Net salary is what reaches the employee after three deductions from gross pay: their social insurance share, salary (income) tax, and the martyrs fund contribution. We will use a gross salary of EGP 15,000 a month.
1. Social insurance: 11% of the insurable wage
The employee pays 11% of the insurable wage and the employer pays 18.75%. From January 2026 the insurable wage has a minimum of EGP 2,700 and a maximum of EGP 16,700 a month. Above 16,700, insurance is calculated on 16,700 only.
Example: 15,000 × 11% = EGP 1,650 for the employee and 15,000 × 18.75% = EGP 2,812.50 for the employer.
2. Salary tax
- Monthly base = gross − insurance = 15,000 − 1,650 = 13,350.
- Annual base = 13,350 × 12 = 160,200.
- Minus the EGP 20,000 personal exemption: 140,200 taxable.
| Bracket | Rate | Tax in example |
|---|---|---|
| Up to 40,000 | 0% | 0 |
| 40,000 - 55,000 | 10% | 1,500 |
| 55,000 - 70,000 | 15% | 2,250 |
| 70,000 - 140,200 | 20% | 14,040 |
| Annual tax | 17,790 | |
Monthly tax = 17,790 ÷ 12 = EGP 1,482.50.
Above EGP 600,000 of annual taxable income the lower brackets are phased out, and above 1.2 million tax starts at 25% from the first pound. Our salary calculator applies this automatically.
3. Martyrs fund: 0.05%
15,000 × 0.05% = EGP 7.50.
Result
| Gross | 15,000.00 |
| Insurance (11%) | − 1,650.00 |
| Salary tax | − 1,482.50 |
| Martyrs fund | − 7.50 |
| Net | 11,860.00 |
| Employer cost (gross + 18.75%) | 17,812.50 |
Two more quick examples
- Gross 8,000: net 6,860.50 (insurance 880, tax 255.50, martyrs fund 4).
- Gross 30,000: insurance capped at 16,700; net 23,457.27 (insurance 1,837, tax 4,690.73, martyrs fund 15).
These figures are indicative; special cases such as exempt allowances or multiple employers differ. Check with your accountant.