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Getihu (individual business) salary calculator - China 2026

Free Getihu (individual business) salary calculator for China (2026). Estimate gross-to-net take-home pay: income tax, social contributions and net salary. Educational, not tax advice.

Simon Bodych

작성자 Simon Bodych

Methodology & sources

Methodology - China, mainland (2026)

Educational model for calendar year 2026 - not a payroll system, not a tax filing, not tax advice. Mainland China only: Hong Kong and Macau are separate jurisdictions with their own tax and retirement systems and are not covered by this calculator. DEFAULT CITY: Shanghai - social insurance and housing fund bases, caps and some rates are set per city; a city selector is planned as future work.

Employee (laodong hetong, labor contract)

  • Individual income tax (IIT) on comprehensive income: basic deduction of CNY 60,000 per year (CNY 5,000 per month) and progressive annual rates 3% / 10% / 20% / 25% / 30% / 35% / 45% with thresholds at 36,000 / 144,000 / 300,000 / 420,000 / 660,000 / 960,000 CNY of annual taxable income. Individual Income Tax Law (2018 revision), Art. 6 and Annex 1.
  • Employers withhold monthly using the cumulative withholding method (SAT Announcement [2018] No. 61): each month the progressive scale is applied to the year-to-date taxable base and the tax already withheld is subtracted. With a flat salary the early months are taxed at the lowest bracket and the monthly advance steps up when the cumulative base crosses a threshold - take-home pay falls toward December, while the annual total equals the annual progressive tax. The calculator models the annual figure and also shows the first-month and lowest-month net to illustrate the method.
  • Employee social insurance (Shanghai): pension 8%, medical 2%, unemployment 0.5% of the contribution base. The base is the individual average monthly wage of the previous year, clamped to the citywide floor of CNY 7,460 and ceiling of CNY 37,302 per month (60% / 300% of the 2024 citywide average wage of CNY 12,434). These bounds apply to the social-insurance year 1 Jul 2025 - 30 Jun 2026; the bounds from 1 Jul 2026 are unpublished, so the second half of 2026 is PROVISIONAL.
  • Housing provident fund (zhufang gongjijin): employee and employer each contribute 5-7% (integer percent chosen by the employer; the calculator defaults to 7% with a 5-7% setting). Base ceiling CNY 37,302, floor CNY 2,690 per month for the deposit year 1 Jul 2025 - 30 Jun 2026. The fund is the employee's own savings but is deducted from cash pay, so the model subtracts it from net.
  • Taxable income = annual gross - 60,000 - employee social insurance - housing fund - special additional deductions. Special additional deductions (children's education CNY 2,000 per child per month, care of infants under 3 CNY 2,000 per child per month, support of the elderly up to CNY 3,000 per month, mortgage interest CNY 1,000 per month, rent, continuing education, serious illness; State Council Guo Fa [2023] No. 13) are supported as an OPTIONAL flat monthly amount - the itemized rules are out of scope.
  • Employer cost on top of gross pay (Shanghai): pension 16%, medical 9% (maternity insurance is merged into medical), unemployment 0.5%, work injury 0.2-1.9% depending on the industry class (the calculator defaults to class I, 0.2%, adjustable), housing fund matching the employee rate. The reduced total unemployment rate of 1% (0.5% each side) is confirmed through 31 Dec 2025 and its continuation in 2026 is signaled in the national budget but PROVISIONAL.
  • Labor dispatch (laowu paiqian): dispatched workers sign a labor contract with the dispatch agency, which withholds wages-and-salaries IIT and pays social insurance exactly as a direct employer would. For take-home pay this mode maps to the employment calculator.
  • Out of scope: the separate taxation of the annual one-off bonus (an optional regime extended through 31 Dec 2027 by MOF/STA Announcement [2023] No. 30 - choosing it can lower the total tax for bonus recipients), non-resident rules (monthly conversion of the brackets), itemized special additional deductions, supplementary housing fund and enterprise annuities, and month-by-month wage variation (the model is a flat monthly salary x 12).

Sources: Individual Income Tax Law of the PRC (State Taxation Administration regulation library), SAT Announcement [2018] No. 61 - IIT withholding measures (cumulative method), State Council Guo Fa [2023] No. 13 - special additional deduction standards, Shanghai HRSS Bureau - 2025 social-insurance contribution base bounds, Shanghai HRSS Bureau - 2025 phased reduction of social-insurance rates (policy Q&A), Shanghai Provident Fund Management Center - 2025 housing-fund base and rate notice, Shanghai HRSS Bureau - minimum wage CNY 2,740 per month from 1 Jul 2025.

Getihu (geti gongshanghu, individual industrial and commercial household)

  • IIT on business operating income (jingying suode): progressive annual rates 5% to 30,000; 10% to 90,000; 20% to 300,000; 30% to 500,000; 35% above 500,000 CNY of annual taxable income. Individual Income Tax Law (2018 revision), Annex 2.
  • Taxable income = revenue - costs and expenses. When the owner has NO comprehensive income (no wages, labor remuneration or royalties), the CNY 60,000 basic deduction plus special and special additional deductions are subtracted from business income instead (Implementation Regulation of the IIT Law, Art. 15). The calculator exposes this as a toggle, default on.
  • Halving relief: from 1 Jan 2023 through 31 Dec 2027 the IIT on the part of annual taxable business income up to CNY 2,000,000 is halved (MOF/STA Announcement [2023] No. 12). Modeled as a toggle, default on.
  • Social insurance: getihu owners without employees contribute as flexible-employment persons - basic pension at 20% of a self-chosen base between the local floor and ceiling, basic medical per local rules; participation is largely the owner's decision. The calculator does NOT charge social insurance in this mode - the shown net is the business cash result before the owner's personal insurance choices.
  • Out of scope: VAT and local surcharges (small-scale taxpayer preferences usually apply), deemed/levied assessment (heding zhengshou), loss carry-forward, payroll for employees, itemized special additional deductions.

Sources: Individual Income Tax Law of the PRC, Annex 2, MOF/STA Announcement [2023] No. 12 - tax policies supporting small businesses and getihu, STA Announcement [2023] No. 12 - implementation of the getihu IIT relief, STA - getihu halving relief Q&A.

Gig / labor remuneration (laowu baochou)

  • Labor remuneration is the standard form for independent gig work without a labor contract - the closest analog of the Polish umowa zlecenie. The payer withholds IIT per payment (SAT Announcement [2018] No. 61): the expense deduction is CNY 800 for payments up to CNY 4,000 and 20% of the payment above CNY 4,000; the withholding rate on the remaining taxable amount is 20% up to 20,000, 30% minus a quick deduction of 2,000 between 20,000 and 50,000, and 40% minus 7,000 above 50,000.
  • The withholding is an ADVANCE, not a final tax. At the annual reconciliation (March-June of the following year) labor remuneration enters comprehensive income at 80% of the gross amount, is combined with any wages, reduced by the CNY 60,000 basic deduction and the other deductions, and taxed at the progressive 3-45% scale; the withheld amounts are credited. For most gig workers without other income this produces a REFUND, because the 20%+ withholding exceeds the progressive tax. The calculator shows the per-payment withholding as the headline and an estimated reconciliation assuming labor remuneration is the only income.
  • Social insurance: a pure labor-remuneration relationship carries no employer social insurance. The worker may contribute as a flexible-employment person (basic pension at 20% of a self-chosen base, basic medical per local rules) - shown as a note, not charged.
  • Out of scope: multiple payers, irregular payment amounts (the model assumes one identical payment per month x 12), VAT on services, special additional deductions in the reconciliation estimate, and the platform-economy reporting rules for internet platforms.

Sources: Individual Income Tax Law of the PRC, Art. 2 and 6, SAT Announcement [2018] No. 61 - withholding measures and rate tables, STA - annual comprehensive-income reconciliation administrative measures.

Provisional values and scope notes

  • PROVISIONAL: the Shanghai social-insurance and housing-fund base floor/ceiling for the year starting 1 Jul 2026 are unpublished; the calculator applies the 1 Jul 2025 - 30 Jun 2026 values (7,460 / 37,302 and 2,690 / 37,302 CNY per month) to the whole calendar year 2026.
  • PROVISIONAL: the reduced unemployment-insurance rate (1% total, 0.5% employee + 0.5% employer) is confirmed through 31 Dec 2025; the 2026 national budget plans its continuation, but the formal extension was not yet published when this model was verified.
  • The annual one-off bonus separate-taxation option remains in force through 31 Dec 2027 (MOF/STA Announcement [2023] No. 30) and is out of scope of this calculator.
  • Non-resident taxpayers (under 183 days) use a different monthly bracket conversion and are out of scope.

MOF/STA Announcement [2023] No. 30 - continuation of the annual one-off bonus IIT policy.