Take-Home Pay Calculator UK 2025–26
Enter your annual salary to see your take-home pay after income tax, National Insurance, pension contributions, and student loan repayments — for England, Wales, Northern Ireland, and Scotland.
How the take-home pay calculator works
The calculator applies the 2025–26 HMRC income tax bands, National Insurance thresholds, and student loan repayment rates to your gross annual salary. All calculations use integer arithmetic in pence to avoid floating-point rounding errors.
Income tax
For England, Wales, and Northern Ireland taxpayers, the personal allowance of £12,575 is deducted from gross income, and the remainder is taxed at 20% (basic rate), 40% (higher rate above £50,000), and 45% (additional rate above £125,000). The personal allowance tapers at £1 for every £2 of income above £100,000, becoming zero at £125,140.
Scottish taxpayers are subject to different income tax rates set by the Scottish Parliament: a 19% starter rate, 20% basic, 21% intermediate, 42% higher, 45% advanced, and 48% top rate. The same UK-wide personal allowance applies, and the taper operates identically.
National Insurance
Employee Class 1 NI is charged at 8% on earnings between the primary threshold (£12,576/yr) and the upper earnings limit (£50,000/yr), and 2% on earnings above the UEL. Earnings below the primary threshold (but above the lower earnings limit of £6,423) are NI-free but still count toward your NI record for state pension entitlement.
Employer NI is shown for information — it does not reduce your take-home pay but represents the full cost of employing you at your salary. The 2025–26 employer NI rate is 15% above the secondary threshold of £5,000.
Pension contributions
Three pension schemes affect take-home pay differently. Under salary sacrifice, your gross pay is reduced by the contribution before tax and NI are calculated, saving both income tax and employee NI. Under net pay arrangements (common in workplace pensions), the contribution reduces taxable income but NI is still calculated on full gross pay. Relief at source works similarly to net pay for take-home calculation — the pension provider claims basic rate tax relief directly from HMRC on your behalf.
Student loan repayments
Repayments are calculated as a percentage of income above the threshold for your plan. Plan 1 (pre-2012 loans) has a threshold of £24,990; Plan 2 (2012–2023) £27,295; Plan 4 (Scotland) £31,395; Plan 5 (2023 onwards) £25,000. Postgraduate loans are repaid at 6% above £21,000. You can have both an undergraduate and a postgraduate loan simultaneously.
Limitations
This calculator assumes a standard 1257L tax code (full personal allowance), no other sources of income, and that your salary is your only employment income. It does not account for benefits in kind, PAYE adjustments for other income, Scottish income from other sources affecting your tax code, or Marriage Allowance transfers.
Frequently asked questions
How is my take-home pay calculated?
Your gross salary is reduced by income tax, employee National Insurance, pension contributions, and student loan repayments to give your net (take-home) pay. Income tax is calculated using the 2025–26 HMRC personal allowance (£12,575) and progressive bands: 20% basic rate, 40% higher rate above £50,000, and 45% additional rate above £125,000. NI is charged at 8% between the primary threshold (£12,576) and upper earnings limit (£50,000), and 2% above £50,000.
What is the difference between salary sacrifice and relief at source pension?
With salary sacrifice, your employer reduces your gross pay by the pension contribution before calculating tax and NI, so you save both income tax and employee NI. With relief at source, your employer deducts the pension from your net pay and the pension provider claims basic rate tax relief (20%) from HMRC on your behalf. For higher and additional rate taxpayers, relief at source requires a Self Assessment claim to recover the additional relief. Salary sacrifice generally saves more for most employed taxpayers.
Why does my take-home pay decrease faster between £100,000 and £125,140?
The UK personal allowance (£12,575) tapers by £1 for every £2 of income above £100,000, becoming zero at £125,140. This creates an effective 60% marginal tax rate in this range — the normal 40% income tax plus an additional 20% lost through the reduced personal allowance. This is often called the "60% tax trap".
Does Scotland have different take-home pay?
Yes. Scottish taxpayers pay different income tax rates set by the Scottish Parliament: 19% starter rate, 20% basic, 21% intermediate, 42% higher (above £43,662), 45% advanced (above £75,000), and 48% top rate (above £125,140). National Insurance is UK-wide and the same for Scottish taxpayers. Someone earning £30,000 in Scotland typically pays slightly more income tax than an equivalent earner in England.
What student loan plan am I on?
Plan 1 applies to loans taken in England or Wales before September 2012, or Northern Ireland loans. Plan 2 covers England or Wales loans taken between September 2012 and July 2023. Plan 4 is for Scottish student loans. Plan 5 applies to new English and Welsh loans from August 2023 onwards. Postgraduate loans are separate and can run alongside an undergraduate plan. Your plan type is shown on your payslip or can be confirmed with the Student Loans Company.
What is the cost to my employer?
In addition to your gross salary, your employer pays employer National Insurance. For 2025–26, the rate is 15% on earnings above the secondary threshold (£5,000). This is not deducted from your pay — it is an additional cost on top of your salary. For example, a £40,000 salary costs the employer approximately £45,250 in total (£40,000 + £5,250 employer NI).
Why does this calculator not match my payslip exactly?
Payroll uses cumulative PAYE — your tax and NI is calculated on cumulative year-to-date income, accounting for any previous over- or under-payments. This calculator uses annualised figures. Differences also arise from non-standard tax codes, Benefits in Kind (company car, private medical), Marriage Allowance, prior year underpayments included in your code, or salary paid in irregular amounts across the year.
Related calculators
This calculator provides estimates only. Results are based on the 2025–26 tax year and assume standard PAYE with no adjustments. Credibrate is not a tax adviser. For personalised advice speak to a qualified accountant or use HMRC's own tools.