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How to Calculate PAYE on M10,000 in Lesotho
This guide explains the calculation method used by the TaxEase PAYE planning calculator. It is educational and independent, not an RSL assessment or filing.
The current monthly bands
For the 2026/2027 structure, the first M6,480 of monthly chargeable income is taxed at 20%. The amount above M6,480 is taxed at 30%. The monthly tax credit is M1,020 for the applicable resident taxpayer.
Worked example: M10,000 monthly chargeable income
- First band: M6,480 x 20% = M1,296.
- Excess: M10,000 - M6,480 = M3,520.
- Excess tax: M3,520 x 30% = M1,056.
- Tax before credit: M1,296 + M1,056 = M2,352.
- Less monthly credit: M2,352 - M1,020 = M1,332 estimated PAYE before any approved deduction treatment.
This example uses chargeable income before any separately supported deduction treatment. The live calculator shows the assumptions and each calculation row.
What the calculator needs
Enter gross salary manually, then review allowances, overtime, bonus, pension and other deductions. The result shows the assumptions and calculation rows so you can check the working.
Reviewed 20 August 2026. RSL 2026/2027 income tax structure. Confirm current requirements before filing or relying on a tax position.