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Thread: PAYE with Erratic Income.

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    PAYE with Erratic Income.

    Hi Guys,

    I hope someone can shed some light on my question.

    NB:I started my business(PTY) just this july. I am registered for Provisional Tax and PAYE. I only earn an income from my Company. No Extras.

    I have my own small 1 man company(PTY) The income to my company is very erratic each month to the point that some months I cant give myself a full salary, sometimes half or even a quarter etc, due to companies not paying sometimes. But even though I don't get a full salary, I still pay PAYE based on my Maximum potential Salary. How do I pay a constant PAYE if I cannot afford it. Am I able to pay a PAYE based on what I actually pull from the company each month and not an amount based on my maximum potential Salary(Which I don't seem to ever get). At the end of the day, I cant pay myself and I am going backwards, if what little income I get gets funneled to SARS. Please help clarify this question once and for all?

    I have put forward this question to SARS, but there is a long wait for responses.

    Thanks for any insight.

    Wayne.W

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    Site Caretaker Dave A's Avatar
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    Quote Originally Posted by Wayne.W View Post
    Am I able to pay a PAYE based on what I actually pull from the company each month and not an amount based on my maximum potential Salary(Which I don't seem to ever get).
    Yes, absolutely.

    And it would seem from what you have said, definitely the way to go.
    The trouble with opportunity is it normally comes dressed up as work.

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    Diamond Member HR Solutions's Avatar
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    Yes as Dave said - you download the 2018 Paye Tax table and tax yourself on your monthly earnings. EG if you earn R20000 the one month - tax is R2797.00. If you earn R30000 the next month - tax is R5667.00
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