Tax thresholds are frozen until April 2031, so pay rises pull more people into higher bands (“fiscal drag”). Salary sacrifice pension contributions save both tax and NI. Scotland has different Income Tax bands – this calculator uses rUK rates.
How to use the Take Home Pay Calculator UK
- Annual gross salary
- Pension contribution
- Pension type
- Student loan plan (2025/26 thresholds)
- Postgraduate loan (6% above £21,000)?
Results update as you type, and every field accepts the units shown in its menu.
How it works
Enter your annual salary, your pension contribution and its type, and your student loan plan.
Tips
- Rates and thresholds follow the UK tax year, 6 April to 5 April.
- Scotland has its own income tax bands for non-savings income.
- Check your tax code on your payslip – it changes your personal allowance.
- Use HMRC’s own tools for a final figure.
Common mistakes to avoid
- Using last year’s thresholds.
- Forgetting student loan and pension deductions.
- Confusing National Insurance with income tax.
Inputs explained
| Field | What to enter |
|---|---|
| Annual gross salary | Amount in £ |
| Pension contribution | In % |
| Pension type | Choose one: Salary sacrifice / net pay (before tax), Relief at source (you pay 80%, 20% tax relief added to the pension) |
| Student loan plan (2025/26 thresholds) | Choose one: None, Plan 1 – £26,065, Plan 2 – £28,470, Plan 4 (Scotland) – £32,745 … |
| Postgraduate loan (6% above £21,000)? | Choose one: No, Yes |
What each result means
- Pension contribution = [Annual gross salary]×[Pension contribution]÷100
- Per month = [Take-home pay (yearly)]÷12
- Per week = [Take-home pay (yearly)]÷52
Example values
How the main result changes when Annual gross salary changes and everything else stays at the example values above:
| Annual gross salary | Take-home pay (yearly) |
|---|---|
| 20,000 | 17,199.6 |
| 30,000 | 24,039.6 |
| 40,000 | 30,879.6 |
| 50,000 | 37,719.6 |
| 60,000 | 43,617.4 |
| 80,000 | 54,637.4 |
Formula
Personal allowance £12,570 (reduced by £1 for every £2 over £100,000)Income Tax: 20% on the next £37,700, 40% up to £125,140, 45% aboveEmployee NI: 8% on £12,570–£50,270, 2% aboveStudent loan: 9% (postgraduate 6%) above the plan thresholdWorked example
Inputs — Annual gross salary: £40,000; Pension contribution: 5 %; Pension type: Salary sacrifice / net pay (before tax); Student loan plan (2025/26 thresholds): None; Postgraduate loan (6% above £21,000)?: No.
Results — Pension contribution = £2,000.00; Taxable pay = £38,000.00; Income Tax = £5,086.00; National Insurance = £2,034.40; Student loan repayment = £0.00; Take-home pay (yearly) = £30,879.60; Per month = £2,573.30; Per week = £593.84; Marginal rate (tax + NI) = 28 %.
Frequently asked questions
How much is take-home pay on £40,000?
About £32,300 a year with no pension or student loan (2026/27).
What is the personal allowance for 2026/27?
£12,570, tapered away above £100,000.
Why is the marginal rate 60% between £100,000 and £125,140?
The personal allowance is withdrawn at £1 for every £2 earned.
What formula does the Take Home Pay Calculator UK use?
Personal allowance £12,570 (reduced by £1 for every £2 over £100,000).