Nigeria Tax Calculator (2026)
Income tax rates and take-home pay for Nigeria
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Nigeria Income Tax Brackets (2025)
| Bracket | Income Range | Rate |
|---|---|---|
| First 300,000 | NGN 0 - NGN 300,000 | 7.0% |
| Next 300,000 | NGN 300,000 - NGN 600,000 | 11.0% |
| Next 500,000 | NGN 600,000 - NGN 1,100,000 | 15.0% |
| Next 500,000 | NGN 1,100,000 - NGN 1,600,000 | 19.0% |
| Next 1,600,000 | NGN 1,600,000 - NGN 3,200,000 | 21.0% |
| Above 3,200,000 | NGN 3,200,000+ | 24.0% |
Personal allowance: NGN 0
Pension Contribution (Employee)
| Bracket | Income Range | Rate |
|---|---|---|
| Mandatory employee pension contribution | NGN 0+ | 8.0% |
National Housing Fund Contribution
| Bracket | Income Range | Rate |
|---|---|---|
| NHF contribution (private sector voluntary) | NGN 0+ | 2.5% |
Key Facts
Tax Year
2025
Currency
NGN
Top Rate
24.0%
Brackets
6 brackets
Allowance
NGN 0
Social Contributions
2 items
Assumptions
- · Consolidated Relief Allowance (CRA) modeled as 21% of gross income (higher of NGN 200,000 or 1% of gross plus 20% of gross).
- · Minimum tax of 1% applies when income tax before CRA is below 1% of total income; not modeled as separate surcharge due to complexity of interaction with CRA.
- · Pension contributions (employee 8%) are deductible from taxable income.
- · NHF contribution (2.5%) is treated as voluntary for private sector employees; included as employee social contribution but marked as non-deductible per source ambiguity.
- · Minimum wage earners (NGN 70,000 effective 1 May 2024) are exempt from PIT and PAYE; model assumes income above minimum wage for comparative purposes.
- · Capital gains tax and other non-employment taxes excluded.
- · Employer pension contributions (10% minimum) and life insurance are employer-only; excluded.
- · Model represents a typical private-sector employee earning above minimum wage.
Frequently asked questions
What is the top income tax rate in Nigeria?
The highest marginal income tax rate in Nigeria is 0.2%. Your effective tax rate will be lower depending on your income level.
How many tax brackets does Nigeria have?
Nigeria has 6 income tax brackets. Income is taxed in brackets - you only pay the higher rate on income above each threshold, not on your entire income.
How is take-home pay calculated in Nigeria?
Take-home pay in Nigeria is your gross salary minus income tax, social contributions, and any applicable surcharges. Use the calculator above to see an exact breakdown for your salary.
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