Salary Calculator 2026/27 — UK Take-Home Pay

Calculate Your Take-Home Pay

Your Salary

Pay Period

Pension Contribution (%) Salary sacrifice reduces tax and NI

Student Loan

Gross Salary	—
Income Tax	—
National Insurance	—
Pension (salary sacrifice)	—
Student Loan Repayment	—
Take-Home Pay	—

Effective tax rate (income tax + NI): —

How the Salary Calculator Works

This calculator uses HMRC's 2026/27 rates to calculate your take-home pay from gross salary. It applies income tax bands, National Insurance contributions, salary sacrifice pension relief, and student loan repayments in the correct order.

Income Tax 2026/27

You pay no income tax on the first £12,570 (your personal allowance). Above that, tax is charged in bands — not on your entire salary. The basic rate (20%) applies on earnings from £12,571 to £50,270. The higher rate (40%) applies on earnings from £50,271 to £125,140. Only earnings above £125,140 are taxed at the additional rate of 45%.

If your salary exceeds £100,000, your personal allowance is tapered — losing £1 for every £2 earned over £100,000. This creates an effective 60% marginal rate between £100,000 and £125,140.

National Insurance (Employee) 2026/27

Employees pay 8% NI on earnings between £12,570 and £50,270, and 2% on earnings above £50,270. There is no NI on earnings below £12,570. Unlike income tax, NI is not affected by the personal allowance taper.

Pension via Salary Sacrifice

If you contribute to a pension via salary sacrifice, your gross salary is reduced before tax and NI are calculated — saving both income tax (at your marginal rate) and National Insurance. A basic-rate taxpayer saves £28 per £100 contributed; a higher-rate taxpayer saves £42 per £100.

Student Loan Repayments

Repayments are calculated as a percentage of earnings above the threshold for your plan. Plan 1 and Plan 2 repayments are 9% above the relevant threshold. Postgraduate repayments are 6% above £21,000. Repayments are deducted after income tax and NI.

Your actual payslip may differ due to a non-standard tax code, benefits in kind (company car, private medical), prior-year underpayments, or Scottish income tax rates. This calculator assumes the standard 1257L tax code for England, Wales and Northern Ireland.

No — Scotland has its own income tax rates set by the Scottish Parliament, with different bands and rates. Scottish taxpayers pay income tax at 19%, 20%, 21%, 42% and 48% depending on their income level. NI rates apply UK-wide and are the same in Scotland.

Salary sacrifice pension contributions are the single most efficient way to reduce your tax bill — they save income tax AND National Insurance simultaneously. For a higher-rate taxpayer, every £1,000 contributed costs only £580 from take-home pay. Use the pension field above to model the impact on your specific salary.

If you have two jobs, the personal allowance is usually applied to your primary job. Your secondary job income is typically taxed from the first pound at basic rate (or higher). HMRC will issue a tax code for each job. Run this calculator for each job separately and consult HMRC or an accountant for the combined picture.

UK Salary Calculator 2026/27