UK Tax Calculator 2025-26
Calculate your take-home pay, income tax, and National Insurance for the 2025-26 tax year with official HMRC rates. This calculator includes income tax bands for England, Wales, Northern Ireland, and Scotland, plus student loan repayments and Child Benefit considerations.
UK Tax & Take-Home Calculator
Your Tax Calculation Results (2025-26)
Monthly Breakdown
UK Income Tax Rates & Bands for 2025-26
If you live in England, Wales, or Northern Ireland, your income tax is calculated using these bands for the 2025-26 tax year:
| Tax Band | Taxable Income | Tax Rate | Notes |
|---|---|---|---|
| Personal Allowance | £0 - £12,570 | 0% | Tax-free income for most people |
| Basic Rate | £12,571 - £50,270 | 20% | Most common tax band |
| Higher Rate | £50,271 - £125,140 | 40% | Applies to higher earners |
| Additional Rate | £125,140+ | 45% | Top earners pay this rate |
If you live in Scotland, your income tax is calculated using these different bands for the 2025-26 tax year:
| Tax Band | Taxable Income | Tax Rate | Notes |
|---|---|---|---|
| Personal Allowance | £0 - £12,570 | 0% | Tax-free income - same as rest of UK |
| Starter Rate | £12,571 - £15,397 | 19% | Lower initial rate for Scottish taxpayers |
| Scottish Basic Rate | £15,398 - £27,491 | 20% | Standard rate for moderate earners |
| Intermediate Rate | £27,492 - £43,662 | 21% | Middle-income band |
| Higher Rate | £43,663 - £75,000 | 42% | Higher earners in Scotland |
| Advanced Rate | £75,001 - £125,140 | 45% | Advanced earners |
| Top Rate | £125,140+ | 48% | Highest earners in Scotland |
Income Tax Calculation Formula
The UK uses a marginal tax system, meaning you only pay the specified tax rate on income that falls within each band:
Example Calculation
If you earn £50,000 with a standard Personal Allowance of £12,570:
- Taxable Income = £50,000 - £12,570 = £37,430
- Income Tax = £37,430 × 20% = £7,486
- You pay 20% because all your taxable income falls in the basic rate band
National Insurance Contributions (2025-26)
National Insurance funds state benefits including the State Pension, Maternity Allowance, and other benefits. For the 2025-26 tax year, here are the key rates:
Employee National Insurance Rates
| Earnings Level (Weekly) | Earnings Level (Annual) | NI Rate |
|---|---|---|
| Up to £242 | Up to £12,570 | 0% |
| £242.01 - £967 | £12,571 - £50,270 | 8% |
| Over £967 | Over £50,270 | 2% |
Employer National Insurance Rates (2025-26)
Employers pay National Insurance on employees' earnings above the Secondary Threshold:
| Earnings Level (Weekly) | Earnings Level (Annual) | NI Rate |
|---|---|---|
| Up to £96 | Up to £5,000 | 0% |
| Over £96 | Over £5,000 | 15% |
Student Loan Repayments 2025-26
Student loan repayments depend on your income and the plan under which you took out your loan. Repayments are collected through PAYE (payroll) or Self Assessment, calculated at 9% of income above the threshold (except Postgraduate at 6%):
| Loan Plan | Annual Repayment Threshold | Repayment Rate | Student Type |
|---|---|---|---|
| Plan 1 | £26,065 | 9% | Started before Sept 2012 |
| Plan 2 | £28,470 | 9% | Started Sept 2012 or later |
| Plan 4 | £32,745 | 9% | Scottish students |
| Postgraduate | £21,000 | 6% | Postgraduate loan borrowers |
Only calculated on income above the threshold. If income is below threshold, repayment is £0.
High Income Child Benefit Charge (HICBC)
If you or your partner earns above £60,000 per year, you may need to pay back some or all of your Child Benefit through the tax system. The charge applies to adjusted net income:
| Adjusted Net Income | Child Benefit Clawed Back |
|---|---|
| £0 - £60,000 | 0% - No clawback |
| £60,001 - £80,000 | 1% for every £200 of income over £60,000 |
| £80,000+ | 100% - Full clawback |
Child Benefit Rates for 2025-26
| Child | Weekly Amount | Annual Amount |
|---|---|---|
| Eldest or only child | £26.05 | £1,354.60 |
| Each additional child | £17.25 | £897.00 |
Dividend Tax Rates 2025-26
Dividend income is taxed differently from salary. You get a Dividend Allowance of £500 that is completely tax-free, then dividend income is taxed at these rates across the whole UK:
| Income Level | Dividend Tax Rate | How It Works |
|---|---|---|
| £0 - £500 | 0% | Dividend allowance - tax-free |
| Basic rate band | 8.75% | On dividends within basic rate (£12,571-£50,270) |
| Higher rate band | 33.75% | On dividends within higher rate (£50,271-£125,140) |
| Additional rate band | 39.35% | On dividends above additional rate (£125,140+) |
Pension Contributions & Tax Relief
Pension contributions are deducted from your gross salary before tax is calculated, giving you automatic tax relief. This means:
- For every £1 you put into a pension, the government effectively contributes tax relief worth up to 45p (if you're in the 45% tax band)
- Your taxable income is reduced by the pension contribution amount
- Annual Allowance is £60,000 per tax year
- Lifetime Allowance was abolished from 6 April 2023
Pension Contribution Example
If you earn £50,000 and contribute £5,000 to a pension:
- Gross income: £50,000
- Less pension: £5,000
- Taxable income: £45,000
- Income tax is calculated on £45,000 (not £50,000)
Take-Home Pay Calculation
Take-Home Pay (Net Pay) is your gross salary minus all deductions:
Key Facts About UK Taxation 2025-26
- Personal Allowance: £12,570 for most people (frozen until 2028)
- Higher Rate Threshold: £50,270 (when taxable income reaches this, 40% tax applies)
- Additional Rate Threshold: £125,140 (45% tax applies)
- Employee NI Primary Threshold: £242/week (£12,570/year)
- Employee NI Upper Earnings Limit: £967/week (£50,270/year)
- Employer NI Secondary Threshold: £96/week (£5,000/year) - employers pay 15% above this
- Dividend Allowance: £500 (completely tax-free)
- Child Benefit Threshold: Starts to reduce at £60,000, fully withdrawn at £80,000
- Corporation Tax Rate: 19% (small profits) to 25% (main rate)
Official Resources & Government Links
Official HMRC Resources
- Income Tax Rates and Personal Allowances - GOV.UK - Official HMRC rates for 2025-26
- Estimate Your Income Tax - GOV.UK Calculator - Official tax calculator by HMRC
- National Insurance Rates - GOV.UK - Official NI contribution rates
- Self Assessment Tax Calculator - GOV.UK - For self-employed and freelancers
- Employer Tax Rates and Thresholds 2025-26 - Official employer rates
Tax Planning & Guidance
- Student Loan Repayment Information - Official student loan guidance
- Child Benefit - How to Claim & HICBC - Child benefit and income charge info
- Pensions Tax Relief Information - How pension contributions get tax relief
- Full Tax Rates Publication 2025-26 - Comprehensive tax information
Personal Tax Management
- Check Your Income Tax - My HMRC - Personal tax account
- Self Assessment Tax Returns - Complete a tax return
- Claim a Tax Refund - If you've paid too much tax
Scottish Tax (Devolved)
- Scottish Tax Office - Revenue Scotland - Scottish income tax guidance
- Scottish Income Tax Calculator - Calculate tax as a Scottish taxpayer
Disclaimer: This calculator provides estimates based on 2025-26 HMRC rates and is for informational purposes only. It does not constitute professional tax advice. Tax bills can vary based on individual circumstances including allowances, reliefs, and deductions not covered here. Always consult with a qualified tax professional or HMRC for personalized tax advice. All information sourced from official government websites as of November 2025.