Take-Home Pay Calculator
Our free take-home pay calculator shows your exact net salary after every PAYE deduction for the 2026/27 tax year — income tax, National Insurance, pension contributions, and student loan repayments all calculated in one place.
Take-Home Pay Calculator
Calculate your exact take-home pay after tax and NI for 2026/27.
Based on 2026/27 UK tax rates. Does not include employer NI.
What Is Take-Home Pay?
Take-home pay — also called net pay or net salary — is the amount that lands in your bank account after your employer has deducted income tax, National Insurance (NI), and any other contributions such as workplace pension or student loan repayments. For most employees paid through PAYE, these deductions happen automatically before you receive a penny.
Understanding the gap between your gross salary and your net pay is essential for budgeting, negotiating a pay rise, or assessing a new job offer. A £40,000 salary and a £45,000 salary feel very different on paper, but the difference in take-home pay is smaller than most people expect — because higher earnings are also taxed more heavily.
What Deductions Reduce Your Take-Home Pay?
Three main deductions apply to most UK employees in 2026/27. Income tax is charged at 20% on taxable income up to £50,270, 40% up to £125,140, and 45% above that. Everyone receives a tax-free Personal Allowance of £12,570. National Insurance costs employees 8% on earnings between £12,570 and £50,270, and 2% above that. Pension contributions under auto-enrolment reduce your taxable pay, which actually saves you income tax and NI on the amount you contribute — making pension saving more efficient than many people realise.
If you have a student loan, repayments are deducted through PAYE once your income exceeds your plan threshold — £26,900 for Plan 1, £29,385 for Plan 2, and £25,000 for Plan 5 in 2026/27. These repayments do not reduce your income tax bill but do reduce your cash take-home.
Take-Home Pay Example for 2026/27
On a gross salary of £35,000, here is how the deductions break down:
- Taxable income: £35,000 − £12,570 Personal Allowance = £22,430
- Income tax (20% on £22,430): £4,486
- National Insurance (8% on £22,430): £1,794
- Monthly take-home (no pension or student loan): £2,393
Add a 5% pension contribution and the picture changes: the £1,750 pension contribution reduces taxable pay, saving roughly £590 in combined tax and NI — so your pension costs you £1,160 net, not the full £1,750. If you want to model the impact of pension contributions precisely, our Salary Sacrifice Calculator shows the exact savings.
How the Calculator Works
Enter your annual gross salary and select your pay frequency — the calculator works equally well for weekly, fortnightly, four-weekly, and monthly pay. Choose England, Wales, Northern Ireland, or Scotland; Scottish taxpayers face different band rates and will see a separate breakdown. Tick the Scotland box if your main home is in Scotland for tax purposes.
The pension field accepts a percentage of gross salary. Student loan options cover all five repayment plans plus the Postgraduate Loan. The calculator applies each deduction in the correct order and displays your net pay annually, monthly, and weekly.
Frequently Asked Questions
The most common reason is a non-standard tax code. If your tax code is anything other than 1257L (the standard 2026/27 code for most employees), your actual deductions will differ. Emergency tax codes (W1, M1) or codes with adjustments for benefits in kind can significantly change your monthly net pay. Check your payslip for the tax code your employer is using.
Yes. Enter your employee pension contribution as a percentage of gross salary. Salary sacrifice pension contributions are particularly efficient because they reduce your gross pay before tax and NI are calculated — meaning you save both income tax and National Insurance on every pound contributed, not just income tax.
National Insurance is the second-largest deduction for most employees. In 2026/27, you pay 8% on earnings between £12,570 and £50,270, and 2% above £50,270. Unlike income tax, there is no personal allowance style relief — NI starts at the same £12,570 threshold. Use our National Insurance Calculator to see your NI liability in isolation.
Yes — take-home pay, net pay, and net salary all refer to the same thing: your gross salary minus all statutory and voluntary deductions. Some employers also make voluntary deductions such as cycle-to-work scheme instalments or additional voluntary pension contributions, which would reduce take-home pay further.
Yes. Enter your total annual gross earnings regardless of how your contract is structured. If you are paid hourly, multiply your hourly rate by your expected annual hours first. The calculator then shows your monthly and weekly net equivalents.
Gross pay is your total earnings before any deductions. Taxable pay is gross pay minus any pre-tax deductions such as salary sacrifice pension contributions or cycle-to-work payments. Income tax and National Insurance are calculated on taxable pay, not gross pay — which is why salary sacrifice schemes reduce your tax bill.
Enter your gross salary as the full pre-deduction figure. Select your pay period — annual, monthly, weekly, or hourly. The personal allowance defaults to £12,570 for 2026/27 but can be adjusted for non-standard tax codes. Pension contributions entered as a percentage reduce taxable income, reflecting relief at source or net pay arrangements. Student loan repayments are deducted automatically once you select your plan. The result shows each deduction itemised — income tax, NI, pension, student loan — and take-home at every frequency. Compare the result against your actual payslip: small differences usually indicate a non-standard tax code, mid-year adjustment, or benefit in kind on your code.
Important Information
This calculator is provided for general information and planning purposes only. It does not constitute financial or tax advice and should not be relied upon as such. Figures are indicative estimates based on simplified, publicly available criteria and stated assumptions. Actual results depend on your full circumstances. See our Disclaimer for further information.