Tax & take-home pay
Take-home pay calculator (2026/27)
See exactly how much of your salary hits your bank account after Income Tax, National Insurance and your pension contribution. 2026/27 rates for England, Wales and Northern Ireland.
- Annual take-home
- £34,120
- Monthly
- £2,843.30
- Effective deduction
- 24.2%
| Gross salary | £45,000 |
|---|---|
| Pension contributionnet pay | −£2,250 |
| Personal AllowanceStandard £12,570 | £12,570 |
| Income Tax£6,036 @ 20% · £0 @ 40% · £0 @ 45% | −£6,036 |
| National InsuranceEmployee Class 1 (8% / 2%) | −£2,594 |
| Take-home pay | £34,120 |
2026/27 rates for England, Wales and Northern Ireland. Scotland uses different income tax bands. Assumes standard tax code 1257L, no student loan and no other income. The taper of the Personal Allowance between £100,000 and £125,140 is included.
How it works
- Income tax is charged in bands: 0% up to £12,570 (your Personal Allowance), 20% from £12,571–£50,270, 40% from £50,271–£125,140, and 45% above.
- Above £100,000 your Personal Allowance is reduced by £1 for every £2 of income, so it disappears entirely at £125,140 — creating an effective 60% marginal rate in that band.
- National Insurance for employees is 8% on earnings from £12,570–£50,270 and 2% on earnings above that.
- Pension contribution type matters: salary sacrifice also reduces National Insurance, net pay reduces taxable income but not NI, and relief at source is paid from your net salary with 20% basic-rate relief added by the provider.
Common questions
- Why is the effective rate higher than my tax band?
- Because National Insurance, the loss of the Personal Allowance above £100k, and any pension contribution all reduce take-home pay — the headline 20% or 40% is only one component.
- Does this include student loan repayments?
- No. Plan 1, 2, 4 and 5 student loans and the Postgraduate Loan all reduce take-home pay further. We do not include them to keep the calculator focused.
- What about the £100,000 trap?
- Above £100,000, every £1 of income costs 40p in tax plus 20p of lost allowance, plus 2p of NI — an effective 62% marginal rate. Pension contributions can pull your 'adjusted net income' back below £100,000.