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UK Take-Home Pay Calculator 2026/27 | UK Creative Ventures
Free Tool · 2026/27

UK Take-Home Pay Calculator 2026/27

Enter your salary and see your exact net pay after income tax, National Insurance, student loan and pension, shown as annual, monthly and weekly figures. Updated for 2026/27 rates.

2026/27 tax rates Student loan Plans 1-5 Free, no sign-up
Last updated: April 2026 · Reflects 2026/27 income tax bands, NI thresholds and student loan repayment rates
UK Creative Ventures · Take-Home Pay Calculator
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Employee pension (salary sacrifice reduces NI)
Cat A = standard · Cat B = married women reduced rate · Cat C = over State Pension age (no NI) · Cat M = under 21
Annual take-home pay
£27,564
£2,297 / month · £530 / week
Monthly
£2,297
Weekly
£530
Daily
£106
Income breakdown — % take-home
🟢 Take-home 🔴 Income tax 🟠 NI 🟣 Student loan 🔵 Pension

Enter your annual salary and bonus amount to see exactly how much of your bonus you keep after tax and NI. Bonuses are taxed as regular income in the pay period they are received.

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Bonus take-home
£3,225
From a £5,000 bonus - keeping 64.5%
ℹ️ Bonuses are taxed as employment income in the pay period they are paid. If your bonus pushes your total income over a tax band boundary (e.g. above £50,270 or £100,000), the portion above that boundary is taxed at the higher rate.

Compare two salary offers side by side. See the difference in take-home pay, tax and effective rate, useful when weighing up a job offer or pay rise.

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How income tax works in the UK for 2026/27

Income tax is charged on your earnings above the personal allowance, the amount you can earn tax-free each year. For 2026/27 the standard personal allowance remains at £12,570. Your employer deducts income tax from your salary under the Pay As You Earn (PAYE) system and pays it directly to HMRC on your behalf.

Tax is charged at progressively higher rates as your income rises. The rates and thresholds have been frozen since 2021 and are set to remain unchanged until at least 2028, which means more people are being pulled into higher tax bands each year as wages rise a process known as fiscal drag.

2026/27 income tax bands (England, Wales and Northern Ireland)

BandTaxable incomeRate
Personal allowanceUp to £12,5700%
Basic rate£12,571 - £50,27020%
Higher rate£50,271 - £125,14040%
Additional rateOver £125,14045%

Scottish taxpayers have different income tax rates set by the Scottish Parliament. If you live in Scotland, the rates above do not apply to your non-savings, non-dividend income.

How National Insurance works in 2026/27

Employee National Insurance (Class 1) is deducted from your salary above the primary threshold. For 2026/27 the primary threshold remains at £12,570 per year (aligned with the personal allowance since July 2022). Employee NI is charged at 8% on earnings between £12,570 and £50,270, and 2% on earnings above £50,270.

Your employer also pays employer NI at 15% on your salary above the secondary threshold (£9,100 per year from April 2025). Employer NI is not deducted from your pay, it is an additional cost to your employer on top of your salary.

2026/27 employee NI rates (Category A)

BandAnnual earningsEmployee NI rate
Below primary thresholdUp to £12,5700%
Main rate£12,571 - £50,2708%
Upper rateOver £50,2702%

Student loan repayments

Student loan repayments are collected through PAYE alongside income tax and NI. You repay a percentage of your income above a threshold not a fixed monthly amount. The threshold and rate depend on which repayment plan you are on.

2026/27 student loan thresholds and rates

PlanWho it applies toThresholdRate
Plan 1Started before Sept 2012 (England/Wales), or Scotland before 2021£24,9909%
Plan 2Started Sept 2012 - July 2023 (England/Wales)£27,2959%
Plan 4Scotland from 2021£31,3959%
Plan 5Started Aug 2023 onwards (England/Wales)£25,0009%
PostgradPostgraduate Master's/Doctoral loans£21,0006%
Worked example: take-home pay at £35,000 Gross salary: £35,000 · Tax code: 1257L · No student loan · No pension

Personal allowance: £12,570 → taxable income: £22,430
Income tax: £22,430 × 20% = £4,486
Employee NI: (£35,000 − £12,570) × 8% = £22,430 × 8% = £1,794
Annual take-home: £35,000 − £4,486 − £1,794 = £28,720
Monthly take-home: £28,720 ÷ 12 = £2,393

Pension contributions and salary sacrifice

If you contribute to a workplace pension through salary sacrifice, your pension contribution is taken from your gross salary before tax and NI are calculated. This means you save both income tax and NI on your pension contributions, making salary sacrifice significantly more efficient than contributing from net pay.

For a basic rate taxpayer, contributing £100 via salary sacrifice only costs £87.68 in take-home pay (saving £12.32 in NI at 8% plus 0% as the income tax saving is passed through the gross salary reduction). For a higher rate taxpayer the saving is even greater.

Tax codes explained

Your tax code tells your employer how much personal allowance to give you. The most common code is 1257L, the 1257 represents £12,570 of personal allowance and the L means you are entitled to the standard allowance. Other common codes include BR (basic rate on all income, used for second jobs), D0 (higher rate on all income), and NT (no tax).

If your tax code is wrong, you may be paying too much or too little tax. You can check and update your tax code through your Personal Tax Account at gov.uk or by contacting HMRC directly.

The personal allowance taper above £100,000

If your total income exceeds £100,000, your personal allowance is reduced by £1 for every £2 of income above this threshold. This means your personal allowance disappears entirely at £125,140, creating an effective 60% marginal tax rate on income between £100,000 and £125,140. This is one of the most punishing tax traps in the UK system and can be mitigated by making pension contributions to bring your income below £100,000.

Frequently asked questions

On a £30,000 salary with a standard 1257L tax code, you pay income tax of £3,486 (20% on £17,430 taxable income) and employee NI of £1,394 (8% on £17,430 above the primary threshold). Your total take-home pay is approximately £25,120 per year, or around £2,093 per month. Use the calculator above to get the precise figure including any student loan repayments or pension contributions.
The personal allowance for 2026/27 is £12,570 the same as it has been since April 2021. This is the amount you can earn before paying income tax. It has been frozen at this level until at least April 2028, meaning more people are being pulled into paying tax each year as wages rise. If your income exceeds £100,000, your personal allowance is gradually reduced.
Tax on a pay rise is calculated at your marginal rate the rate that applies to your highest slice of income. If your current salary is £40,000 and you get a £5,000 rise to £45,000, the extra £5,000 is taxed at 20% income tax and 8% employee NI, a combined marginal rate of 28%. If the rise takes you above £50,270, the portion above that threshold is taxed at 40% income tax plus 2% NI. The comparison tab in the calculator above shows you exactly how much extra take-home a pay rise delivers.
If your pension is via salary sacrifice, yes - contributions are taken before tax and NI, reducing both. A £3,000 salary sacrifice pension contribution saves 20% income tax (£600) and 8% employee NI (£240) for a basic rate taxpayer, meaning the net cost to your take-home pay is only £2,160. Relief at source pensions (where contributions come from net pay) save income tax only, HMRC adds basic rate tax relief to your pension pot automatically.
The higher rate tax threshold for 2026/27 is £50,270. Income above this amount (and below £125,140) is taxed at 40%. This threshold has been frozen since April 2021 and will remain at this level until at least April 2028. As wages rise, more people are crossing this threshold and paying 40% tax for the first time.
Employee National Insurance for 2026/27 is 8% on earnings between £12,570 and £50,270, and 2% on earnings above £50,270. There is no NI below the primary threshold of £12,570. For example, on a £40,000 salary you pay NI of 8% × (£40,000 - £12,570) = 8% × £27,430 = £2,194 per year.
You must complete a Self Assessment tax return if: your income exceeds £100,000; you are self-employed with income over £1,000; you receive untaxed income (rental, savings, dividends over £500); you are a company director; your income or your partner's is over £60,000 and you receive Child Benefit (High Income Child Benefit charge); or HMRC has asked you to complete one. Most PAYE employees do not need to complete Self Assessment unless one of these conditions applies.
Scottish taxpayers have their own income tax rates set by the Scottish Parliament. For 2026/27 Scotland has five income tax bands: starter rate (19%), basic rate (20%), intermediate rate (21%), higher rate (42%), and top rate (48%). The Scottish rates apply to non-savings, non-dividend income only. NI rates are the same across the UK. This calculator uses England, Wales and Northern Ireland rates — if you are a Scottish taxpayer, the results will not reflect your actual liability.
You can check your tax code on your payslip, P60, or through your Personal Tax Account at gov.uk. If your code is not 1257L and you believe you should have the standard personal allowance, contact HMRC or check your tax account online. Common reasons for a non-standard code include: underpaid tax from a previous year, company benefits (such as a company car), or HMRC applying a restriction for other income.
Gross pay is your salary before any deductions, the headline figure in your contract and job offer. Net pay is what you actually receive in your bank account after income tax, National Insurance, pension contributions and any student loan repayments have been deducted. The difference between the two — your total deductions — is what this calculator helps you understand precisely.

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