If you make 16,800 KWD a year living in Kuwait, you will be taxed 1,764 KWD. That means that your net pay will be 15,036 KWD per year, or 1,253 KWD per month. Your average tax rate is 10.5% and your marginal tax rate is 10.5%. This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of 100 KWD in your salary will be taxed 10.50 KWD, hence, your net pay will only increase by 89.50 KWD.
A 1,000 KWD bonus will generate an extra 895 KWD of net incomes. A 5,000 KWD bonus will generate an extra 4,475 KWD of net incomes.
NOTE* Deductions are calculated based on the tables of Kuwait, income tax. For simplification purposes some variables (such as marital status and others) have been assumed. This document does not represent legal authority and shall be used for approximation purposes only.
NOTE** Since January 1st, 2015, employee contributions to Kuwait's social security have increased by 2.5%, for a total of 10.5%. After a certain salary cap, the contribution goes back to 8%.