Document text
Job offer — take-home pay check
Gross to net in birr with the employment income tax of Proclamation 1395/2025 and 7% pension
Name: [YOUR NAME]
Employer: [EMPLOYER]
Position: [JOB TITLE]
Start date: [START DATE]
Your monthly pay
Line Amount
Basic salary Br [AMOUNT]
Taxable allowances Br [AMOUNT]
Tax-free allowances Br [AMOUNT]
Gross pay Br [AMOUNT]
Employment income tax Br [AMOUNT]
Pension — your 7% of basic salary Br [AMOUNT]
Take-home pay Br [AMOUNT]
The company also pays 11% of basic salary into your pension: Br [AMOUNT] a month.
Employment income tax — monthly brackets
Monthly income from employment Rate Quick deduction
Br 0 – 2,000 0% —
Br 2,001 – 4,000 15% Br 300
Br 4,001 – 7,000 20% Br 500
Br 7,001 – 10,000 25% Br 850
Br 10,001 – 14,000 30% Br 1,350
Over Br 14,000 35% Br 2,050
Tax = taxable income × rate − quick deduction. Your taxable income: Br [AMOUNT] × [RATE] − Br [DEDUCTION] = Br [TAX].
Two offers side by side
Offer A Offer B
Employer [OFFER A] [OFFER B]
Basic salary Br [AMOUNT] Br [AMOUNT]
Taxable allowances Br [AMOUNT] Br [AMOUNT]
Tax-free allowances Br [AMOUNT] Br [AMOUNT]
Income tax Br [AMOUNT] Br [AMOUNT]
Pension 7% Br [AMOUNT] Br [AMOUNT]
Take-home a month Br [AMOUNT] Br [AMOUNT]
Ask HR before you sign
☐ Is the salary in the offer basic salary or gross with allowances?
☐ Which allowances are taxable, and which are paid tax-free?
☐ Is pension (7% from me, 11% from the company) deducted from basic salary only?
☐ Which day of the month is salary paid, and is it by bank transfer?
☐ How long is probation (the law allows up to 60 working days)?
☐ When is the first salary review — and is it at the start of the budget year (Hamle)?
Check your first payslip
Line Expected On the payslip OK?
Gross pay Br [AMOUNT] ☐
Income tax Br [AMOUNT] ☐
Pension 7% Br [AMOUNT] ☐
Net pay Br [AMOUNT] ☐
Employment income tax: Income Tax (Amendment) Proclamation No. 1395/2025, art. 11 — income derived from 8 July 2025. Pension: Private Organization Employees' Pension Proclamation No. 1268/2022, art. 10 (employee 7%, employer 11% of salary). Check at the start of the year. Not counted: overtime, bonuses, loans, union dues, cost-sharing. A calculation, not tax advice.