1. What is the UK Salary Calculator?

The UK Salary Calculator for 2025-26 estimates your take-home pay after accounting for Income Tax, National Insurance, Student Loan repayments, and Pension Contributions based on the latest UK tax brackets and rates.

2. How Does the Calculator Work?

The calculator uses the following formula:

Where:

• Gross Pay — Your annual salary before deductions
• Income Tax — Calculated using 2025-26 UK tax brackets
• National Insurance — Calculated using 2025-26 NI rates
• Student Loan — Based on your repayment plan (if applicable)
• Pension Contributions — Percentage of salary you contribute

3. Understanding UK Tax and Deductions

Income Tax (2025-26):

• Personal Allowance: £12,570 (0% tax)
• Basic Rate: £12,571 to £50,270 (20% tax)
• Higher Rate: £50,271+ (40% tax)

National Insurance (2025-26):

• Primary Threshold: £12,576 (0% NI)
• Basic Rate: £12,577 to £50,268 (12% NI)
• Higher Rate: £50,269+ (2% NI)

Student Loans (2025-26):

• Plan 1: 9% on earnings above £22,015
• Plan 2: 9% on earnings above £27,295
• Plan 4: 9% on earnings above £27,660

4. Using the Calculator

Tips: Enter your gross annual salary in GBP, select your student loan plan (if applicable), and enter your pension contribution percentage. The calculator will show your net pay and all deductions.

5. Frequently Asked Questions (FAQ)

Q1: Are these tax rates confirmed for 2025-26?
A: These are based on current rates with standard inflationary increases. Actual rates will be confirmed in the 2025 budget.

Q2: Does this include Scottish tax rates?
A: No, this calculator uses UK-wide rates. Scotland has slightly different income tax brackets.

Q3: Are pension contributions tax-free?
A: Yes, pension contributions are deducted before tax is calculated, providing tax relief at your marginal rate.

Q4: What about other deductions like childcare vouchers?
A: This calculator covers standard deductions only. Additional voluntary deductions would need to be subtracted separately.

Q5: How accurate is this calculator?
A: It provides a good estimate but doesn't account for all possible tax situations. For precise figures, consult a payroll specialist.