₦airaland Forum

A lot of salary earners and job seekers in Nigeria have been asking how monthly take-home is calculated following the new Nigeria Tax Act (NTA 2026) and the transition to the Nigeria Revenue Service (NRS).

Here is the straightforward breakdown of how your taxable income and net pay are determined:

1. Statutory Deductions (Deducted Pre-Tax):
- Consolidated Relief Allowance (CRA): ₦200,000 (or 1% of gross) + 20% of gross emoluments.
- Pension Contribution: 8% employee contribution under the Pension Reform Act.
- National Housing Fund (NHF): 2.5% of basic salary.

2. NTA 2026 Progressive PAYE Bands:
The remaining chargeable income is taxed in slices:
- First ₦800,000: 0% (tax-free threshold)
- Next ₦2,200,000: 15%
- Next ₦9,000,000: 18%
- Next ₦13,000,000: 21%
- Next ₦25,000,000: 23%
- Above ₦50,000,000: 25%

If you want to verify your exact take-home pay and see line-by-line where each Naira goes without doing manual math on spreadsheets, use https://www.taxee.online/calculate — it gives you the exact calculation and net salary instantly with zero signup required.

How is your HR or company handling the 2026 deductions on your payslips?