Child Benefit Calculator & High Income Charge 2025–26
Calculate your Child Benefit entitlement and find out how much — if any — is clawed back via the High Income Child Benefit Charge. Enter your adjusted net income to see your net benefit.
Child Benefit and the High Income Charge explained
Child Benefit is a universal payment available to anyone responsible for a child under 16 (or under 20 if they are in approved education or training). For 2026–27, the rate is £25.60 per week for the first child and £16.95 per week for each additional child. There is no limit on the number of children you can claim for.
The High Income Child Benefit Charge (HICBC) was introduced in January 2013 to reduce payments to higher earners. From April 2024, the taper now runs from £60,000 to £80,000 (previously £50,000 to £60,000), meaning many more families now receive full benefit without any charge. The taper works at 1% per £200 of income, so the maths is straightforward: at £70,000 (halfway through the taper) you pay back 50% of the benefit received.
The charge is calculated on the higher earner in the household — not the person who claims the benefit. This means that even if the lower-earning parent claims, the charge applies if the other partner earns above the threshold. The charge is assessed on adjusted net income, not gross income, which opens up planning opportunities through pension contributions and Gift Aid.
One important nuance: Child Benefit claims create National Insurance credits for parents not in work. Each week of claim for a child under 12 adds to your NI record for State Pension purposes. At the full new State Pension value of roughly £11,500 per year, a missing NI year can cost approximately £303 per year in retirement. For parents out of work, this makes claiming worthwhile even if the HICBC claws back the full cash amount.
If you wish to receive NI credits without receiving Child Benefit payments (and therefore without triggering a HICBC Self Assessment obligation), you can opt for 'claim but not receive' by ticking the appropriate box on the Child Benefit form. HMRC will update their records and issue NI credits without making cash payments.
Pension contributions are the most effective way to reduce your adjusted net income. A £10,000 contribution to a personal pension or SIPP reduces your adjusted net income by £10,000 on your Self Assessment return. Salary sacrifice contributions are even more effective — they reduce gross pay before NI and income tax are calculated, and they automatically reduce the HICBC by reducing adjusted net income, without needing to claim anything on your tax return.
Frequently asked questions
What is the High Income Child Benefit Charge (HICBC)?
The HICBC is a tax charge that claws back Child Benefit when either parent or their partner has an adjusted net income above £60,000. The charge tapers in at 1% of the benefit for every £200 of income between £60,000 and £80,000. At £80,000 or above, the charge equals 100% of the benefit received, meaning there is no financial gain.
Should I still claim Child Benefit if I earn over £80,000?
In most cases, yes — because claiming Child Benefit protects your National Insurance record. Weeks when you claim Child Benefit for a child under 12 count towards your State Pension entitlement. If you are not working and would otherwise have NI gaps, claiming (even if you pay it all back via HICBC) is valuable. You can also opt to receive the benefit without payment, preserving NI credits without needing to file Self Assessment.
What counts as adjusted net income for HICBC purposes?
Adjusted net income is your gross income minus certain reliefs: personal pension contributions (the grossed-up amount), Gift Aid donations (again grossed up), and trading losses. Salary sacrifice pension contributions reduce your gross pay before the calculation, so they are even more effective at reducing the HICBC. HMRC publish detailed guidance on what counts.
How do I pay the High Income Child Benefit Charge?
You pay the HICBC through Self Assessment. You must register for Self Assessment and file a tax return if your adjusted net income exceeds £60,000 and you or your partner receive Child Benefit. HMRC can charge penalties for late registration. If you have not been filing, you may need to submit returns for multiple previous years.
Can I reduce my HICBC by making pension contributions?
Yes. Pension contributions reduce your adjusted net income. If your income is £70,000 and you contribute £10,000 to a personal pension, your adjusted net income falls to £60,000 and no HICBC applies. This strategy is particularly powerful for those just above the £60,000 threshold. Salary sacrifice contributions are even more effective as they also reduce your NI liability.
Related calculators
This calculator provides estimates only. Results are based on the 2025–26 tax year. Credibrate is not a tax adviser. For personalised advice speak to a qualified accountant.