Salary explained

Gross pay vs take-home pay

Calculate take-home pay
Gross pay

Before deductions

Gross salary is total employment pay before employee deductions. It can include basic salary and taxable allowances.

Take-home pay

After deductions

Net salary is the amount remaining after PAYE and every other applicable payroll deduction has been removed.

How gross pay becomes take-home pay

  1. 1

    Start with gross salary

  2. 2

    Calculate PAYE

  3. 3

    Subtract pension, NHF and health insurance

  4. 4

    Subtract loans or other payroll deductions

Common deductions

PAYEPensionNHFHealth insuranceLoans and other deductions

Not every payslip deduction reduces PAYE. Use only eligible amounts in a PAYE calculation.

See which deductions count
Official sources