Cumulative withholding table
How to use it. Step one: compute cumulative taxable income = cumulative income − cumulative basic allowance (5,000 × months) − cumulative social insurance and housing fund − cumulative special additional deductions. Step two: find that amount in the table below and take its rate and quick deduction. Step three: tax due this month = cumulative taxable income × rate − quick deduction − tax already paid this year. The quick deduction is simply the shortcut that avoids calculating band by band.
| 级数Level | 累计应纳税所得额Cumulative taxable income | 税率Rate | 速算扣除数Quick deduction |
|---|---|---|---|
| 1 | ≤ 36,000 | 3% | 0 |
| 2 | 36,000 – 144,000 | 10% | 2,520 |
| 3 | 144,000 – 300,000 | 20% | 16,920 |
| 4 | 300,000 – 420,000 | 25% | 31,920 |
| 5 | 420,000 – 660,000 | 30% | 52,920 |
| 6 | 660,000 – 960,000 | 35% | 85,920 |
| 7 | > 960,000 | 45% | 181,920 |
A worked example
Take a monthly salary of 20,000 with 3,000 of employee social insurance and housing fund and 2,000 of special deductions. January: cumulative taxable income = 20000 − 5000 − 3000 − 2000 = 10,000, which sits in band 1, so tax = 10000 × 3% − 0 = 300. By May the cumulative figure is 50,000 and crosses into band 2, giving cumulative tax = 50000 × 10% − 2520 = 2,480; subtract the 1,200 already paid in the first four months and May’s deduction is 1,280 — exactly why deductions rise mid-year. To skip the arithmetic, use the income tax calculator.
Bonus table (taxed separately)
When a bonus is taxed separately, first divide it by 12 to get a monthly-equivalent figure, find the rate and quick deduction below, then compute bonus × rate − quick deduction. Note that these quick deductions are monthly values, not the annual ones in the previous table — mixing them produces wrong results. This also creates the well-known threshold effect: a slightly larger bonus just above a band boundary can leave you with less in hand (compare 36,000 with 36,001), so compute both methods before paying out.
| 月均金额（奖金 ÷ 12）Monthly average (bonus ÷ 12) | 税率Rate | 速算扣除数Quick deduction |
|---|---|---|
| ≤ 3,000 | 3% | 0 |
| 3,000 – 12,000 | 10% | 210 |
| 12,000 – 25,000 | 20% | 1,410 |
| 25,000 – 35,000 | 25% | 2,660 |
| 35,000 – 55,000 | 30% | 4,410 |
| 55,000 – 80,000 | 35% | 7,160 |
| > 80,000 | 45% | 15,160 |
Allowance and deduction amounts
The basic allowance is 5,000 per month. After the 2023 adjustment, special additional deductions are: childcare under three at 2,000 per child per month; children’s education at 2,000 per child per month; supporting elderly parents at 3,000 per month for an only child, or up to 1,500 each for siblings sharing the deduction; mortgage interest at 1,000 per month for up to 240 months (mutually exclusive with rent); rent at 1,500, 1,100 or 800 per month depending on city size; continuing education at 400 per month, or 3,600 in the year a professional qualification is obtained; and major medical expenses actually paid above a 15,000 threshold, capped at 80,000 per year. Policies change — confirm against the latest official announcement before filing.
Notes on use
First, these tables are for estimating and self-checking; the annual settlement through official channels is authoritative. Second, cumulative withholding means the yearly total depends only on cumulative amounts, so month-to-month swings are not over- or under-payment. Third, taxing a bonus separately and folding it into comprehensive income are two different calculations — do not conclude from one. Fourth, declare deductions truthfully and without duplication: both spouses claiming the full mortgage interest or children’s education for the same item will be corrected with additional tax at settlement. Fifth, when a figure goes into a contract or expense claim, cross-check the written form with amount in words to avoid ambiguity.
FAQ
Are the amounts in the table monthly income?
No. The first table uses cumulative taxable income — income since January minus all deductions. That is why you cross bands mid-year, and why the monthly deduction changes.
Why divide a bonus by 12?
Separate taxation uses bonus ÷ 12 to pick the applicable band (spreading the bonus across twelve months to find a rate), yet applies that rate to the full amount minus the quick deduction — which keeps a single payment from jumping straight to 45%.
The table does not match my payslip — why?
Check the social insurance and fund base and rates, whether your special deductions took effect, and whether the cumulative figure includes bonuses. If it still differs, recompute with the same inputs here and ask HR for their calculation.