Estimate monthly employment income tax, pension, and take-home pay in Ethiopian birr.
Income tax this month
ETB 3,200.00
Estimated take-home
ETB 10,750.00
Employee pension (7%)
ETB 1,050.00
Employer pension (11%)
ETB 1,650.00
Annual income tax × 12
ETB 38,400.00
Employer monthly cost
ETB 16,650.00
Applied band
35% marginal rate
Formula: monthly income × 35% − ETB 2,050.00 deduction.
Employment income tax is calculated monthly using the applicable progressive band. The 2025 amendment raised the tax-free monthly threshold to ETB 2,000 and applies 15%, 20%, 25%, 30%, and 35% marginal bands above it.
When enabled, the calculator shows a 7% employee pension deduction and an 11% employer contribution on the pensionable basic salary. Your payslip or payroll office remains the source of truth for special schemes.
Based on Ethiopia Income Tax Amendment Proclamation No. 1395/2017 · official law reference