How to use the calculator
- Gross monthly salary — the amount on your work card (carteira de trabalho) plus anything else taxable that month: overtime, night-shift premium, hazard pay, commissions.
- Dependents — the number of dependents you declared to your employer for income tax (children, spouse). Each one lowers the tax base by R$ 189.59.
- Other deductions — items that come off your pay but do not change the taxes: transport voucher (vale-transporte, up to 6% of the base salary), health or dental plan co-payments, union dues, payroll-deductible loans (consignado).
The headline is the net salary that reaches your bank account. The rows show every step, including which income-tax deduction was applied and how much of the tax the 2026 reduction removed.
Step 1: INSS (social security)
Employees, domestic workers and casual workers pay INSS on a progressive table set each January by an interministerial ordinance (for 2026, Portaria Interministerial MPS/MF nº 13 of 9 January 2026). Each rate applies only to the slice of the salary that falls inside its band:
| Salary slice (R$ per month) | Rate |
|---|---|
| up to 1,621.00 | 7.5% |
| 1,621.01 to 2,902.84 | 9% |
| 2,902.85 to 4,354.27 | 12% |
| 4,354.28 to 8,475.55 | 14% |
Above the R$ 8,475.55 ceiling nothing more is charged, so the employee contribution peaks at R$ 988.09 a month. The first band ends at the 2026 minimum wage, R$ 1,621.00.
Step 2: income tax withheld at source (IRRF)
The tax base is the gross salary minus either the legal deductions (the INSS just calculated plus R$ 189.59 per dependent) or the simplified monthly discount of R$ 607.20 — whichever produces less tax. The base then goes through the monthly table published by the Receita Federal:
| Monthly tax base (R$) | Rate | Subtract (R$) |
|---|---|---|
| up to 2,428.80 | 0 | 0 |
| 2,428.81 to 2,826.65 | 7.5% | 182.16 |
| 2,826.66 to 3,751.05 | 15% | 394.16 |
| 3,751.06 to 4,664.68 | 22.5% | 675.49 |
| above 4,664.68 | 27.5% | 908.73 |
Step 3: the 2026 reduction (zero tax up to R$ 5,000)
Law 15,270 of 2025 added a monthly reduction on top of the table, measured on the gross taxable income, not on the tax base:
- up to R$ 5,000.00 a month: a reduction of up to R$ 312.89, enough to bring the tax to zero;
- from R$ 5,000.01 to R$ 7,350.00: reduction = R$ 978.62 − 0.133145 × gross taxable income, shrinking in a straight line;
- above R$ 7,350.00: no reduction.
The reduction can never exceed the tax itself. The same law applies it to the 13th salary, which is taxed separately.
Worked example: R$ 6,000 a month, no dependents
- INSS: 1,621.00 × 7.5% + 1,281.84 × 9% + 1,451.43 × 12% + 1,645.73 × 14% = R$ 641.51.
- Tax base with legal deductions: 6,000 − 641.51 = R$ 5,358.49 (better than 6,000 − 607.20 = R$ 5,392.80).
- Tax by the table: 5,358.49 × 27.5% − 908.73 = R$ 564.85.
- Reduction: 978.62 − 0.133145 × 6,000 = R$ 179.75, so IRRF = R$ 385.10.
- Net salary: 6,000 − 641.51 − 385.10 = R$ 4,973.39.
At R$ 5,000 the same steps give INSS of R$ 501.51 and no income tax at all, a net of R$ 4,498.49. In 2025 that salary still paid about R$ 312 of IRRF a month.
What is not deducted
FGTS — the employer deposits 8% of your gross pay into your FGTS account every month. It is not taken from your salary; it is extra money you can withdraw on dismissal without cause, to buy a home or in the other cases the law allows. The 13th salary and vacation pay with their one-third bonus have their own calculations and are not included here.
Frequently asked questions
Is the INSS rate 14% of my whole salary?
No. The rates are progressive: 7.5% on the first R$ 1,621.00, 9% on the next slice and so on. Someone earning R$ 6,000 pays R$ 641.51, about 10.7% of gross, not 14%.
Who pays no income tax in 2026?
Employees whose taxable income is up to R$ 5,000 a month. Law 15,270/2025 gives them a reduction of up to R$ 312.89 that cancels the tax. Between R$ 5,000.01 and R$ 7,350 the tax is reduced partially.
Should I use the simplified discount or the legal deductions?
You do not choose: the employer applies whichever gives less tax. The R$ 607.20 simplified discount wins when your INSS plus dependent deductions add up to less than that, which is common at lower salaries without dependents.
Is FGTS deducted from my salary?
No. FGTS is an 8% deposit paid by the employer on top of your salary. It appears on the payslip for information only.
Does this work for PJ contractors or civil servants?
No. It follows the CLT employee rules. Contractors (PJ, MEI) pay taxes through their company, and civil servants usually contribute to their own pension regime with different rates.
Last updated: October 14, 2026