UK Take-Home Pay Calculator 2026/27
Last Updated7 May 2026 · HMRC 2026/27 rates
Calculate your exact monthly and annual take-home pay after Income Tax, National Insurance, pension contributions and student loan deductions.
💰 Your Salary
Your gross salary before any deductions.
Default is 1257L. Check your payslip if unsure.
⏰ Overtime
Total overtime earnings before tax.
Rate type is for reference. Tax is calculated on total overtime earnings.
🏆 Pension
Enter your total contribution percentage.
✅ Deductions
Affects National Insurance if over State Pension age (66+).
📊 Your Take-Home Pay
Monthly Take-Home
£0
£0 per year
£0
Income Tax
£0
National Insurance
0%
Effective Tax Rate
💰 Annual Breakdown
📅 Monthly Breakdown
Tax Year 2026/27 Rates
Personal Allowance £12,570 | Basic Rate 20% (£12,571-£50,270) | Higher Rate 40% (£50,271-£125,140) | Additional Rate 45% (£125,140+) | NIC 8% (£12,570-£50,270) | NIC 2% (£50,270+)
Tax Code Checker →Make sure your tax code is correct before calculating your pay.
Student Loan Repayment Calculator →See how much of your student loan you'll actually pay off.
Second Job Tax Calculator →Working two jobs? See your combined take-home pay.
How UK Take-Home Pay Is Calculated
Your payslip deductions follow a strict order set by HMRC. Understanding this order helps you spot errors and plan your finances accurately.
| Step | Deduction | 2026/27 Rule |
|---|---|---|
| 1 | Pension (Salary Sacrifice) | Deducted before tax. Reduces taxable income. |
| 2 | Personal Allowance | £12,570 tax-free (tapered above £100,000) |
| 3 | Income Tax | 20% / 40% / 45% on remaining income |
| 4 | National Insurance | 8% on £12,570-£50,270; 2% above |
| 5 | Student Loan | 9% (Plan 1-5) or 6% (Postgrad) above threshold |
| 6 | Pension (Relief at Source) | Contributed from net pay; tax relief claimed by provider |
Salary sacrifice is the most tax-efficient pension method because it reduces both your taxable income AND your National Insuranceable earnings. A £100/month sacrifice saves you £20 Income Tax + £8 NI = £28 total, meaning it only "costs" you £72 from take-home pay.
Frequently Asked Questions
Why is my take-home pay different from this calculator?
Common reasons: wrong tax code, company benefits in kind (car, medical insurance), previous underpayment being collected, or additional deductions like cycle-to-work schemes. Always check your payslip tax code against our Tax Code Checker.
What is a K tax code and how does it affect pay?
A K code means you owe more tax than your Personal Allowance covers. Instead of a tax-free amount, HMRC adds the K amount to your taxable income. For example, K500 adds £5,000 to your taxable pay, significantly reducing take-home.
Do pension contributions reduce my student loan repayments?
It depends on the pension type. Salary sacrifice pensions reduce your gross salary, which reduces student loan repayments. Relief at source pensions do NOT reduce student loan repayments because they're deducted after the loan calculation.
What happens when I earn over £100,000?
Your Personal Allowance is tapered by £1 for every £2 you earn above £100,000. At £125,140, your allowance is completely gone. This creates an effective 60% tax rate between £100,000 and £125,140. Pension contributions and salary sacrifice are highly effective in this band.