Welo Benefits Smart Calculator
Simulate payroll deductions and the impact of benefits from multiple perspectives.
Your Payroll Analysis Insights
Explore Taxable Fringe Benefits
Add or remove benefits to see their immediate impact on both employee and business calculations below.
Available Benefits
Welo Health
R385 / month
Company Car
R5 000 / month
Employer Housing
R4 000 / month
Travel Allowance
R1 500 / month
Low-Interest Loan
R200 / month
Subsidized Meals
R1 000 / month
Payroll Benefits
No benefits added yet.
Employee: Above Tax Threshold
Monthly Gross Salary
R8 000,00Taxable Income
R0,00Monthly Deductions
PAYE (Tax)
R0,00Provident Fund
R0,00SARS Medical Tax Credit
R0,00Estimated Monthly Net Pay
R0,00
Employee: Below Tax Threshold
Monthly Gross Salary
R6 000,00Taxable Income
R0,00Monthly Deductions
PAYE (Tax)
R0,00Provident Fund
R0,00SARS Medical Tax Credit
R0,00Estimated Monthly Net Pay
R0,00
Business: B2B Transaction
B2B Tax Benefit Breakdown
A business paying a service provider can claim both a VAT input deduction and a Corporate Tax deduction on the ex-VAT amount, creating two distinct tax benefits.
Total Annual Cost (Incl. VAT)
R0,00VAT Benefit (15%)
R0,00Corp. Tax Saving (27% ex-VAT)
R0,00Net Annual Cost to Business
R0,00Business: Fringe Benefits
Why a 27% Corporate Tax Saving?
The corporate tax rate in South Africa is 27%. When a company provides a fringe benefit, the cost is a legitimate business expense. This reduces the company's taxable profit, leading to a 27% saving on that cost.
Total Annual Cost (Before Tax)
R0,00Corporate Tax Saving (27%)
R0,00Net Annual Cost to Business
R0,00Business Benefits Summary
B2B vs. Payroll: The Tax-Efficiency Test
This card compares the net annual cost of offering a service like Welo Health in two ways:
- As a B2B Service: You pay an invoice, claim back the 15% VAT, and also deduct the remaining (ex-VAT) amount as an expense, resulting in an additional corporate tax saving.
- As a Payroll Fringe Benefit: The cost is a business expense, giving you a 27% corporate tax saving on the full amount.
This comparison reveals the most tax-efficient way to structure employee benefits.
Total Annual Cost (Incl. VAT) Via B2B
R0,00B2B VAT Benefit (15%)
R0,00B2B Corporate Tax Saving (27%)
R0,00Total B2B Tax Savings
R0,00