💷 UK Take-Home Pay Calculator

Your take-home pay — also known as net pay — is the amount of money that actually lands in your bank account after all deductions have been removed from your gross salary. For UK employees, this means subtracting income tax, National Insurance contributions (NICs), student loan repayments and pension contributions. Understanding your take-home pay is essential for budgeting, comparing job offers, negotiating salary, and planning major financial commitments such as a mortgage or rental agreement.

This calculator covers the four main deductions that appear on a typical UK payslip for the 2026/27 tax year. First, income tax is calculated using the progressive band system, including the Personal Allowance of £12,570 and its taper above £100,000. You can choose between England/NI/Wales rates or Scottish rates. Second, Class 1 employee NICs are charged at 8% on earnings between £12,570 and £50,270, and 2% above £50,270. Third, student loan repayments are deducted based on your plan type and threshold, with rates ranging from 6% to 9%.

Student loans in the UK are repaid through the tax system. Plan 1 (for borrowers who started before 2012 in England and Wales, or who live in Scotland or Northern Ireland) charges 9% on income above £25,000. Plan 2 (for English and Welsh borrowers who started between 2012 and 2022) charges 9% above £28,470. Plan 4 (for Scottish borrowers since 2022) charges 9% above £26,065. Plan 5 (for English borrowers starting from September 2023) charges 9% above £25,000. Postgraduate loans charge 6% above £21,000. If you have both a Plan 1 or Plan 2 and a postgraduate loan, both deductions apply simultaneously.

Finally, pension contributions reduce your take-home pay directly but also provide tax relief. Under auto-enrolment rules, the minimum employee contribution is 5% of qualifying earnings and the minimum employer contribution is 3%. Many employers offer higher matching contributions, and salary sacrifice arrangements can further reduce both your tax and NIC bills. This calculator assumes the pension contribution is deducted from your gross salary before tax is applied (net-pay arrangement). For informational purposes only — always check your payslip for exact figures.

The calculator applies all four deductions in sequence. First, pension contributions are deducted from gross salary to find adjusted net income for tax purposes. Then income tax is calculated using the selected region's bands, including the Personal Allowance taper if income exceeds £100,000. Employee NICs are calculated on gross earnings (before pension deduction, unless using salary sacrifice). Student loan repayments are calculated on gross income (not reduced by pension) above the plan threshold. The net take-home pay is gross salary minus all four deductions.

Student Loan Repayment Thresholds 2026/27

1. Enter your gross annual salary before any deductions.
2. Select your region — England, Northern Ireland, Wales, or Scotland.
3. Choose your student loan plan type, or select None if you do not have a student loan.
4. Enter your pension contribution as a percentage of your gross salary.
5. Click the Calculate button to see your full gross-to-net breakdown.

What deductions are included in take-home pay?

This calculator includes four main deductions — income tax, Class 1 employee NICs, student loan repayments and pension contributions. It does not include other deductions such as childcare voucher sacrifices, cycle-to-work schemes, court orders, union dues or private health insurance, which may also appear on your payslip.

How does the pension contribution affect my tax?

The calculator deducts your pension contribution from your gross salary before applying income tax bands (net-pay arrangement). This means higher-rate taxpayers get 40% or 45% tax relief on pension contributions automatically. If you are in a relief-at-source scheme, basic-rate relief is added to your pension pot by HMRC, and you must claim higher-rate relief via self-assessment.

Which student loan plan am I on?

Plan 1 applies to borrowers who started before September 2012 in England and Wales, or who live in Scotland or Northern Ireland. Plan 2 applies to English and Welsh borrowers who started between September 2012 and August 2022. Plan 4 is for Scottish borrowers since April 2022. Plan 5 is for English borrowers starting from September 2023. Postgraduate loans are separate. Check your payslip or GOV.UK for confirmation.

What is auto-enrolment minimum pension contribution?

Under auto-enrolment rules, the minimum total contribution is 8% of qualifying earnings, of which at least 5% must come from the employee and at least 3% from the employer. Many employers offer higher matching contributions. This calculator defaults to 5% employee contribution but you can adjust it.

Does this calculator include the Personal Allowance taper?

Yes. If your adjusted net income (gross salary minus pension contributions) exceeds \u00A3100,000, the calculator automatically reduces your Personal Allowance by \u00A31 for every \u00A32 above that threshold, until it reaches zero at \u00A3125,140.

Are Scottish income tax bands included?

{'Yes. When you select Scotland, the calculator applies the six-band Scottish income tax system': '19% starter, 20% basic, 21% intermediate, 42% higher, 45% advanced and 48% top rate.'}

This tool is for informational purposes only and does not constitute financial advice. Consult a qualified financial professional for advice specific to your situation.

When comparing job offers, always compare take-home pay rather than gross salary, because the same gross figure can result in very different net amounts depending on pension arrangements and student loan plans. For example, a 5% pension contribution on a £40,000 salary reduces take-home pay by £2,000 but also saves £800 in tax and NICs. Salary sacrifice can amplify these savings further by also reducing employer NICs.

If you earn between £100,000 and £125,140, increasing your pension contribution is especially powerful because it restores some of your Personal Allowance, effectively giving you 60% tax relief on the additional contribution. For student loans, remember that repayments are based on gross income, not take-home pay, so a salary increase can trigger repayments even if your net pay barely changes. Use our UK Income Tax Calculator and NIC Calculator for detailed breakdowns of individual deductions.