Take-Home Pay UK: Salary Calculators, Deductions, NI and Student LoansTake-Home Pay Calculator UK 2026/27 — See Your Monthly Pay
Free UK salary calculator for 2026/27. Enter your salary to see income tax, NI and student loan deductions — and your exact monthly take-home pay.
Understanding your take-home pay helps you budget effectively. Here’s how to calculate what you’ll actually receive after all deductions.
Your gross salary — the number in your contract — is not what lands in your bank account. For a typical employee on £35,000, around £6,280 per year is deducted in income tax and National Insurance before you see a penny. Add a pension contribution and student loan repayments, and your actual take-home can be over £8,000 less than your headline salary.
Understanding the deductions also reveals some counterintuitive truths. A pay rise doesn’t always mean as much extra money as it looks. A jump from £48,000 to £55,000 pushes earnings into the higher rate band, meaning you’d keep only 58p of every additional pound (compared to 72p at the basic rate). And if you’re between £100,000 and £125,140, you keep just 38p of each extra pound — an effective 62% marginal rate caused by the personal allowance taper.
Read more: See our Income Tax guide for a complete overview of this topic.
Read more: See our Take Home Pay guide for a complete overview of this topic.
Take-Home Pay Quick Reference
Common Salaries — Monthly Take-Home (2026/27)
| Gross Salary | Monthly Gross | Tax | NI | Take-Home/Month | Take-Home/Year |
|---|
| £25,000 | £2,083 | £207 | £83 | £1,793 | £21,516 |
| £30,000 | £2,500 | £290 | £117 | £2,093 | £25,116 |
| £35,000 | £2,917 | £373 | £150 | £2,394 | £28,728 |
| £40,000 | £3,333 | £457 | £183 | £2,693 | £32,316 |
| £50,000 | £4,167 | £623 | £250 | £3,294 | £39,528 |
| £60,000 | £5,000 | £957 | £283 | £3,760 | £45,120 |
| £75,000 | £6,250 | £1,457 | £333 | £4,460 | £53,520 |
| £100,000 | £8,333 | £2,460 | £383 | £5,490 | £65,880 |
Based on 2026/27 tax rates. Excludes pension and student loan.
How Take-Home Pay Is Calculated
Deduction Order
| Step | Deduction | What It Is |
|---|
| 1 | Pension | Usually deducted before tax |
| 2 | Income Tax | On remaining after pension |
| 3 | National Insurance | On earnings above threshold |
| 4 | Student Loan | If applicable |
| 5 | Other deductions | Cycle to work, childcare vouchers |
Income Tax Rates 2026/27
Tax Bands
| Band | Income Range | Tax Rate |
|---|
| Personal Allowance | £0 - £12,570 | 0% |
| Basic Rate | £12,571 - £50,270 | 20% |
| Higher Rate | £50,271 - £125,140 | 40% |
| Additional Rate | Over £125,140 | 45% |
Personal Allowance Reduction
| Income | Personal Allowance | Effect |
|---|
| Under £100,000 | £12,570 | Full allowance |
| £100,000 - £125,140 | Reduces by £1 per £2 | Gradual loss |
| Over £125,140 | £0 | No allowance |
£100k-£125k earners face an effective 60% tax rate on this portion.
Tax Calculation Example: £45,000 Salary
| Calculation | Amount | Tax |
|---|
| First £12,570 | Tax-free | £0 |
| £12,571 to £45,000 | £32,430 at 20% | £6,486 |
| Total Tax | | £6,486 |
National Insurance Rates 2026/27
Employee NI
| Earnings | NI Rate |
|---|
| Below £12,570 | 0% |
| £12,570 - £50,270 | 8% |
| Above £50,270 | 2% |
NI Calculation Example: £45,000 Salary
| Calculation | Amount | NI |
|---|
| First £12,570 | Below threshold | £0 |
| £12,571 to £45,000 | £32,430 at 8% | £2,594 |
| Total NI | | £2,594 |
Student Loan Deductions
Repayment Thresholds
| Plan | Threshold | Rate | When |
|---|
| Plan 1 | £24,990 | 9% | Started before Sept 2012 |
| Plan 2 | £27,295 | 9% | Started Sept 2012 onwards |
| Plan 4 | £27,660 | 9% | Scottish students |
| Plan 5 | £25,000 | 9% | Started Sept 2023 onwards |
| Postgrad | £21,000 | 6% | Postgraduate loan |
Student Loan Example: £35,000 Salary, Plan 2
| Calculation | Amount |
|---|
| Salary | £35,000 |
| Threshold | £27,295 |
| Amount over threshold | £7,705 |
| Repayment (9%) | £693/year (£58/month) |
Pension Contributions
How Pension Affects Take-Home
| Without Pension | With 5% Pension |
|---|
| £40,000 salary | £40,000 salary |
| Tax on £40,000 | Tax on £38,000 |
| Full NI | Slightly less NI |
| Higher take-home | Lower take-home |
| No pension saving | £2,000 + employer match saved |
Pension Tax Relief Value
| Tax Rate | You Contribute | Tax Saved | Real Cost |
|---|
| Basic (20%) | £100 | £20 | £80 |
| Higher (40%) | £100 | £40 | £60 |
| Additional (45%) | £100 | £45 | £55 |
Higher earners get more tax relief per pound contributed.
Salary Sacrifice
| Feature | Benefit |
|---|
| Pension taken before tax AND NI | Save both |
| Reduces taxable income | Lower tax bill |
| Reduces NI contributions | Both you and employer |
| Employer may share NI saving | Extra pension contribution |
Complete Take-Home Examples
Example 1: £35,000 Salary, No Deductions
| Item | Annual | Monthly |
|---|
| Gross salary | £35,000 | £2,917 |
| Income tax | -£4,486 | -£374 |
| National Insurance | -£1,794 | -£150 |
| Take-home | £28,720 | £2,393 |
Example 2: £35,000 Salary, 5% Pension, Plan 2 Student Loan
| Item | Annual | Monthly |
|---|
| Gross salary | £35,000 | £2,917 |
| Pension (5%) | -£1,750 | -£146 |
| Taxable income | £33,250 | — |
| Income tax | -£4,136 | -£345 |
| National Insurance | -£1,654 | -£138 |
| Student loan | -£693 | -£58 |
| Take-home | £26,767 | £2,231 |
Example 3: £60,000 Salary, 8% Pension
| Item | Annual | Monthly |
|---|
| Gross salary | £60,000 | £5,000 |
| Pension (8%) | -£4,800 | -£400 |
| Taxable income | £55,200 | — |
| Income tax (basic) | -£7,540 | -£628 |
| Income tax (higher) | -£1,972 | -£164 |
| National Insurance | -£3,196 | -£266 |
| Take-home | £42,492 | £3,541 |
Marginal Tax Rates
The marginal tax rate is what matters most when you’re thinking about a pay rise, a side income, or whether to contribute more to your pension. It tells you what percentage of the next pound you earn you’ll lose to tax and NI. Many people focus on their headline salary and overlook the fact that above £50,270, every extra £1 only nets you 58p — or just 38p in the particularly brutal £100k–£125k band.
Understanding Your Marginal Rate
| Income Level | Marginal Rate | What It Means |
|---|
| Up to £12,570 | 0% | Keep 100% of extra earnings |
| £12,571 - £50,270 | 28% | Keep 72% (20% tax + 8% NI) |
| £50,271 - £100,000 | 42% | Keep 58% (40% tax + 2% NI) |
| £100,000 - £125,140 | 62% | Keep 38% (60% tax + 2% NI) |
| Above £125,140 | 47% | Keep 53% (45% tax + 2% NI) |
Pay Rise Impact
| Current Salary | Pay Rise | Extra Tax/NI | Extra Take-Home |
|---|
| £30,000 | £5,000 | 28% = £1,400 | £3,600 |
| £45,000 | £5,000 | 28% = £1,400 | £3,600 |
| £48,000 | £5,000 | Mixed | ~£3,200 |
| £55,000 | £5,000 | 42% = £2,100 | £2,900 |
| £100,000 | £5,000 | 62% = £3,100 | £1,900 |
Optimising Take-Home Pay
For most employees, the most effective way to increase take-home pay isn’t negotiating a higher salary — it’s reducing the amount of that salary lost to tax. Salary sacrifice pension contributions are particularly powerful because they reduce both income tax and National Insurance. An employee earning £50,000 who puts 10% into a salary sacrifice pension would save roughly £900 in NI as well as the income tax relief, compared to a personal pension where only the income tax is reclaimed.
Legal Ways to Increase Take-Home
| Strategy | How It Works | Saving |
|---|
| Salary sacrifice pension | Reduces taxable income | NI + tax saved |
| Cycle to work | Pre-tax deduction | Tax + NI on amount |
| Childcare vouchers | If grandfathered in | Tax + NI saved |
| Marriage allowance | Transfer unused allowance | Up to £252/year |
| Tax-efficient benefits | Electric car, etc. | Lower BIK |
£100k+ Earners: Special Strategies
| Strategy | Benefit |
|---|
| Pension contributions | Restore personal allowance |
| Charitable giving | Gift Aid extends basic rate band |
| Timing of bonuses | Manage when income is received |
Scottish Income Tax
Scottish Rates 2026/27
| Band | Income Range | Rate |
|---|
| Personal Allowance | £0 - £12,570 | 0% |
| Starter | £12,571 - £14,876 | 19% |
| Basic | £14,877 - £26,561 | 20% |
| Intermediate | £26,562 - £43,662 | 21% |
| Higher | £43,663 - £75,000 | 42% |
| Advanced | £75,001 - £125,140 | 45% |
| Top | Over £125,140 | 48% |
Scottish taxpayers generally pay slightly more tax.
Key Takeaways
- Know your marginal rate — understand what you keep from extra earnings
- Pension contributions — reduce tax and NI, especially via salary sacrifice
- Student loan — factor into budget if applicable
- £100k trap — 62% marginal rate makes pension contributions very valuable
- Check your tax code — errors are common
For related tools, see our salary sacrifice calculator and income tax calculator.