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How Much Is My Student Loan Repayment Each Month?

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By Rasika F.
Updated July 2026 • PayToolkit
Repayment thresholds and rates by plan type | Updated 5 September 2026
Last Updated5 September 2026

Quick Answer

You repay a percentage of your income above your plan's threshold — usually 9% for undergraduate plans, or 6% for Postgraduate Loans. The percentage only applies to earnings above the threshold, not your whole salary.

Repayment Plans and Thresholds

Which plan you're on depends on when and where you studied: Plan 1, Plan 2, Plan 4 (Scotland), Plan 5, or a Postgraduate Loan, each with its own threshold and rate. You can check your plan type on your Student Finance online account if you're unsure.

How It's Calculated

Your employer deducts the repayment automatically through payroll, based on your earnings above the threshold for that pay period, at the rate for your plan (usually 9%, or 6% for Postgraduate Loans, and both together if you have two loan types).

Worked Example

On Plan 2 with a threshold of roughly £28,470 a year, if you earn £35,000, you repay 9% of the £6,530 above the threshold — around £587.70 a year, or roughly £49 a month, deducted automatically through payroll.

Multiple Jobs or Self-Employment

Each employer calculates repayments independently based on what they pay you, which can under- or over-collect compared to your true combined liability. This is reconciled at year-end, sometimes via Self Assessment. Self-employed borrowers repay through Self Assessment based on total income for the year.

Frequently Asked Questions

How is my student loan repayment calculated?
A percentage (usually 9%, or 6% for Postgraduate Loans) of income above your plan's threshold, not your whole income.
What are the different student loan plans?
Plan 1, Plan 2, Plan 4, Plan 5 and Postgraduate Loans each have different thresholds and rates.
Do I repay if I have more than one job?
Yes, each employer calculates separately, which is reconciled at year-end against your true combined liability.
How do self-employed people repay student loans?
Through Self Assessment, based on total annual income above the threshold, alongside Income Tax and NI.

Sources & Methodology

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