Take-Home Pay Calculator

Find out your net pay after Income Tax, National Insurance, student loans and pension contributions. Updated for April 2025 — Scotland rates included.

HMRC 2025/26 rates Scotland & all 5 tax years Free — no account needed

Your Salary Details

£

Tax Code

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Enter your tax code from your payslip or P60 for a more accurate result. Not sure? Leave blank — we'll use the standard code for the selected year.

Student Loan Repayment

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Select all plans that apply. Multiple plans can run simultaneously (e.g. an undergraduate plan and a postgraduate loan).

Pension Contributions

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Salary sacrifice reduces both taxable income and NI-able pay. Auto-enrolment and employer pensions reduce taxable income only. Personal pensions use relief at source.

I contribute% of my gross salary

Bonus

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Enter any one-off annual bonus. It will be added to your gross earnings and taxed alongside your normal pay in the same period.

Annual bonus £

Overtime

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Enter monthly overtime hours at a multiplier of your normal rate, or enter a direct cash value if you know the total.

Normal week:hrs
hrs/month at× rate
hrs/month at× rate

— or enter a cash amount directly —

£every

Childcare Vouchers

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The voucher scheme is closed to new entrants since October 2018. If you joined before then, vouchers up to a monthly limit are exempt from tax and NI.

Monthly voucher value £

Salary Sacrifice

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From April 2017, most sacrifice arrangements save National Insurance only. Genuinely tax-exempt schemes (cycle-to-work, electric vehicle leasing) save both tax and NI.

£NI saving only, every
£tax & NI exempt, every

Taxable Benefits

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Benefits in kind such as a company car or private healthcare are taxable. Cash allowances paid through payroll are also treated as earnings.

Benefits £every
Cash allowances £every

Additional Options

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Other Deductions

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Payroll Giving (Give As You Earn) reduces your taxable income. Gift Aid donations are taken from net pay — HMRC adds the tax relief directly to your chosen charity.

Payroll giving £per month (pre-tax)
Gift Aid £per month (post-tax)

Age & Working Pattern

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For guidance only. Tax codes, employer arrangements and individual circumstances affect actual deductions.

How the Calculation Works

Enter your annual gross salary and use the expandable sections to include any additional details that affect your pay. Results update instantly and can be viewed across six pay frequencies.

Income Tax

Tax is calculated on your gross earnings minus your Personal Allowance (£12,570 for 2025/26) and any pension contributions. The Personal Allowance tapers by £1 for every £2 earned above £100,000, reaching nil at £125,140. If you live in Scotland, Scottish Income Tax rates apply — set annually by the Scottish Parliament and distinct from the rest of the UK, though NI rates remain the same everywhere.

National Insurance

Employee Class 1 NICs are 8% on earnings between the Primary Threshold (£12,570) and the Upper Earnings Limit (£50,270), then 2% on earnings above the UEL. Salary sacrifice pension contributions reduce your NI-able pay — other pension types do not. Employees who have reached State Pension age pay no employee NI.

Student Loans

Deductions are based on the repayment plan and annual earnings threshold for that plan. You can select multiple plans simultaneously — for example, an undergraduate Plan 2 running alongside a Postgraduate Loan. Repayments are 9% above the threshold (6% for postgraduate) and are collected through PAYE just like tax.

Worked Examples — 2025/26 (England)

The figures below are illustrative annual calculations for England/Wales using the standard 1257L tax code, no student loan, and no pension contribution. Use the calculator above for your own figures.

Basic Rate Taxpayer
£30,000 Gross

Gross salary£30,000
Personal Allowance£12,570
Taxable Income£17,430
Income Tax (20%)£3,486
National Insurance (8%)£1,394
Annual Take-Home£25,120
Monthly Take-Home£2,093

Higher Rate Taxpayer
£60,000 Gross

Gross salary£60,000
Personal Allowance£12,570
Taxable Income£47,430
Income Tax (20% + 40%)£11,432
National Insurance (8% + 2%)£2,194
Annual Take-Home£46,374
Monthly Take-Home£3,864

Additional Rate Taxpayer
£130,000 Gross

Gross salary£130,000
Personal Allowance£0 (fully tapered)
Taxable Income£130,000
Income Tax (20%/40%/45%)£49,630
National Insurance (8%/2%)£2,869
Annual Take-Home£77,501
Monthly Take-Home£6,458

2025/26 and 2026/27 Tax Bands

Thresholds are frozen at 2025/26 levels into 2026/27 — the Government announced no changes. Scottish rates are set by Holyrood and differ from the rest of the UK. National Insurance thresholds are also unchanged.

England, Wales & Northern Ireland — Income Tax
BandRate2025/26 Threshold2026/27 Threshold
Personal Allowance0%Up to £12,570Up to £12,570
Basic Rate20%£12,571 – £50,270£12,571 – £50,270
Higher Rate40%£50,271 – £125,140£50,271 – £125,140
Additional Rate45%Over £125,140Over £125,140
Scotland — Income Tax
BandRate2025/26 Threshold2026/27 Threshold
Personal Allowance0%Up to £12,570Up to £12,570
Starter Rate19%£12,571 – £14,876£12,571 – £14,876
Basic Rate20%£14,877 – £26,561£14,877 – £26,561
Intermediate Rate21%£26,562 – £43,662£26,562 – £43,662
Higher Rate42%£43,663 – £75,000£43,663 – £75,000
Advanced Rate45%£75,001 – £125,140£75,001 – £125,140
Top Rate48%Over £125,140Over £125,140
Employee National Insurance (Class 1) — UK-Wide
BandRate2025/26 Threshold2026/27 Threshold
Below Primary Threshold0%Up to £12,570 / yrUp to £12,570 / yr
Main Rate8%£12,571 – £50,270 / yr£12,571 – £50,270 / yr
Upper Rate2%Over £50,270 / yrOver £50,270 / yr

The Personal Allowance is tapered at £1 for every £2 of income above £100,000, reaching £0 at £125,140.

Things That Can Affect Your Take-Home Pay

Beyond the standard calculation, several common situations can significantly change your actual take-home. Make sure the calculator reflects your circumstances.

Tax Code Warning

If your tax code is not 1257L, your take-home will differ from a standard estimate. An emergency code (e.g. 1257L W1/M1), a BR code, or a K code can all mean substantially more tax is deducted. Check your payslip and contact HMRC if your code looks wrong — you may be owed a refund.

The £100,000 Trap — 60% Effective Marginal Rate

Between £100,000 and £125,140 your effective marginal tax rate is 60% because your Personal Allowance is withdrawn at £1 per £2 earned over £100,000. Every £2 of extra pay costs you £1 in additional tax on top of normal 40% higher-rate tax. Making pension contributions or Gift Aid payments can reduce your Adjusted Net Income below £100,000 and fully restore your Personal Allowance.

Salary Sacrifice vs Net Pay Pension — Know the Difference

Salary sacrifice pension arrangements reduce your gross pay before both income tax and National Insurance are calculated — saving you NI as well as income tax. Net pay arrangements only save income tax. Relief-at-source pensions add basic rate tax relief to your pot but the saving comes later, not on your payslip. Choosing the right type can be worth hundreds of pounds per year.

Scottish Taxpayers

If you live in Scotland you pay Scottish Income Tax rates, which are set by the Scottish Parliament independently from Westminster. Scotland has six bands compared to three in England, and the higher rate is 42% rather than 40%. However, you pay standard UK National Insurance rates — there is no Scottish NI. If you have recently moved to or from Scotland, HMRC should be notified so your tax code is updated.

Frequently Asked Questions

Common questions about UK income tax, National Insurance, and take-home pay for 2025/26. Click a question to expand the answer.

What tax rates apply for 2025/26?
England, Wales and Northern Ireland: 0% up to £12,570 (Personal Allowance), 20% on £12,571–£50,270, 40% on £50,271–£125,140, and 45% above £125,140. Scotland has six bands: 19% (Starter), 20% (Basic), 21% (Intermediate), 42% (Higher), 45% (Advanced) and 48% (Top). The Personal Allowance tapers to zero between £100,000 and £125,140.
How does a bonus affect my take-home pay?
A bonus is treated as ordinary earnings for both income tax and National Insurance purposes. It is added on top of your regular salary and taxed at the highest rate your combined income reaches. If your total income exceeds £100,000, the bonus may also trigger or worsen the Personal Allowance taper, creating an effective 60% marginal rate on some of the bonus. If you are close to the £100,000 threshold, making a pension contribution equal to the bonus can neutralise the tax impact entirely.
Why do Scottish taxpayers pay more income tax?
The Scottish Parliament has the power to set its own income tax rates and thresholds, and has chosen to diverge from the rest of the UK. Scotland has six tax bands (compared to three in England), and the Scottish Higher Rate is 42% compared to 40% in England and Wales. From around £43,662 upwards Scottish taxpayers typically pay more income tax than equivalent earners in England. However, Scottish taxpayers pay exactly the same National Insurance as everyone else in the UK — NI is reserved to Westminster.
What is salary sacrifice and how does it save money?
Salary sacrifice is an arrangement where you formally agree to reduce your contractual gross salary by a set amount, and your employer pays that amount into your pension (or provides another benefit such as a cycle-to-work scheme or electric vehicle lease) instead. Because your gross pay is lower, you pay both less income tax and less National Insurance. Your employer also saves employer NI on the sacrificed amount, and many employers pass some or all of that saving on to employees as an enhanced pension contribution. The key distinction from standard pensions is the NI saving — a standard auto-enrolment or net-pay pension only saves income tax, not NI.
Does my pension reduce my National Insurance contributions?
Only salary sacrifice pension arrangements reduce your National Insurance. With salary sacrifice, your contractual gross pay is reduced before NI is assessed, so you pay NI on a lower figure. Standard auto-enrolment, employer and net pay pensions reduce your income tax but your NI-able pay remains unchanged. Relief-at-source personal pensions have no effect on your payslip NI at all — the tax relief is added separately by HMRC to your pension pot after you have already paid NI on the full gross amount.
What happens to my Personal Allowance if I earn over £100,000?
The standard Personal Allowance (£12,570 for 2025/26) is tapered at a rate of £1 for every £2 of Adjusted Net Income above £100,000. This means your effective tax-free amount reduces steadily until, at £125,140, it reaches zero. In this range your effective marginal rate is 60% — you pay 40% higher rate tax in the normal way, plus you lose £1 of Personal Allowance for every £2 earned, which is taxed at 40%, adding a further 20p in tax per pound. Pension contributions and Gift Aid payments reduce Adjusted Net Income and can restore some or all of your Personal Allowance.
How is my tax calculated if I have a K tax code?
A K code is issued when HMRC believes you owe more tax than can be collected through the normal allowance system — typically because of underpaid tax from previous years, high benefits in kind, or state pension income that exceeds the Personal Allowance. The K code works in reverse: instead of reducing your taxable income by an allowance, HMRC adds the code value to your gross pay before calculating tax. For example, a K150 code means an extra £1,500 is added to your notional taxable income. However, there is a statutory limit — the total additional tax from a K code cannot reduce your take-home pay by more than 50% of your gross in any pay period.
Why does my take-home calculator result differ from my payslip?
This calculator produces an annual average estimate based on the figures you enter. Real payslips may differ for several reasons: your employer may round differently; HMRC may have issued an in-year tax code adjustment to recover underpaid tax from earlier in the year; your tax is sometimes calculated on a cumulative basis (taking account of all tax paid since April) which can produce higher or lower deductions in a given month; you may have received arrears of pay; or your company may operate net pay pension arrangements that interact differently with your code. If your payslip consistently shows a significantly different result, contact your payroll team or HMRC.
How is NI calculated?
Employee Class 1 NI: 8% on earnings between the Primary Threshold (£12,570/yr) and the Upper Earnings Limit (£50,270/yr), then 2% on earnings above the UEL. Employees who have reached State Pension age pay no employee NI at all. NI is assessed per pay period (not cumulatively like income tax), so the annual figures above are the sum of 12 monthly calculations.
What are the student loan repayment thresholds for 2025/26?
Plan 1: 9% on earnings above £24,990 | Plan 2: 9% above £28,470 | Plan 4 (Scotland): 9% above £31,395 | Plan 5: 9% above £25,000 | Postgraduate Loan: 6% above £21,000. Multiple plans can run simultaneously. Repayments are collected through PAYE and calculated on gross pay before pension deductions.
What is Adjusted Net Income?
Adjusted Net Income (ANI) is your total gross income minus pension contributions and payroll giving donations. It is the income figure used to calculate your Personal Allowance entitlement (tapered above £100,000), whether you owe the High Income Child Benefit Charge (above £60,000), and whether the annual pension allowance taper applies (above £260,000). Reducing your ANI through pension contributions or Gift Aid can therefore have tax effects well beyond the simple pension deduction.

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