Take-home pay calculator 2026/27
In 2026/27 most employees pay no income tax or National Insurance on their first £12,570. In England, Wales and Northern Ireland you then pay 20% income tax up to £50,270, 40% up to £125,140 and 45% above, plus 8% National Insurance up to £50,270 and 2% above, so £45,000 leaves you £2,993.30 a month. Scotland has six bands of its own.
How much will I take home after tax?
Enter your gross pay before tax, choose how often it's quoted, and add any pension and student loan. We assume the standard 1257L tax code. The result updates as you type, and nothing you enter is stored or sent anywhere.
Your result
Enter your gross pay to see what you take home.
You'll see your income tax, National Insurance, pension and student loan per year, month and week, your effective and marginal rates, what you cost your employer and the assumptions behind the figures.
Paid through your own company?
For a director, salary is only part of the picture. Our tax savings calculator compares salary, dividends and pension, and our guide explains how to pay yourself as a director. We can also run your director-only payroll.
What is income tax?
Income tax is the tax on your earnings, pensions and other income above your tax-free Personal Allowance. Employees pay it through PAYE: your employer deducts it from each payslip using your tax code. 1257L, the code for most people with one job or pension, means £12,570 of tax-free income and the standard Personal Allowance (GOV.UK: what your tax code means). Scottish codes start with S and Welsh codes with C.
What is the Personal Allowance, and when do you lose it?
The Personal Allowance is £12,570 for 2026/27 across the UK. It falls by £1 for every £2 of adjusted net income over £100,000, so it's gone at £125,140 (GOV.UK: income over £100,000). In that range each extra £1 of pay costs, in effect, 60p in income tax plus 2p of National Insurance.
Adjusted net income is your taxable income less certain reliefs, such as grossed-up Gift Aid and relief at source pension contributions (GOV.UK: adjusted net income), so a pension contribution can win back lost allowance. The allowance, and the £37,700 basic rate band outside Scotland, are frozen until 5 April 2031 (GOV.UK policy paper).
What are the income tax rates and bands for 2026/27?
England, Wales and Northern Ireland
Wales uses the same bands as England and Northern Ireland (GOV.UK: Income Tax rates; Welsh Income Tax). The bands assume the standard £12,570 allowance.
| Band | Income | Rate |
|---|---|---|
| Personal Allowance | Up to £12,570 | 0% |
| Basic rate | £12,571 to £50,270 | 20% |
| Higher rate | £50,271 to £125,140 | 40% |
| Additional rate | Over £125,140 | 45% |
Scotland
Scottish taxpayers have six rates on wages, pensions and other non-savings income. Savings and dividends are taxed at the UK rates (GOV.UK: Scottish Income Tax).
| Band | Income | Rate |
|---|---|---|
| Personal Allowance | Up to £12,570 | 0% |
| Starter rate | £12,571 to £16,537 | 19% |
| Basic rate | £16,538 to £29,526 | 20% |
| Intermediate rate | £29,527 to £43,662 | 21% |
| Higher rate | £43,663 to £75,000 | 42% |
| Advanced rate | £75,001 to £125,140 | 45% |
| Top rate | Over £125,140 | 48% |
How much National Insurance do employees pay?
Employees pay Class 1 National Insurance at 8% on earnings between £12,570 and £50,270 a year and 2% above that, at the same rates across the UK (GOV.UK: National Insurance rates and allowances).
| Earnings | Weekly | Monthly | Yearly | Rate |
|---|---|---|---|---|
| Up to the Primary Threshold | £242 | £1,048 | £12,570 | 0% |
| Primary Threshold to Upper Earnings Limit | £242 to £967 | £1,048 to £4,189 | £12,570 to £50,270 | 8% |
| Above the Upper Earnings Limit | Over £967 | Over £4,189 | Over £50,270 | 2% |
Your employer also pays 15% on your earnings above £5,000 a year (GOV.UK: rates and thresholds for employers). It doesn't come out of your pay, but it's part of what you cost: try our employer cost calculator. Running payroll for your own staff? Our payroll service works out these deductions on every payslip and reports them to HMRC on or before each payday.
How much student loan will I repay?
You repay 9% of your pay above your plan's threshold (GOV.UK: 2026/27 thresholds). A Postgraduate Loan is repaid at 6% above £21,000, on top of any other plan (GOV.UK: what you pay). Payroll uses the same pay as for employer National Insurance (GOV.UK: special rules for student loans), so salary sacrifice lowers your repayments but other pension contributions don't.
| Loan | Yearly | Monthly | Weekly | Rate |
|---|---|---|---|---|
| Plan 1 | £26,900 | £2,241.66 | £517.30 | 9% |
| Plan 2 | £29,385 | £2,448.75 | £565.09 | 9% |
| Plan 4 | £33,795 | £2,816.25 | £649.90 | 9% |
| Plan 5 | £25,000 | £2,083.33 | £480.76 | 9% |
| Postgraduate Loan | £21,000 | £1,750 | £403.84 | 6% |
How do pension contributions change my take-home pay?
- Salary sacrifice. You swap pay for an equal employer pension contribution, free of income tax and National Insurance in 2026/27, as long as your cash pay stays at or above the minimum wage (GOV.UK: salary sacrifice). From 6 April 2029, sacrifice above £2,000 a year will attract National Insurance (policy paper).
- Net pay. Your contribution comes off before income tax, giving relief at your top rate, but National Insurance is charged on your full pay (HMRC CWG2). If your taxable income is below the Personal Allowance, HMRC pays a top-up after the tax year (GOV.UK).
- Relief at source. You pay from your net pay and your provider adds 20%, so £80 becomes £100. Higher and additional rate taxpayers, and Scottish taxpayers at 21% and above, claim the rest through Self Assessment or a separate claim (GOV.UK: pension tax relief), which extends their basic rate band (Finance Act 2004, section 192).
How do I calculate income tax? A worked example on £45,000
- Start with gross pay of £45,000 a year, with no pension or student loan.
- Take off your Personal Allowance: £45,000 − £12,570 = £32,430 of taxable income.
- Apply the bands. All £32,430 falls within the £37,700 basic rate band, so income tax is £32,430 × 20% = £6,486.
- Work out National Insurance: (£45,000 − £12,570) × 8% = £2,594.40.
- Deduct both: £45,000 − £6,486 − £2,594.40 = £35,919.60 a year, which is £2,993.30 a month or £690.76 a week.
That's an effective rate of 20.18%, and each extra £1 of pay costs 28p. In Scotland the same £32,430 is taxed £3,967 at 19%, £12,989 at 20%, £14,136 at 21% and £1,338 at 42%: £6,882.05 in all, leaving £35,523.55 (£396.05 less), and each extra £1 costs 50p.
What doesn't this calculator cover?
- Other income, such as self-employment, rent, savings, dividends or a second job.
- Tax codes other than 1257L, including the emergency codes 1257L W1, M1 and X and codes for benefits in kind.
- The High Income Child Benefit Charge (from £60,000 of adjusted net income) and Marriage Allowance.
- Employer pension contributions, including automatic enrolment on qualifying earnings of £6,240 to £50,270 (GOV.UK: workplace pensions).
- More than one undergraduate loan plan, reduced National Insurance rates and bonuses.
- Pension savings over the £60,000 annual allowance (GOV.UK: pension schemes rates).
If any of these apply, our personal tax service can work out the full picture. Key 2026/27 dates are in our tax deadlines calendar.
Related tools and guides
Self-employed, a director or an employer? These free tools and guides use the same 2026/27 rates.
Calculator
Employer cost calculator
What an employee really costs once employer National Insurance is added to their salary.
Calculator
Tax savings calculator
For limited company directors: compare salary, dividends and pension, and see what you could save.
Calculator
Self-employed tax calculator
Income tax and Class 4 National Insurance on sole trader profits for 2026/27.
Calculator
Dividend tax calculator
Tax on dividends at the 2026/27 rates of 10.75%, 35.75% and 39.35%, after the £500 allowance.
Service
Personal tax
Self Assessment returns and personal tax planning, including pension relief and the £100,000 taper.
Guide
Tax reliefs business owners miss
Pension contributions, mileage and other reliefs that are easy to overlook, explained for 2026/27.
Free white paper
Tax savings everyone should be aware of 2026/27
Ten reliefs we see missed most often, including how to avoid losing your Personal Allowance between £100,000 and £125,140. Free to download.
Frequently asked questions
How much tax do I pay on a £30,000 salary in 2026/27?
In England, Wales or Northern Ireland, with tax code 1257L and no pension or student loan, you pay £3,486 of income tax (20% of £17,430) and £1,394.40 of National Insurance (8% of £17,430). That leaves take-home pay of £25,119.60 a year, or £2,093.30 a month.
What does the 1257L tax code mean?
1257L is the tax code used for most people with one job or pension. The number stands for £12,570 of tax-free income, and the L means you get the standard Personal Allowance. Scottish taxpayers have codes starting with S and Welsh taxpayers codes starting with C. From 6 April 2026 the emergency codes are 1257L W1, 1257L M1 and 1257L X.
Why do I pay 60% tax between £100,000 and £125,140?
Because you lose £1 of your £12,570 Personal Allowance for every £2 of adjusted net income over £100,000. Each extra £1 of pay is taxed at 40% and also makes 50p of allowance taxable at 40%, so in effect you pay 60% income tax, plus 2% National Insurance. Pension contributions and Gift Aid reduce adjusted net income and can bring the allowance back.
Do pension contributions reduce my National Insurance?
Only through salary sacrifice. If you give up pay in exchange for an employer pension contribution, there is no income tax or National Insurance on the amount sacrificed in 2026/27. Net pay and relief at source contributions get income tax relief but no National Insurance relief. From 6 April 2029, sacrificed amounts above £2,000 a year will attract National Insurance.
When do I start repaying my student loan?
When your pay goes over your plan's threshold. For 2026/27 the yearly thresholds are £26,900 for Plan 1, £29,385 for Plan 2, £33,795 for Plan 4, £25,000 for Plan 5 and £21,000 for a Postgraduate Loan. You repay 9% of pay above the threshold, or 6% for a Postgraduate Loan. Payroll uses monthly or weekly equivalents, such as £2,448.75 a month for Plan 2.
Written and reviewed by George Nicholson BFP ACA, ICAEW Chartered Accountant. Last reviewed 20 October 2026. This page is general information, not personal advice.
Want to keep more of what you earn?
Book a free call and George will check your tax code, how your pension is set up and any tax relief you could be claiming.