MundoKit

Nigeria PAYE Calculator 2026: Rent Relief

Enter annual cash pay, eligible deductions and your share of rent. See annual PAYE, average monthly cash remaining and a comparison with an optional old estimate.

Inputs
Full-year salary, allowances and bonuses. Resident employee, cash-only estimate.
Annual NGN amount.
Annual NGN amount.
Annual NGN amount.
Annual NGN amount.
Qualifying self/spouse premiums paid in the preceding assessment year.
Whole tenancy rent for this year only; apportion multi-year payments first.
Percent actually incurred by you; use 50 for half of a shared tenancy.
Cash deductions which do not qualify for tax relief.
Enter a prior CRA-based estimate to compare; this tool does not recompute the repealed regime.

Results

Average monthly PAYE
NGN 28,580.00
Annual PAYE
NGN 342,960.00
Annual taxable income
NGN 3,072,000.00
Annual rent relief
NGN 240,000.00
Average monthly cash after PAYE and payroll deductions
NGN 247,420.00
Annual calculation — no consolidated relief allowance (CRA)
StepNGN
Gross cash payNGN 3,600,000.00
Eligible deductionsNGN 288,000.00
Your rent shareNGN 1,200,000.00
Rent reliefNGN 240,000.00
Taxable incomeNGN 3,072,000.00
0% on NGN 800,000.00NGN 0.00
15% on NGN 2,200,000.00NGN 330,000.00
18% on NGN 72,000.00NGN 12,960.00
21% on NGN 0.00NGN 0.00
23% on NGN 0.00NGN 0.00
25% on NGN 0.00NGN 0.00
  • The first NGN800,000 of taxable income is zero-rated; this is not a universal gross-pay threshold.
  • Annual PAYE ÷ 12 is an average, not a cumulative payroll reconciliation. Cash balance excludes rent, mortgage interest and insurance paid outside payroll. Benefits-in-kind, other income and special exemptions are outside scope.

Results update as you type. The share link stores your inputs after the # in the address, which is not sent to our server, but anyone you send it to can read them.

Last checked 2026-11-14. Rules change, sometimes at short notice. We list the date we last checked each official source; confirm with the official government source before you travel, buy or file. This is general information, not legal or immigration advice.

This is a general estimate for information only, not tax, legal or financial advice. Real rules have more conditions than a calculator can show, so check the official source below or a qualified professional for your situation.

How it works

The Nigeria Tax Act regime applies from January 2026. Under the Fourth Schedule, annual taxable slices are: first NGN800,000 at 0%; next 2,200,000 at 15%; next 9,000,000 at 18%; next 13,000,000 at 21%; next 25,000,000 at 23%; excess at 25%.

Rent relief = min(your 2026 rent × 20%, NGN500,000) Taxable income = max(0, gross − eligible deductions − rent relief)

JRB sections 8–9 require actual qualifying contributions and rent evidence. Loan principal is excluded. Enter only your rent share attributable to this year. Monthly results divide annual amounts by 12. No intermediate rounding; displayed NGN amounts use two decimals.

Worked examples

Shared tenancy

Gross NGN3,600,000, pension NGN288,000, and half of NGN1,200,000 rent give NGN120,000 relief and NGN3,192,000 taxable income. PAYE is 330,000 + 192,000 × 18% = NGN364,560 annually, or NGN30,380 monthly. Other deductions are zero.

Rent cap

NGN3,000,000 gross and NGN3,000,000 personal rent, with no deductions, give capped relief of NGN500,000. Tax is (2,500,000 − 800,000) × 15% = NGN255,000.

Frequently asked questions

Is NGN800,000 a gross salary exemption?
It is the zero-rate taxable slice after deductions. Separately, employment income at or below the national minimum wage is exempt. This full-year cash-pay estimate applies that exemption up to NGN840,000 annually (NGN70,000 × 12).
Does this use the old CRA?
No. Enter an old annual estimate to see the difference; a negative change means lower estimated tax. The comparison is supplied by you, not a recalculation of old law.
Which payments reduce taxable income?
Qualifying pension, NHF, NHIS, owner-occupied loan interest and eligible life insurance or annuity premiums. JRB specifies preceding-year insurance payments. Keep supporting records.
Is the cash result my payslip?
It is an annual average for a resident cash-paid employee. It subtracts entered pension, NHF, NHIS, other payroll deductions and PAYE. It excludes benefits-in-kind valuation, other income and month-by-month payroll adjustments.

Sources

Last reviewed 2026-11-14; next review due by 2027-01-15. The method is written out above so you can check our math.