Bank Profit Calculator — Pakistan (Savings & Term Deposits) 2026
Bank profit calculator for Pakistan: monthly and yearly profit on savings accounts, term deposits and PLS at any rate, after 20% / 40% withholding tax for filers and non-filers (FBR 2026–27).
| Gross monthly profit | — |
|---|---|
| Withholding tax | — |
| Net monthly profit | — |
| Gross profit over tenure | — |
| Net profit over tenure | — |
In short
Bank profit in Pakistan is paid on savings accounts at a declared variable rate and on term deposits at a fixed rate. Banks deduct withholding tax at source under Section 151 of the Income Tax Ordinance — 20% for active tax filers (on the FBR Active Taxpayers List) and 40% for non-filers from 1 July 2026 — so PKR 1,000,000 at 12% pays a filer PKR 8,000 a month net and a non-filer PKR 6,000.
Who this is for: Savers in Pakistan estimating profit on a savings account or term deposit after withholding tax.
How bank profit and withholding tax work
Pakistani banks pay profit on PLS savings accounts (a declared, variable rate) and on term deposits (usually fixed for the tenure). Profit is paid monthly, quarterly or at maturity depending on the product. The bank deducts withholding tax on profit at source under Section 151 of the Income Tax Ordinance — 20% for persons on the Active Taxpayers List (ATL) and 40% for non-filers from 1 July 2026 (Finance Act 2026; previously 15% / 35%). Being on the ATL therefore saves you one-fifth of your gross profit. The bank remits the tax and shows it on your profit statement; it is credited against your final liability when you file your return.
This tool uses simple (non-compounding) monthly profit: deposit × annual rate ÷ 12. If your product reinvests profit, the actual return is slightly higher.
See also: Gold Zakat Calculator (Per Tola) — Pakistan.
Monthly bank profit on PKR 1 lakh to 1 crore (after withholding tax)
What is the monthly profit on 10 lakh or 1 crore in a Pakistani bank? Each cell shows the net monthly profit for an active filer (after 20% withholding) and, in smaller type, for a non-filer (after 40%), at four common savings and term-deposit rates.
| Deposit | 8% p.a. | 10% p.a. | 12% p.a. | 14% p.a. |
|---|---|---|---|---|
| PKR 100,000 | PKR 533 / 400 | PKR 667 / 500 | PKR 800 / 600 | PKR 933 / 700 |
| PKR 500,000 | PKR 2,667 / 2,000 | PKR 3,333 / 2,500 | PKR 4,000 / 3,000 | PKR 4,667 / 3,500 |
| PKR 1,000,000 | PKR 5,333 / 4,000 | PKR 6,667 / 5,000 | PKR 8,000 / 6,000 | PKR 9,333 / 7,000 |
| PKR 2,000,000 | PKR 10,667 / 8,000 | PKR 13,333 / 10,000 | PKR 16,000 / 12,000 | PKR 18,667 / 14,000 |
| PKR 5,000,000 | PKR 26,667 / 20,000 | PKR 33,333 / 25,000 | PKR 40,000 / 30,000 | PKR 46,667 / 35,000 |
| PKR 10,000,000 | PKR 53,333 / 40,000 | PKR 66,667 / 50,000 | PKR 80,000 / 60,000 | PKR 93,333 / 70,000 |
Simple monthly profit = deposit × rate ÷ 12. Rates are illustrative — PLS savings accounts currently pay below the SBP policy rate and term deposits slightly more; check your bank's latest profit rate sheet.
Assumptions
- Profit is simple, non-compounding: deposit × annual rate ÷ 12 per month.
- Withholding tax is 20% (active filer) or 40% (non-filer) under Section 151, per the FBR Withholding Tax Rates Card updated for the Finance Act 2026 (checked 25 Oct 2026).
- Zakat deduction is not modelled.
Worked example
Gross monthly = 1,000,000 × 12% ÷ 12 = PKR 10,000
Withholding (20%, filer) = PKR 2,000 → net PKR 8,000/month, PKR 96,000 over the year. A non-filer on the same deposit loses PKR 4,000 a month to withholding (40%) and nets PKR 6,000.
Frequently asked questions
Is the withholding tax final?
For many individuals it is treated as a final or minimum tax on profit on debt up to certain thresholds — above those, profit is taxed under normal rates. Ask a tax consultant.
Why is my bank's rate different from the policy rate?
Banks set deposit rates below the SBP policy rate, with a regulated minimum on PLS savings accounts. Term deposits usually pay more than savings accounts.
Does Zakat get deducted too?
Zakat is deducted on eligible savings accounts on 1 Ramadan unless you file an exemption declaration — not modelled here.
What is the difference between a savings account and a TDR?
Savings accounts pay a variable declared rate with instant access; term deposits (TDRs) lock funds for a period at a fixed rate, usually higher.
Is bank profit halal?
Islamic banks offer profit-and-loss-sharing accounts structured as mudarabah; conventional accounts pay interest. The arithmetic here is the same for both.
What is the monthly profit on 1 crore in a Pakistani bank?
At a 12% annual rate PKR 1 crore earns PKR 100,000 a month gross; an active filer receives PKR 80,000 after 20% withholding and a non-filer PKR 60,000 after 40%. At 10% the gross is PKR 83,333 a month.
What is the profit on 10 lakh per month?
PKR 1,000,000 at 12% pays PKR 10,000 a month gross — PKR 8,000 net for a filer, PKR 6,000 for a non-filer. At 8% it is PKR 6,667 gross.
Which bank gives the highest profit rate in Pakistan?
Term deposits and Islamic savings products from mid-size and microfinance banks usually quote the highest rates; they change every month with the SBP policy rate, so compare the current rate sheets rather than relying on last year's figures.
How is bank profit taxed if I am on the Active Taxpayers List?
The bank deducts 20% at source under Section 151 from 1 July 2026. For individuals the deduction has been treated as a final tax on profit on debt up to PKR 5 million a year; above that it is adjusted against your normal income-tax liability when you file.
Does the withholding tax apply to Islamic bank profit too?
Yes — profit on mudaraba savings and term certificates is treated as profit on debt for withholding, at the same 20% / 40% rates.
Is 20% withholding tax the new rate on bank profit?
Yes. The Finance Act 2026 raised the Section 151 rate on bank deposits from 15% to 20% for persons on the ATL and from 35% to 40% for non-filers, effective 1 July 2026, per the FBR withholding tax rates card.
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