Income tax in Malta 2026: your tax rate and what you keep
You keep
€7,583 a month
€90,992 a year · 70.0% of your gross
| Income tax | €36,100 | 27.8% |
|---|---|---|
| Social security (class 1) | €2,908 | 2.2% |
| Net | €90,992 | 70.0% |
At national level, income tax in 2026 goes from 0% up to 35% on income over €60,000; employee contributions are counted separately, as is any local tax. On 1 January 2027 Malta's Individual Tax Programme Rules take effect, and the cost of global residence status rises sharply: a €35,000 minimum annual tax instead of €15,000 and a €700,000 property instead of €275,000. Applications received by 31 December 2026 keep their status until 31 December 2031. Separately, non-domiciled residents are taxed only on Maltese income and on foreign income remitted to Malta, while foreign capital gains stay out of scope. At €270,000 gross, net falls to €181,992, or 67%; at €450,000, to €298,992, or 66%. On €130,000 the country ranks 11 of 35 for cash in hand, before any special regime. The sums assume: Same tax across Malta; resident employee born in 1962 or later. On safety, schools and health it scores 46 out of 100 among the countries covered. Next, in order, come 4 legal ways to cut the bill, 3 regimes open to new arrivals and what to check before you leave.
The tax scale
National 2026 scale, before deductions. Social contributions and any local taxes come on top.
| From €0 to €12,000 | 0% |
|---|---|
| From €12,000 to €16,000 | 15% |
| From €16,000 to €60,000 | 25% |
| Above €60,000 | 35% |
At different salaries
| Gross | Income tax | Contributions | Net | Kept |
|---|---|---|---|---|
| €89,000 | €21,750 | €2,908 | €64,342 | 72% |
| €130,000 | €36,100 | €2,908 | €90,992 | 70% |
| €270,000 | €85,100 | €2,908 | €181,992 | 67% |
| €450,000 | €148,100 | €2,908 | €298,992 | 66% |
Assumptions: Same tax across Malta; resident employee born in 1962 or later. Single rates only, so the married and parent rates and the flat-rate schemes for foreigners and highly skilled people are ignored, as are the lower social security categories for very low pay.
What should you do at your salary? My plan in 5 questions →
Average salary in Malta
On €32,868 gross, the average salary of 2025, about $36,865, an employee in Malta takes home €2,095 a month, or €25,143 over the year. That leaves them 76% of their pay.
Among the 31 salaries compared, this one comes 23 before tax and 24 after, as tax moves it down 1 place. Italy precedes it with $28,608 net, Japan follows with $25,791.
| Gross a year | €32,868 |
|---|---|
| Net a year | €25,143 |
| Net a month | €2,095 |
| Share kept | 76% |
Eurostat figure: gross pay of a single worker at 100% of the average wage. Exchange rate of 2 November 2026.
Cost of living in Malta
Rank 128 of 161 counting from the cheapest: prices in Malta stand at 69.0 on a base of 100 in the United States in 2025, 31% below the United States.
Compared with the other country pages: cheaper than Italy (72.9) and dearer than Japan (69.0). A net average salary of $28,200 has the buying power here of $40,870 in the United States, where the same employee keeps $70,018. Housing is a separate story: 87.5 against a world 100 in 2021, compared with 108.6 for everyday prices.
Beyond the money
National public figures: they place the country, and say nothing about one district or one school.
| Safety, schools, health score | 46 out of 100 |
|---|---|
| Homicides per 100,000 people | 0.6 |
| Political stability (−2.5 to +2.5) | 1 |
| Rule of law (−2.5 to +2.5) | 0.7 |
| Mean PISA score at 15 | 459 |
| Reference international school | €13,500 · Verdala International School, Pembroke (2026-27) |
| Life expectancy | 83 years |
| PM2.5 fine particles (µg/m³) | 10.8 |
| Housing price level (world = 100) | 87.5 |
| Everyday price level (world = 100) | 108.6 |
Annual tuition published by the school, for Grades 6-8, excluding enrolment and other fees unless stated. One school among others, shown as a marker, not a recommendation. An annual EUR 2,000 contribution towards capital projects is charged on top. One-time: EUR 300 administration, EUR 5,000 registration.
Against other countries
At €130,000 gross, it ranks 11 of 35 for cash in hand, at today's exchange rate.
Paying less, legally
Retirement scheme credit
A tax credit of 25% of qualifying contributions, up to €750 a year, applies to personal retirement schemes. The same applies to an employee's voluntary occupational contributions.
Reduced rate on part-time pay
Qualifying part-time income can be taxed at 10%, on up to €10,000 a year for employment and €12,000 for self-employment.
Reduced rate on overtime
Qualifying overtime bears 15% on the first €10,000 where the basic weekly wage is €375 or less.
Childcare and school fees
Fees paid to a bona fide childcare centre for children under 12, or to a named private school, are deductible up to set maximums. Children's sport, culture and art fees qualify up to €300.
Special regimes
Individual Tax Programme Open
15% on foreign income received in Malta, with double tax relief available
Global Residence Programme Closing
15% on foreign income received in Malta
Highly Skilled Individuals Open
15% flat on employment income
Remittance basis Open
Foreign income is taxed only when remitted to Malta; foreign capital gains are not taxed
Who is tax resident in Malta?
Ordinary residence is a matter of how someone lives in the ordinary course of life, and Malta has few specific rules on the subject. Domicile, usually where a person has a permanent home, then decides the scope: non-domiciled residents keep the remittance basis, with exceptions for certain long-term residents and spouses of Maltese-domiciled individuals.
The trap to know
The programmes require real occupation. The qualifying home must be the primary residence, shared only with dependants and declared staff, and status can be lost if the beneficiary stays more than 183 days in any other country in a calendar year or stops paying the minimum tax, which is due in full even in the first and last years. The applicant must also not intend to establish a Maltese domicile within five years.
Questions
How much is €130,000 after tax in Malta?
€90,992 a year, or €7,583 a month, for a single resident employee. Income tax comes to €36,100 and contributions to €2,908. At €270,000, the share you keep moves to 67%. Each month that leaves €7,583 of €10,833 gross. An expat status would change this result, and it is not counted.
What is the top income tax rate in Malta?
35% on the 2026 scale, above €60,000. At €130,000, each extra 1,000 leaves about €650 net. At €450,000 gross you would keep 66%. This top rate applies only to the part above the threshold: the rate that matters to you is that of your last band.
What gross salary leaves €136,000 net a year in Malta?
About €199,200 gross a year, or €16,600 a month, for a single resident employee, with no special regime taken into account. Tax and contributions then take 32% of gross. Before signing, also check what your contract counts within this gross, bonuses included.
Is Malta safe and expensive to live in?
The public figures on this page show 0.6 homicides per 100,000 people, a housing price level of 87.5 (world = 100) and a mean PISA score of 459. These values describe the whole country, not your street or your children’s school. Add 83 years of life expectancy and 10.8 µg/m³ of fine particles, both sourced further down the page.
Sources
- PwC Worldwide Tax Summaries (fallback): Malta, 2026 personal income tax rates
- PwC Worldwide Tax Summaries (fallback): Malta, 2026 social security contributions
- World Bank / UNODC, intentional homicides per 100,000
- World Bank, Worldwide Governance Indicators: political stability and absence of violence
- World Bank, life expectancy at birth
- World Bank, PM2.5 air pollution, mean annual exposure
- World Bank, International Comparison Program 2021: price level index, housing (world = 100)
- OECD, PISA 2022 Results, Volume I
- Verdala International School
- Eurostat, Annual net earnings (earn_nt_net): gross earnings of a single worker at 100% of the average wage (read 3 November 2026)
- World Bank, PPP conversion factor for private consumption (PA.NUS.PRVT.PP) divided by the official exchange rate (PA.NUS.FCRF), API read 3 November 2026
Figures 2026, checked on