Salary Tax and Net Income Calculator
UK take-home pay from a gross salary using the actual income tax bands, National Insurance, pension and student loan rules for the current tax year.
- Free, no sign-up
- Runs in your browser, nothing is stored
- 2026/27 rates, reviewed 2nd September 2026
Salary, Tax and Take-Home Pay Calculator
Enter your figures to see results.
How much of my salary will I take home?
On a £38,000 salary in England with a 5% pension, you take home about £2,447 a month after income tax and National Insurance. Tax is charged in bands above the £12,570 personal allowance; NI is 8% between £12,570 and £50,270 and 2% above. Scotland has its own tax bands, and student loans come off through payroll too.
How to use this calculator
- Enter your gross annual salary before any deductions.
- Choose where you pay tax. Scotland has different income tax bands.
- Set your pension percentage and student loan plan, if any, to see monthly, weekly and annual take-home pay with a full breakdown.
What your result means
How to read the figure, what counts as normal, and what to do about it.
How UK take-home pay is worked out
Three separate deductions come off a UK salary before it reaches your bank account, and each uses its own thresholds.
Income tax is charged on income above the personal allowance of £12,570, in bands. In England, Wales and Northern Ireland the bands are 20%, 40% and 45%; Scotland sets its own six bands from 19% to 48%. Above £100,000 the personal allowance is withdrawn at £1 for every £2, which is why the effective rate between £100,000 and £125,140 is 60%.
National Insurance (Class 1) is 8% on earnings between £12,570 and £50,270 and 2% above that. It is the same across the UK and, unlike income tax, is calculated per pay period rather than cumulatively.
Pension contributions under auto-enrolment are normally taken before tax, so they reduce your income tax but not (unless via salary sacrifice) your National Insurance.
Student loan repayments are 9% of earnings above the plan threshold (6% for postgraduate loans) and are collected through PAYE.
Rates and thresholds used
| England, Wales & NI | Band (taxable income) | 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% |
| Scotland | Band (taxable income) | Rate |
|---|---|---|
| Starter | £12,571 – £16,537 | 19% |
| Basic | £16,538 – £29,526 | 20% |
| Intermediate | £29,527 – £43,662 | 21% |
| Higher | £43,663 – £75,000 | 42% |
| Advanced | £75,001 – £125,140 | 45% |
| Top | over £125,140 | 48% |
Employee National Insurance: 8% from £12,570 to £50,270, then 2%. The personal allowance and thresholds are frozen until April 2031, so "fiscal drag" pulls more of each pay rise into tax every year.
For employers
This calculator shows what your employee receives. What the job costs you is different: add employer National Insurance at 15% above £5,000, your pension contribution and any benefits. The true cost of an employee calculator works that out.
Worked example: £38,000 in England with a 5% pension
Pension contribution: 5% × 38,000 = £1,900, deducted before tax.
Taxable income: 38,000 − 1,900 − 12,570 = £23,530, all in the basic-rate band. Income tax: 20% × 23,530 = £4,706.
National Insurance: 8% × (38,000 − 12,570) = £2,034.40.
Take-home: 38,000 − 1,900 − 4,706 − 2,034.40 = £29,359.60 a year, or about £2,447 a month. Tax and NI together take 17.7% of gross pay.
Frequently asked questions
Why is my payslip different from this figure?
Usually a non-standard tax code (underpaid tax from a previous year, benefits in kind, or a second job), a salary-sacrifice arrangement, or NI being calculated per pay period. Check the code on your payslip against 1257L.
What is the 60% tax trap?
Between £100,000 and £125,140 you lose £1 of personal allowance for every £2 earned, so each extra £1 is taxed at 40% plus the tax on the allowance you lose: an effective 60%, plus 2% NI. Pension contributions that bring adjusted income back under £100,000 avoid it entirely.
Does a bonus get taxed more?
No, but it can look that way. A bonus is taxed at your marginal rate in the month it is paid and may temporarily push you into a higher band; PAYE evens this out over the year. Only if the bonus lifts your annual income into a higher band does more tax actually apply.
How much does a pay rise really add?
At basic rate, each extra £100 of salary is worth £72 after 20% tax and 8% NI. At higher rate it is £58 (40% + 2%). In Scotland the intermediate and higher bands make it £71 and £56 respectively.
Are these the current tax year's figures?
Yes. The tax year and review date are shown beneath the calculator. Rates are stored in one place and updated when HMRC publishes changes.
The maths behind this calculator
For anyone who wants to check the working or rebuild it in a spreadsheet.
Assumptions and limits
- You have the standard tax code (1257L) and no other income, benefits in kind or adjustments. Company cars, private medical insurance and other benefits reduce your allowance.
- Pension contributions are treated as reducing taxable pay (net pay or relief-at-source arrangements). Salary sacrifice would also reduce National Insurance and give a slightly higher take-home.
- National Insurance is calculated on an annual basis. Real PAYE calculates it per pay period, so someone with uneven pay through the year may pay slightly more.
- Marriage allowance, blind person's allowance, child benefit charge and Scottish student loan differences for people who moved region are not modelled.
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