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    To help you calculate your take-home pay for the 2025-26 fiscal year, here is a clear breakdown of how the basic salary, income tax, and EOBI deductions work in Pakistan today. Pakistan Salary & Tax Structure (2025–2026) In the current fiscal year, the government has introduced significant tax relief for low and middle-income earners while increasing the burden on high-income individuals. 1. The Income Tax Slabs (Salaried Individuals) If your annual salary exceeds Rs. 600,000, you are liable for income tax. The following table shows the current FBR tax rates: Annual Taxable Income (PKR) Tax Rate / Formula Up to 600,000 0% (Tax-Free) 600,001 – 1,200,000 1% of the amount exceeding 600,000 1,200,001 – 2,200,000 Rs. 6,000 + 11% of the amount exceeding 1,200,000 2,200,001 – 3,200,000 Rs. 116,000 + 23% of the amount exceeding 2,200,000 3,200,001 – 4,100,000 Rs. 346,000 + 30% of the amount exceeding 3,200,000 Above 4,100,000 Rs. 616,000 + 35% of the amount exceeding 4,100,000 2. Mandatory EOBI Deductions EOBI (Employees’ Old-Age Benefits Institution) is a mandatory social security contribution. Employee Share: 1% of the minimum wage. Employer Share: 5% of the minimum wage. Current Rate: With the minimum wage now at Rs. 40,000 in most provinces, the fixed monthly deduction for an employee is Rs. 400. How to Calculate Your Net Salary Use the following logic to find your actual take-home pay: Example: Monthly Salary of Rs. 100,000 Annual Gross: Annual Tax: Monthly Tax: EOBI Deduction: Rs. 400 Net Take-Home: Rs. 99,100 Important Notes for 2026 Surcharge: If your annual income exceeds Rs. 10 Million, you must pay an additional surcharge of 9% on your total income tax. Allowances: Most allowances (House Rent, Utilities) are taxable, but Medical Allowance is tax-exempt up to 10% of your Basic Salary if you are not provided with a specific medical facility by your employer. Would you like me to generate a customized monthly payslip for a specific salary amount, or perhaps show you how these taxes change if you are a non-filer? How to check your EOBI status online This video is relevant as it provides a practical guide for employees to verify their EOBI registration and contributions, which is a key deduction from the basic salary in Pakistan.
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