Take-Home Pay Calculator

Calculate your net salary after income tax and National Insurance deductions for the 2026/27 UK tax year. See exactly how much you will take home.

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Your take-home pay

£27,460per year
£2,288.30 /month£528.07 /week
Take Home Income Tax National Insurance Pension
ItemAnnualMonthly
Gross Salary£35,000£2,916.67
Pension Contribution-£1,750-£145.83
Personal Allowance: £12,570
Income Tax-£4,136-£344.67
National Insurance-£1,654-£137.87
Take-Home Pay£27,460£2,288.30

Effective Tax Rate

16.5%

Marginal Rate

20%

Daily Take-Home

£105.61

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2026/27 Income Tax Bands

These are the income tax bands for England, Wales, and Northern Ireland. Scottish taxpayers have different rates and bands.

BandTaxable IncomeTax Rate
Personal AllowanceUp to £12,5700%
Basic Rate£12,571 to £50,27020%
Higher Rate£50,271 to £125,14040%
Additional RateOver £125,14045%

How Your Take-Home Pay Is Calculated

Your take-home pay is the amount you receive after all mandatory deductions have been taken from your gross salary. The current rates are set by HMRC. In the UK, the main deductions are income tax and National Insurance contributions. If you have a student loan or make pension contributions, these are also deducted.

The calculation starts with your gross annual salary. If you make pension contributions through salary sacrifice, these are deducted first, reducing the amount on which you pay tax and National Insurance. Your personal allowance of £12,570 is then applied, meaning you pay no income tax on this portion of your earnings.

The 60% tax trap

If you earn between £100,000 and £125,140, your personal allowance is gradually reduced by £1 for every £2 above £100,000. Combined with the 40% higher rate, this creates an effective marginal tax rate of 60%. One common strategy is to increase pension contributions to bring your adjusted net income below £100,000. Use our Salary Calculator to model different scenarios.

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2026/27 Tax Rates at a Glance

20%

Basic rate (up to £37,700)

40%

Higher rate (£37,701-£125,140)

45%

Additional rate (above £125,140)

Income above your personal allowance is taxed at progressive rates. You only pay each rate on the portion of income that falls within that band. Scotland has its own rates with six bands ranging from 19% to 48%, set by the Scottish Parliament.

National Insurance for 2026/27 is charged at 8% on earnings between £12,570 and £50,270, and 2% above that. The primary threshold is aligned with the personal allowance, so you start paying both income tax and NI at the same point.

Student Loan Repayments

If you have a student loan, repayments are deducted from your salary once you earn above the relevant threshold. Plan 1 (pre-2012) has a threshold of £24,990, Plan 2 (post-2012) is £27,295, Plan 4 (Scotland) is £31,395, and Plan 5 (post-2023) is £25,000. The repayment rate is 9% of earnings above the threshold. Postgraduate loans are repaid at 6% above £21,000.

Use our Salary and Student Loan Calculator for a detailed breakdown of how your student loan affects your take-home pay, or check the Inflation Calculator to see how the real value of your salary has changed over time.

How to use this Calculator Site tool

Enter your gross salary above, choose your pay period (annual, monthly, weekly, or hourly), select your student loan plan if applicable, and set your pension contribution percentage. The calculator instantly shows your take-home pay with a full breakdown of income tax, National Insurance, and all other deductions for the 2026/27 tax year. Toggle the Scotland option if you pay Scottish income tax rates.

Frequently Asked Questions

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