UK take-home pay equals gross salary minus income tax (4 bands in England/Wales/NI; 6 bands in Scotland), National Insurance (8% / 2%), employee pension contributions, and any student loan repayment. The £100k–£125,140 Personal Allowance taper creates an effective 60%+ marginal rate band. This calculator handles all of it for FY 2025-26.
Scotland has its own income tax bands; England, Wales, and NI use the same UK-wide rates.
£
Reduces taxable income (net pay arrangement). Employer also contributes minimum 3%.
FY 2025-26. Tax year runs 6 April – 5 April. NIC rates updated 2024.
Take-home per month
£0
Annual take-home
£0
Effective rate
0%
Marginal rate
0%
⚠ In the £100k–£125,140 PA taper band: effective marginal rate is ~62% (rUK) / ~65% (Scotland).
The UK tax year runs 6 April to 5 April. Income tax
is set by Westminster for England, Wales, and Northern Ireland (rUK)
but separately by the Scottish Parliament for Scotland — giving two
parallel rate structures.
Bands for England, Wales, and Northern Ireland
Income
Rate
£0 – £12,570 (Personal Allowance)
0%
£12,571 – £50,270 (Basic rate)
20%
£50,271 – £125,140 (Higher rate)
40%
£125,141+ (Additional rate)
45%
Bands for Scotland
Income
Rate
£0 – £12,570 (Personal Allowance)
0%
£12,571 – £15,397 (Starter)
19%
£15,398 – £27,491 (Basic)
20%
£27,492 – £43,662 (Intermediate)
21%
£43,663 – £75,000 (Higher)
42%
£75,001 – £125,140 (Advanced)
45%
£125,141+ (Top)
48%
The 60% marginal rate trap (£100k–£125,140)
Your Personal Allowance is reduced by £1 for every £2
of income above £100,000, and fully lost at £125,140. Within this
band, you pay 40% on each extra £1 PLUS 40% on the £0.50 of PA you
just lost — an effective marginal rate of 60%
(62% including 2% NIC). In Scotland it's 63% (or 65% with NIC).
Pension salary sacrifice is the standard way to push income below the
£100k threshold and recover the lost PA.
National Insurance (Class 1 employee)
NIC was restructured in 2024 — the main rate dropped from 12% to
8%. Current rates for FY 2025-26:
Below £12,570: 0% (Primary Threshold matches PA)
£12,571 – £50,270: 8% (main rate)
Above £50,270: 2% (Upper Earnings Limit)
Workplace pension auto-enrolment
Most employed workers are auto-enrolled into a workplace pension.
Statutory minimum contributions:
Employee: 5% of qualifying earnings
Employer: 3% of qualifying earnings
Combined: 8% (legally mandated minimum)
"Qualifying earnings" = salary between £6,240 and £50,270 (FY 2025-26
thresholds). Employee contributions usually reduce taxable income
("net pay arrangement"), saving income tax at your marginal rate.
Student loan repayments
The UK has five student loan plans. All charge a flat marginal rate
above their threshold:
Plan
Threshold
Rate
Plan 1 (pre-2012 England/Wales; all NI)
£26,065
9%
Plan 2 (Sept 2012 – July 2023 E/W)
£28,470
9%
Plan 4 (Scotland)
£32,745
9%
Plan 5 (Aug 2023+ England)
£25,000
9%
Postgraduate
£21,000
6%
Repayments are deducted via PAYE alongside income tax + NIC. Multiple
loans (e.g., undergraduate + postgraduate) repay separately.
VAT
Standard rate: 20%. Reduced rate (5%) on some
categories like domestic fuel; zero rate (0%) on most food, books,
children's clothing.
Calculator is provided for estimation only and does not constitute
tax advice. Consult an accountant or HMRC for filing.
How UK take-home compares
Salary
England (rUK)
Scotland
Difference
£30,000
~£25,120
~£25,127
negligible
£50,000
~£39,000
~£38,700
~£300 in England's favour
£75,000
~£53,300
~£51,300
~£2,000 in England's favour
£100,000
~£67,800
~£64,500
~£3,300 in England's favour
£150,000
~£92,000
~£86,800
~£5,200 in England's favour
Indicative figures using 5% pension contribution and no student loan; actual outcomes depend on plan choices.
Frequently Asked Questions
What are the FY 2025-26 income tax bands?
England, Wales, NI: 0% on first £12,570 (Personal Allowance), 20% to £50,270, 40% to £125,140, 45% above. Scotland has 6 bands: 19% / 20% / 21% / 42% / 45% / 48%.
What is the £100k Personal Allowance trap?
Your Personal Allowance is reduced by £1 for every £2 of income above £100,000, and fully lost at £125,140. In this band, the effective marginal rate is ~62% (40% income tax + 20% effective PA loss + 2% NIC). Pension salary sacrifice is the standard way to reduce taxable income back below £100,000 and recover the lost PA.
Why is NIC only 8% now?
National Insurance Class 1 employee rates were restructured in 2024 — the main rate dropped from 12% to 8%. The Upper Earnings Limit rate remains 2%. The Primary Threshold (£12,570) is aligned with the Personal Allowance for simplicity.
How do I know which student loan plan I'm on?
Plan 1: started before September 2012 (England/Wales) or any time in Northern Ireland. Plan 2: started September 2012 – July 2023 in England/Wales. Plan 4: Scotland borrowers. Plan 5: started August 2023+ in England. Postgraduate: master's or doctoral loans in England/Wales. Multiple loans (e.g., undergrad + postgrad) are repaid simultaneously.
Should I salary-sacrifice into my pension?
Salary sacrifice gives you BOTH income tax AND NIC relief (vs net-pay arrangement which only gives income tax relief). For higher-rate taxpayers (above £50k), this can mean keeping 47% of every sacrificed pound. For taxpayers in the £100k-£125k taper band, the effective relief can exceed 60%. Check with your employer whether they offer salary sacrifice — not all do.
How does Scotland's tax compare to England?
Scotland has six bands vs four in England/Wales/NI. Below ~£28k Scotland is roughly equal; between £28k–£75k Scotland pays slightly more (21% intermediate vs 20% basic); above £43,663 Scotland's higher rate (42%) starts earlier than England's (40% from £50,270). At the very top, Scotland's 48% rate is the UK's highest. A £75k Scottish earner pays roughly £1,500 more income tax than the equivalent in England.
What does "qualifying earnings" mean for pension?
Auto-enrolment pension contributions are calculated on the slice of salary between £6,240 and £50,270 — not on your whole salary. So at 5% employee contribution on a £30k salary: 5% × (30k − 6,240) = £1,188/year (not 5% × £30k = £1,500). Some employer schemes use "total earnings" basis instead.
How accurate is this calculator?
It uses published FY 2025-26 HMRC rates: income tax bands (rUK and Scotland), NIC thresholds, all 5 student loan plans, and auto-enrolment pension minimums. It does NOT handle: salary sacrifice for benefits other than pension, child benefit high-income charge (HICBC), Marriage Allowance, blind person's allowance, complex tax codes. For HMRC filing, use the official self-assessment portal.