Net salary calculator

Convert a UK gross salary to monthly take-home pay after Income Tax, National Insurance and an optional student-loan plan, at 2026/27 rates.

Result
£2,453
monthly net · £29,440 annual
Income Tax (20/40/45%)£391
National Insurance (8% / 2%)£156

About this tool

Why use this tool

The net salary calculator converts a gross salary into your monthly take-home pay after HMRC deductions. It's an essential tool when negotiating a job offer, comparing two positions in different cities, preparing a career change or simply checking your payslip. In the UK, Income Tax and National Insurance combine with student loan repayments and pension contributions to make the gross-to-net journey far from straightforward.

How it works

The calculator applies the 2026/27 Personal Allowance (£12,570, tapered away above £100,000) and Income Tax bands (20% basic to £50,270, 40% higher to £125,140, 45% additional above), plus employee Class 1 National Insurance at 8% between £12,570 and £50,270 then 2%. Thresholds are frozen until April 2031. You can add a student-loan repayment (9% above the plan threshold: Plan 1 £26,900, Plan 2 £29,385, Plan 5 £25,000 for 2026/27). England, Wales and Northern Ireland rates only — Scottish Income Tax bands differ. Auto-enrolment workplace-pension contributions (typically 5% of qualifying earnings) are not modelled by default.

Real example

An employee earning £45,000 gross per year in England pays £6,486 in Income Tax (20% on the £32,430 above the Personal Allowance) and £2,594 in National Insurance (8% on the same band), for a take-home of about £35,920 a year — roughly £2,993 per month, with no student loan. Adding a 5% workplace pension contribution shifts £2,250 into retirement savings and reduces the Income Tax bill through salary sacrifice or relief-at-source, depending on the scheme.

Practical tips

Consider total reward, not just salary: employer pension match, private medical insurance (BUPA, Vitality), life assurance, income protection, cycle-to-work schemes and season-ticket loans all add value. Maximise your employer pension match first — it's a guaranteed return. Use a Lifetime ISA if you're saving for a first home and under 40. Check whether your employer offers salary sacrifice for pensions, EVs or childcare vouchers to reduce your tax bill legally.

Disclaimer

This calculator provides an indicative estimate based on standard tax codes and rUK bands. Your actual take-home depends on your tax code, Scottish residency, student loan plan, pension contributions, benefits in kind and other deductions. For an exact figure, refer to your latest payslip, the HMRC personal tax account or speak to a qualified accountant. This tool has no contractual value.

Frequently asked questions

What is taken off my gross pay?
Two main deductions: Income Tax and employee Class 1 National Insurance. Income Tax uses the £12,570 Personal Allowance then 20% up to £50,270, 40% up to £125,140 and 45% above. These thresholds are frozen until April 2031. Pension contributions and student loan repayments, where they apply, come off as well.Source: GOV.UK — Income Tax rates
How is National Insurance calculated?
Employees pay Class 1 National Insurance at 8% on earnings between £12,570 and £50,270 a year, then 2% on anything above. It is worked out per pay period rather than annually, so a one-off bonus can be charged more NI than a steady salary of the same yearly total.Source: GOV.UK — National Insurance rates
How do student loan repayments work?
If you add a plan, repayment is 9% of everything you earn above the plan threshold: for 2026/27 that is £26,900 for Plan 1, £29,385 for Plan 2 and £25,000 for Plan 5 (Plan 5 repayments start from April 2026). A Postgraduate Loan, charged at 6% above £21,000, stacks on top and is not modelled here.Source: GOV.UK — repaying your student loan
Does this work for Scotland?
Not exactly. Scottish taxpayers pay Income Tax on a different set of bands and rates set by the Scottish Government, so the Income Tax figure here (England, Wales and Northern Ireland) will be off. National Insurance is UK-wide and unchanged.Source: gov.scot — Income Tax
Why is my Personal Allowance sometimes lower than £12,570?
The Personal Allowance is reduced by £1 for every £2 of income above £100,000, so it disappears entirely at £125,140. That creates an effective 60% marginal rate on the band between £100,000 and £125,140. Salary-sacrifice pension contributions are a common way to stay under £100,000.Source: GOV.UK — Income Tax rates