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ETI claims from 1 March – REMINDER

Please remember to adjust your calculations from 1 March to the new ETI amounts or ensure you are on the latest version of Payslip:

The monthly calculated ETI amount per qualifying employee is determined as follows:

    • For the first twelve months of employment –
Monthly Remuneration  Determination Monthly Calculated ETI Amount
R0 – R2000 50% x monthly remuneration R0 – R1000
R2001 – R4500 Fixed at R1000 R1000
R4501 – R6500 Formula: X = A – (B x (C – D))
X = monthly calculated amount
A = R1000
B = 0,5
C = Monthly Remuneration
D = R4500
R 999 – R0

 

    •  For the second twelve months of employment – 

 

Monthly Remuneration  Determination Monthly Calculated ETI Amount 
R0 – R2000 25% x monthly remuneration R 0 – R499
R2001 – R4500 Fixed at R 500 R500
R4501 – R6500 Formula: X = A – (B x (C – D))
X = monthly calculated amount
A = R500
B = 0,25
C = Monthly Remuneration
D = R4500
R499 – R0

 

http://www.sars.gov.za/TaxTypes/PAYE/ETI/Pages/How-does-the-Employment-Tax-Incentive-(ETI)-work.aspx

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