What is Code 3713 on a South African Payslip?
Other taxable allowances explained — the catch-all code for cash allowances without a dedicated SARS classification, why they are fully taxable, and common examples.
3713Code 3713 is a catch-all code for taxable cash allowances that do not have a dedicated SARS allowance code of their own — such as housing allowances paid as cash, clothing allowances, and certain relocation payments. The full amount is subject to PAYE at your marginal rate. There is no prescribed exempt threshold for code 3713 allowances.
What Code 3713 Means
Code 3713 is the catch-all allowance code — it covers taxable cash allowances paid to employees that do not have their own dedicated SARS code. SARS assigns specific codes to the most common allowances: code 3701 for travel, code 3702 for reimbursive travel, code 3704 for subsistence, code 3706 for entertainment, code 3711 for computers, code 3712 for telephone. Anything that falls outside these named categories lands under code 3713.
Common examples include housing allowances (where the employer pays cash rather than providing accommodation), clothing or uniform allowances (particularly in industries where presentability is part of the role), cash relocation payments (rather than reimbursement of actual removal costs), and other ad hoc cash payments that are part of the employee's regular remuneration package.
The critical point is that code 3713 allowances are fully taxable with no prescribed exempt amount. Unlike some specific allowances which have SARS-published tax-free rates, code 3713 exists precisely because there is no specific exemption applicable — the full amount is income subject to PAYE.
How It Affects Your Take-Home Pay
| Item | Amount |
|---|---|
| Monthly salary (code 3601) | R18,000 |
| Housing allowance (code 3713) | R3,500 |
| Total taxable remuneration | R21,500 |
| Approximate marginal rate | 26% |
| PAYE on housing allowance | ≈R910/month |
| Net from R3,500 allowance | ≈R2,590/month |
A housing allowance paid as cash (code 3713) is fully taxable — PAYE is deducted on the full amount. Employer-provided accommodation (code 3805) is taxed on a lower formula value: the lesser of 17.5% of remuneration or market rental. For employees receiving a large housing cash allowance, it is worth comparing the tax cost of the current arrangement against the employer providing accommodation directly — the fringe benefit route can result in less tax.
Frequently Asked Questions
What does code 3713 mean on my payslip?
Code 3713 is a catch-all code for taxable cash allowances that do not have their own specific SARS allowance code. Examples include housing allowances paid as cash, clothing or uniform allowances, certain relocation payments, and other miscellaneous cash amounts paid to employees as part of their remuneration package. The full amount is subject to PAYE at the employee's marginal rate — there is no prescribed exempt threshold for code 3713.
Is code 3713 fully taxable?
Yes — code 3713 allowances are fully taxable income. Unlike travel allowances (code 3701, partially exempt) or subsistence allowances (code 3704, exempt at prescribed rates for overnight trips), code 3713 catches miscellaneous allowances for which no specific tax-free provision exists. PAYE is deducted on the full amount each month at your marginal rate.
What types of allowances are coded as 3713?
Common code 3713 allowances include: housing allowances paid as a cash amount (as opposed to employer-provided accommodation under code 3805), uniform or clothing allowances, cash relocation allowances (where the employer pays cash rather than reimbursing actual removal costs), tool or equipment allowances paid as cash, and any other periodic cash payment that does not fit a more specific SARS allowance code. Your employer's payroll system determines which code is used.
What is the difference between a code 3713 allowance and a code 3801 fringe benefit?
Code 3713 is for cash allowances — actual money paid to the employee. Code 3801 is for non-cash fringe benefits — advantages provided in kind (gym memberships, staff discounts, club memberships). Both are taxable, but the distinction is cash versus non-cash. A housing cash allowance is code 3713; employer-provided accommodation (non-cash) is code 3805.
Does code 3713 appear on my IRP5?
Yes. The total code 3713 allowances paid during the tax year appear on your IRP5 and are included in your gross remuneration. PAYE was deducted monthly on the full amount. The allowance increases your taxable income and may affect your annual tax assessment if PAYE was not deducted correctly throughout the year.
Can any code 3713 allowance be claimed back on my annual return?
Generally no — code 3713 covers allowances for personal expenses (housing, clothing, etc.) rather than business expenses. Section 23(m) of the Income Tax Act restricts what salaried employees can deduct, and personal living costs are not deductible. If a code 3713 allowance is genuinely covering a deductible business expense that was miscoded, raise this with your employer's payroll department to correct the coding rather than attempting to claim a deduction for a personal allowance.