Working out how much of your salary you actually keep shouldn't require a spreadsheet and three browser tabs. This take home pay calculator does the maths in one step — enter your gross salary below and you'll see exactly how much you take home after Income Tax, National Insurance, pension contributions and student loan repayments, all calculated using 2026/27 UK tax rates.
To calculate take home pay: start with your gross salary, subtract your Personal Allowance (£12,570), apply Income Tax at 20%/40%/45% on the relevant bands, calculate NI at 8%/2%, then subtract pension and student loan deductions. Or simply enter your salary below for an instant result.
Your Salary Details
Step-by-Step: Using the Take Home Pay Calculator
Calculating your take-home pay from scratch involves several stages, and each one uses different thresholds and rates. Here's the complete process, step by step, for the 2026/27 UK tax year.
Step 1: Start With Your Gross Salary
Your gross salary is the annual figure on your employment contract — before any deductions. If you're paid monthly, multiply by 12. If you're paid hourly, multiply your hourly rate by your contracted weekly hours, then multiply by 52. This is the number everything else is calculated from.
Step 2: Work Out Your Personal Allowance
Most people receive a Personal Allowance of £12,570 — the portion of your income that's completely tax-free. If you earn over £100,000, this allowance is reduced by £1 for every £2 above the threshold, disappearing entirely at £125,140. Your tax code tells your employer what allowance to apply.
Step 3: Calculate Income Tax
Subtract your Personal Allowance from your gross salary to find your taxable income. Then apply the 2026/27 tax bands: 20% on the first £37,700 of taxable income (Basic Rate), 40% on income between £37,701 and £125,140 (Higher Rate), and 45% on anything above £125,140 (Additional Rate).
Step 4: Calculate National Insurance
National Insurance is calculated separately from Income Tax. For employees in 2026/27, you pay 8% on earnings between £12,570 and £50,270 per year, and 2% on anything above £50,270. NI rates are the same across the whole UK, including Scotland.
Step 5: Subtract Pension and Student Loan
If you make pension contributions through salary sacrifice, these are deducted from your gross pay before tax (reducing your tax bill). Student loan repayments are deducted from your gross pay above the relevant threshold — 9% of income above £27,295 for Plan 2, for example.
Gross Salary Inputs You'll Need
For the most accurate calculation, gather these details before using the take home pay calculator:
- Annual gross salary — the headline figure on your contract or latest payslip
- Tax code — usually 1257L for most employees; check your payslip or P45
- Pension contribution rate — the percentage deducted for your workplace pension
- Student loan plan — Plan 1, 2, 4, 5, or Postgraduate (check your loan statement)
- Scotland or rest of UK — Scottish taxpayers have different Income Tax bands
Frequently Asked Questions
Start with your annual gross salary. Subtract your Personal Allowance (£12,570 for 2026/27) to find your taxable income. Apply Income Tax at the appropriate band rates, then calculate National Insurance separately. Subtract all deductions from your gross salary to arrive at your annual take-home pay.
At a minimum, you need your annual gross salary and your tax code (usually 1257L). For a more precise figure, also have your pension contribution percentage, student loan plan type, and whether you're on Scottish or rest-of-UK tax rates.
Yes. Multiply your hourly rate by the number of hours you work per week, then multiply by 52 to get an annual gross figure. Enter this into the take home pay calculator to see your net pay. For example, £15 per hour at 37.5 hours per week gives an annual gross of £29,250.
Multiply your monthly gross salary by 12 to convert it to an annual figure, then enter it into the calculator. For example, if you receive £3,000 gross per month, your annual gross is £36,000. The calculator will show you take-home pay in annual, monthly, weekly, and daily views.
The easiest and most accurate way is to use a take home pay calculator like this one. Enter your gross salary, tax code, pension rate, and student loan plan — the calculator handles all the band calculations, thresholds, and NI rates automatically, updated for the current 2026/27 tax year.
Manual calculation requires working through multiple overlapping systems: progressive Income Tax bands, separate National Insurance thresholds and rates, Personal Allowance tapering above £100,000, different student loan repayment plans, and pension relief rules. Each changes annually, making a calculator far more practical than pen-and-paper arithmetic.
Now that you understand how to calculate take home pay, use this take home pay calculator any time you need a quick, accurate answer — whether you're negotiating a salary, comparing job offers, or building a monthly budget. For a deeper dive into the deduction mechanics, see our Tax and National Insurance breakdown, or explore the net pay guide for a full gross-to-net comparison table.