of your basic salary or the federal minimum wage, not your full gross salary. Most salaried employees above the minimum wage pay a fixed EOBI contribution regardless of how much more they earn.
Does my provident fund contribution reduce my tax?
This calculator treats it as a straightforward payroll deduction — it reduces your take-home pay but not the salary this tool taxes. Contributions to an approved provident or pension fund may also reduce your taxable income up to Ordinance limits, but that credit depends on your specific fund's approval status and isn't modeled here — check with your employer's payroll or HR team for the exact treatment.

Pakistani employees — whether based in Karachi, Lahore, Islamabad, or any other city — often find their actual take-home pay differs meaningfully from their offered salary once income tax, EOBI contribution, and provident fund deductions are applied. This calculator models all three together the way a typical Pakistani payroll department would.

What actually comes out of your gross salary

Three separate deductions apply to most formal-sector salaries: income tax, withheld monthly by your employer under the salaried slab of the Income Tax Ordinance, 2001; EOBI, a mandatory 1% employee contribution (matched by a 5% employer contribution) toward your future old-age pension, calculated on a fixed minimum-wage base rather than your actual salary; and provident fund, a retirement savings deduction that varies by employer policy (commonly 8–10% of basic salary, matched by the employer) rather than a government-mandated rate. Only the first two are universal and government-set; provident fund terms depend on your specific employment contract.

A worked example

Someone offered Rs 150,000/month gross should not assume Rs 150,000 lands in their account. Income tax withholding alone, spread across twelve months from the annual slab liability, typically removes a meaningful slice — and that's before EOBI's flat contribution and any provident fund the employer runs. The gap between "offered salary" and "take-home pay" is exactly why this calculator exists: to give you the real number before you accept an offer, not after your first payslip surprises you.

How this connects to your other numbers

Your monthly withholding here should roughly reconcile with your annual liability from the Income Tax Calculator — if it doesn't, your employer may be over- or under-withholding, which gets settled (refund or additional payment) when you file your annual return. If your employment ends and you receive a lump-sum payout, check the Gratuity Calculator for how much of that is tax-exempt. And if you're weighing a full-time offer against freelance/contract income, compare this against the Freelancer Tax Calculator — the effective tax rates are structured very differently between the two.

Common mistakes

Job seekers frequently compare a "package" figure quoted by one employer (which may already be net, or may include EOBI/PF employer contributions that never touch your pocket) against a "gross salary" figure from another employer — these are not the same number, and comparing them directly produces a wrong conclusion about which offer actually pays more. Always normalize to net take-home pay before comparing two offers.

Related Calculators

Agricultural Income TaxCapital Gains TaxProperty TaxSalary Slip GeneratorRental Income TaxProfessional Tax