Simplify Your Payroll Management With Odoo Payroll

Simplify your payroll management with Odoo Payroll. From automated PAYE calculations to seamless statutory compliance, Odoo has everything you need to streamline your payroll process effortlessly.

2025 PAYE Calculator

Try our free PAYE calculator to see how our payroll software can help you manage your calculations.

Exchange rates as of
K
K
Calculation Results
Gross/Taxable Pay: K 0.00
NAPSA (5%): K 0.00
National Health Insurance: K 0.00
Total Tax Deductions: K 0.00
Total Deductions: K 0.00
Net Salary: K 0.00

PAYE Tax Computation Bands 2025

Tax Bands Chargeable Income Tax Rate Tax Due
First K5,100 K 0.00 0% K 0.00
K5,100.01 to K7,100 K 0.00 20% K 0.00
K7,100.01 to K9,200 K 0.00 30% K 0.00
K9,200.01 and Above K 0.00 37% K 0.00
Note: Gross pay shows the tax band category used to calculate your tax

Frequently Asked Questions About Payroll in Zambia

PAYE (Pay-As-You-Earn) is a system used to collect income tax from employees' salaries. Employers are required to deduct the tax at the source and remit it to the Zambia Revenue Authority (ZRA) on a monthly basis. The rates for 2025 are:
  • First K5,100.00 @ 0%
  • Next K5,100.01 but not exceeding K7,100.00 @ 20%
  • Next K7,100.01 but not exceeding K9,200.00 @ 30%
  • K9,200.01 and Above @ 37%

NAPSA (National Pension Scheme Authority) is a mandatory pension scheme for all employees in Zambia. Both the employer and employee contribute 5% each of the employee's gross earnings, up to a maximum of K1,149.60 per month (as of 2025). NAPSA offers retirement benefits, invalidity benefits, and survivor's benefits to members or their dependents.

NHIMA (National Health Insurance Management Authority) administers Zambia's National Health Insurance Scheme. Both the employer and employee contribute 1% each of the employee's gross salary, making a total of 2%. NHIMA covers services such as outpatient consultations, inpatient care, surgeries, maternity care, and medications at accredited healthcare facilities.

Payroll in Zambia typically includes:
  • Gross Salary: The total amount an employee earns before any deductions
  • Statutory Deductions: PAYE, NAPSA, NHIMA, and other applicable taxes
  • Voluntary Deductions: Pension schemes, savings plans, or union fees
  • Net Salary: The amount the employee takes home after all deductions
  • Employer Contributions: Payments made by the employer for NAPSA, NHIMA, or other schemes

Additional requirements include:
  • Workers' Compensation Fund: Varies by industry
  • Annual Tax Returns: Must file annual PAYE returns with ZRA
  • Gratuity Payments: 25% of gross salary for fixed-term contracts

Need Help With Payroll?

Through Odoo Payroll, you can handle all calculations and compliance requirements automatically. Let us help you streamline your payroll process.

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Ready to Streamline Your Payroll?

Get in touch with us to learn how Odoo Payroll can help your business.

Email: info@mjconsultants.co.zm

Phone: +260 950 054 386 || +260 777 369 840

Address: 1504 Mungulube Road, Northmead, Lusaka, ZM

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