How your take-home pay is worked out
Take-home pay is your salary minus four things: Income Tax, National Insurance, any pension contribution and any student loan repayment. The calculator applies the 2026/27 rates below in this order.
- Pension. Salary sacrifice comes off first, so you pay no tax or NI on it. Net-pay pensions come off before tax but not NI. Relief-at-source pensions come out of your pay after tax, and your provider adds 20% tax relief.
- Personal Allowance. The first £12,570 is tax-free, unless you earn over £100,000.
- Income Tax on the rest, in bands (below).
- National Insurance at 8% on earnings between £12,570 and £50,270, and 2% above that.
- Student loans at 9% of earnings over your plan's threshold, plus 6% for a postgraduate loan.
Example: £35,000 with a 5% salary sacrifice pension
| Salary | £35,000.00 |
| Pension (salary sacrifice) | −£1,750.00 |
| Income Tax | −£4,136.00 |
| National Insurance | −£1,654.40 |
| Take-home pay | £27,459.60 a year (£2,288.30 a month) |
|---|
Income Tax rates 2026/27: England, Wales and Northern Ireland
| Band | Salary | 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% |
Income Tax rates 2026/27: Scotland
Scotland sets its own Income Tax bands. National Insurance and student loans are the same across the UK.
| Band | Salary | 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% |
Student loan thresholds 2026/27
| Plan | You repay on earnings over | Rate |
|---|---|---|
| Plan 1 | £26,900 | 9% |
| Plan 2 | £29,385 | 9% |
| Plan 4 (Scotland) | £33,795 | 9% |
| Plan 5 | £25,000 | 9% |
| Postgraduate loan | £21,000 | 6% |
What this calculator assumes
- You're an employee on a standard
1257Ltax code (or its Scottish equivalent), paid the same every period. - The pension percentage is your own contribution on your whole salary. Employer contributions don't affect take-home pay.
- Relief-at-source figures include only the automatic 20% relief. Higher and additional-rate taxpayers can claim more through Self Assessment.
- It doesn't cover benefits in kind, Marriage Allowance, Blind Person's Allowance, self-employment or other income.
Want a quick answer for a round number? See the salary after tax table, with a full breakdown for every salary from £15,000 to £200,000.
Rates are taken from GOV.UK's rates and thresholds for employers 2026/27.