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Salary calculator Sri Lanka (2025/26): take-home pay and employer cost
Enter a basic salary and allowances to see the employee's take-home pay after EPF (8%) and APIT, and the employer's total cost including EPF (12%) and ETF (3%). Uses the IRD 2025/26 APIT tables and the current EPF and ETF rates.
How it is calculated
- EPF-liable earningsBasic salary plus allowances you mark as EPF-liable (regular, fixed allowances usually are; reimbursements are not).
- Employee deductionsEPF 8% of EPF-liable earnings, plus APIT on total taxable remuneration.
- Employer contributionsEPF 12% and ETF 3% of EPF-liable earnings, paid on top of salary.
- ResultsNet take-home = gross − EPF 8% − APIT. Cost to company = gross + EPF 12% + ETF 3%.
Whether an allowance attracts EPF depends on its nature and regularity; when in doubt treat regular fixed allowances as EPF-liable. Overtime and no-pay entered here are treated as taxable earnings; overtime is not EPF-liable in the calculation.
Rates used
| Item | Rate or amount | Applies to |
|---|---|---|
| APIT personal relief | LKR 1,800,000 per year (LKR 150,000 per month) | Resident employees, IRD Table 1 |
| APIT band | Next LKR 1,000,000 at 6% | Annual taxable income after relief |
| APIT band | Next LKR 500,000 at 18% | Annual taxable income after relief |
| APIT band | Next LKR 500,000 at 24% | Annual taxable income after relief |
| APIT band | Next LKR 500,000 at 30% | Annual taxable income after relief |
| APIT band | Balance at 36% | Annual taxable income after relief |
| EPF employee | 8% | EPF-liable earnings, deducted from employee |
| EPF employer | 12% | EPF-liable earnings, paid by employer |
| ETF employer | 3% | EPF-liable earnings, paid by employer |
| Gratuity | Half a month’s salary per completed year | After 5 years; employers with 15+ staff |
Sources: IRD APIT tax tables 2025/26, EPF, ETF Board, Payment of Gratuity Act No. 12 of 1983. Last reviewed 3 September 2026.
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Humanised calculates every payslip, bank file and statutory report, for every employee each pay run, with EPF, ETF and APIT built in. From LKR 10,000/month for up to 15 employees, no setup fee.
See Humanised payroll softwareFrequently asked questions
How is take-home salary calculated in Sri Lanka?
Gross pay less the employee’s EPF contribution (8% of EPF-liable earnings) and APIT. Other deductions such as loans, advances and no-pay reduce it further. The employer separately pays EPF 12% and ETF 3% on top.
What is the difference between gross salary, basic salary and net salary?
Basic salary is the fixed base on which EPF, ETF and often gratuity are computed. Gross salary is basic plus allowances, overtime and other earnings. Net salary is what the employee receives after EPF and APIT.
Which allowances are EPF-liable?
Regular fixed allowances that form part of earnings are generally EPF-liable; reimbursements of expenses and genuine overtime are generally not. Many employers structure a fixed allowance as EPF-liable to stay safe. The calculator lets you toggle it.
How much does an employee actually cost the company?
Gross pay plus employer EPF (12%) and ETF (3%) of EPF-liable earnings, so roughly 15% above gross for a fully EPF-liable salary, before gratuity provisions and benefits.
Does the calculator handle overtime and no-pay?
Yes. Overtime is added to taxable gross but not to the EPF base; no-pay is deducted from both. For the underlying formulas see the overtime and no-pay guide.
Is the result the same as my payslip?
It should match a standard payslip for a resident employee with one employment. Differences usually come from loan deductions, stamp duty on higher salaries, non-cash benefits, or cumulative APIT under Table 5.