Bonus ¥60,000, salary ¥20,000/month
Input Monthly deductions ¥3,000, annual special deductions ¥12,000.
Result Separate tax ¥5,790 vs ¥10,800 if combined — separate saves ¥5,010, net bonus ¥54,210.
China Annual Bonus Tax Calculator (2026)
Money & BusinessCompare separate bonus taxation with folding the bonus into annual income, and keep more of your year-end payout.
Your inputs
Result
Tax with separate method
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- Extra tax if combined —
- Recommended method —
- Tax saved by the better option —
- Bonus after tax (separate method) —
- Effective tax rate on bonus — %
Change any input and the result updates instantly.
Formula and rules
- Separate method: bonus ÷ 12 selects a monthly bracket; tax = bonus × bracket rate − quick deduction
- Combined method: annual taxable income = salary × 12 + bonus − ¥60,000 − social insurance − special deductions
- Combined tax on the bonus = total annual tax − tax on salary alone
- Pick whichever method produces the lower tax on the bonus
Worked examples
High bonus, modest salary
Input Bonus ¥100,000, salary ¥6,000/month, deductions ¥1,000/month, no special deductions.
Result Separate tax ¥9,790 vs ¥7,480 combined — combining saves ¥2,310.
FAQ
Is the separate bonus tax policy still available in 2026?
Yes. The preferential treatment that lets you tax a one-off annual bonus separately from comprehensive income has been extended through 31 December 2027. You choose the method when filing.
Which method is cheaper?
Usually the separate method wins when your salary is already in a mid or high bracket. If your annual income after deductions is low, folding the bonus into comprehensive income can use up unused low-rate brackets and cost less.
Does the calculator include employer social insurance contributions?
No. Only the employee’s own social insurance and housing fund contributions reduce taxable income. Employer contributions are not part of your taxable wages.
Disclaimer: This tool is an estimate based on published rates and common rules. Fees, tax rates and platform policies change often, and the result is not tax, financial or legal advice. Always confirm with official sources or a qualified professional.