Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
655,027 دج
Income Tax
- 188,826 دج
Social Security
- 58,952 دج
Total tax
- 247,779 دج
Net pay
* 407,248 دج
Marginal tax rate
40.9%
Average tax rate
37.8%
62.2%
Net pay
37.8%
Total tax
Total tax
Net pay
The Taxberg
407,248 دج
Net pay
176,857 دج
Tax the employer pays
247,779 دج
Tax you pay
Total tax paid
424,636 دج
Did you know your employer also pays tax on your salary? It costs the employer 176,857 دج to pay you 655,027 دج. In other words, every time you spend 10 دج of your hard-earned money, 6.48 دج goes to the government.
Real tax rate
51.0%
So, with you and the employer both paying tax, what used to be a 37.8% tax rate now rises to 51.0%, meaning your real tax rate is actually 13.2% higher than what it seemed at first.
Summary
If you make 7,860,324 دج a year living in Algeria, you will be taxed 2,973,342 دج. That means that your net pay will be 4,886,982 دج per year, or 407,248 دج per month. Your average tax rate is 37.8% and your marginal tax rate is 40.9%. This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of 100 دج in your salary will be taxed 40.85 دج, hence, your net pay will only increase by 59.15 دج.
Bonus Example
A 1,000 دج bonus will generate an extra 592 دج of net incomes. A 5,000 دج bonus will generate an extra 2,958 دج of net incomes.
NOTE* Withholding is calculated based on the tables of Algeria, income tax. For simplification purposes some variables (such as marital status and others) have been assumed. This document does not represent legal authority and shall be used for approximation purposes only.