Malawi Salary (PAYE) & Pension Net Pay Calculator
Calculate your exact net monthly take-home salary, Malawi Revenue Authority (MRA) PAYE progressive income tax, 5% employee pension deduction, and 10% employer pension in Malawian Kwacha (MWK).
⚡ Representative Salary Presets
Gross Salary & Deductions
Payroll Assessment Matrix
| Payroll Item | Statutory Rule | Amount (MWK) |
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Engr. Muhammad Shahzad
Verified Systems Specialist & EngineerPrincipal systems architect and statutory compliance engineer. Specialist in Malawi Revenue Authority (MRA) tax schedules, Employment Act labor regulations, and commodity statutory levies.
Frequently Asked Questions (Statutory FAQs)
What are the official monthly MRA PAYE tax brackets for 2025/2026 in Malawi?
Under the Taxation Act: First MK 150,000 is taxed at 0% (Tax-Free Threshold); Next MK 350,000 (150,001 to 500,000) is taxed at 25%; Next MK 2,050,000 (500,001 to 2,550,000) is taxed at 30%; Excess above MK 2,550,000 is taxed at the top marginal rate of 35%.
Is employee pension contribution deducted before calculating PAYE in Malawi?
Yes. Under the Pension Act 2011, the mandatory 5% employee pension contribution is fully tax-deductible from gross income to establish the taxable income base.
What is the employer pension contribution in Malawi?
Employers must contribute at least 10% of the employee basic salary into a registered pension scheme, over and above the employee 5% deduction.
Are allowances like housing and transport subject to PAYE in Malawi?
Cash allowances such as housing, transport, and utilities are added to basic pay and taxed under the regular progressive PAYE rate schedule.
When must employers remit PAYE deductions to the MRA?
Employers must deduct PAYE from payroll and remit it to the Malawi Revenue Authority on or before the 14th day of the month following the payroll period.