UK Salary Calculator
your exact take-home pay
Professional-grade UK calculators for salary, mortgage, investments, and debt — always up to date for the current tax year.
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| Band | Rate | Your Income in Band | Tax Paid |
|---|
- NI rate: 12% → 8% (two cuts)
- Personal Allowance frozen at £12,570
The letter indicates your situation: L = standard, M/N = marriage allowance, T = under review, S prefix = Scotland, C prefix = Wales. Emergency codes (0T, BR, D0) apply when HMRC has no info.
£12,571–£50,270 → 20% (Basic Rate)
£50,271–£125,140 → 40% (Higher Rate)
£125,141+ → 45% (Additional Rate)
£100k trap: Above £100k your personal allowance shrinks by £1 for every £2 earned, creating an effective 60% tax rate between £100k–£125,140.
£12,571–£50,270/yr → 8% (main rate, 2026/27)
£50,271+/yr → 2% (above Upper Earnings Limit)
NI is based on weekly or monthly earnings — not annual totals — so variable pay can affect your NI differently to tax. You stop paying NI at state pension age.
0T = No allowance, full bands apply
W1/M1 = Week 1 / Month 1 — non-cumulative
You'll usually receive a refund or adjustment within 1–3 months once HMRC updates your record. Check your tax account at gov.uk/check-income-tax.
→ Save income tax + 8% NI on contributions
Net pay / relief at source: pension deducted after tax
→ Only save income tax (NI still paid)
A basic-rate taxpayer putting £100/month in via salary sacrifice saves ~£28 in tax+NI vs ~£20 via standard deduction.
Plan 2: earn >£27,295 → repay 9% above (written off after 30yrs)
Plan 4: earn >£31,395 → repay 9% (Scotland, 30yrs)
Plan 5: earn >£25,000 → repay 9% above (written off 40yrs)
Postgrad: earn >£21,000 → repay 6% above (written off 30yrs)
Key insight: Most Plan 2/5 graduates never fully repay — making voluntary overpayments that get written off is wasted money.
£60,001–£80,000 → 1% clawed back per £200 earned above £60k
Above £80,000 → 100% clawed back (no net benefit)
Child benefit rates: £1,331.20/yr for eldest, £881.80/yr each additional (2025/26). If affected, consider increasing pension contributions to bring adjusted income below £60k.
Electric car (0g/km) = 3% BIK rate (2026/27)
Petrol 120g/km = ~27% BIK rate
e.g. £30,000 car at 27% = £8,100 BIK
Basic rate taxpayer: pays £1,620/yr extra tax
Your employer reports all BIK values on a P11D form each April, and HMRC usually adjusts your tax code accordingly.
2025: £30,000 salary → still basic rate but worth less in real terms
Meanwhile: thresholds frozen until 2028
The OBR estimates fiscal drag will raise billions in extra tax revenue — it's often described as a "stealth tax". Anyone receiving pay rises to keep up with inflation effectively pays more tax without a rate change.
How the UK Salary Calculator works
Understanding your take-home pay can feel surprisingly complicated. Your employer quotes one number — your gross salary — but your bank account tells a different story. This calculator bridges that gap by applying the same rules HMRC uses, so what you see is what you actually get.
The calculation starts with your gross annual salary, then subtracts your Personal Allowance (£12,570 for 2026/27) to find your taxable income. Income Tax is applied in bands: 20% on earnings up to £50,270, 40% on the portion between £50,271 and £125,140, and 45% on anything above. If your income exceeds £100,000, your Personal Allowance tapers away — losing £1 for every £2 earned over that threshold, which creates an effective 60% marginal rate between £100,000 and £125,140.
National Insurance Contributions (NICs) are calculated separately. As an employee you pay 8% on weekly earnings between £242 and £967, and 2% on anything above. Your employer also pays employer NICs — visible here so you can see the full cost of your employment.
If you contribute to a pension, you can enter your contribution as a percentage or fixed amount. Salary sacrifice pensions reduce your gross pay before tax and NI, making them more tax-efficient than relief-at-source arrangements. The calculator handles both methods.
For student loans, repayments depend on your plan. Plan 1 deducts 9% on earnings above £24,990, Plan 2 above £27,295, Plan 4 (Scotland) above £31,395, Plan 5 above £25,000, and Postgraduate above £21,000. If you're on multiple plans, both are calculated simultaneously.
Scottish taxpayers use different bands — the calculator automatically applies the correct rates when you select a Scottish tax code (prefixed S). Welsh taxpayers use the same rates as England and Northern Ireland for now.
What affects your tax code?
Your tax code tells your employer how much of your income is tax-free. 1257L is the standard code for most employees, representing the £12,570 personal allowance. Codes starting with K mean you have additional taxable income (such as untaxed state pension), effectively reducing your allowance below zero. Marriage Allowance codes (M and N) transfer 10% of one partner's personal allowance to the other.
Why results may differ slightly from your payslip
This calculator assumes a straightforward employment situation. Results can vary if you receive irregular bonuses (taxed differently in the pay period they're paid), have been on emergency tax, or your employer uses a different payroll period. Think of the figures as highly accurate estimates rather than guaranteed figures — for exact calculations, speak to your payroll department or a tax professional.
UK Salary Calculator
This salary calculator estimates your take-home pay after UK income tax and National Insurance contributions for the current tax year. Enter your gross salary, tax code, pension contribution and student loan plan to get a complete pay breakdown.
Your take-home pay is your gross salary minus Income Tax, National Insurance (NI), pension contributions, and any student loan repayments. The UK uses a progressive tax system — higher earners pay proportionally more.
Current UK Income Tax Rates (England, Wales & Northern Ireland)
| Band | Taxable Income | Rate |
|---|---|---|
| Personal Allowance | Up to £12,570 | 0% |
| Basic Rate | £12,571 – £50,270 | 20% |
| Higher Rate | £50,271 – £125,140 | 40% |
| Additional Rate | Over £125,140 | 45% |
What this calculator includes
- Income Tax for England, Wales, N. Ireland and Scotland (Scottish rates)
- Employee and employer National Insurance Contributions
- Pension contributions (employee and employer, including salary sacrifice)
- Student loan repayments (Plans 1, 2, 4, 5 and Postgraduate)
- Marriage Allowance, Child Benefit clawback (HICBC) and Benefits in Kind