1. What is The Salary Calculator?

The Salary Calculator helps you understand your take-home pay in the UK for the 2025-26 tax year, accounting for Income Tax, National Insurance, Student Loan repayments, and Pension Contributions.

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 tax brackets
• \( National\ Insurance \) — Calculated based on your earnings
• \( Student\ Loan \) — Depends on your repayment plan
• \( Pension\ Contributions \) — Percentage of your salary

3. Understanding UK Tax Calculations

Details: The UK tax system uses progressive tax bands for Income Tax and different thresholds for National Insurance. Student loan repayments vary by plan type and only apply above certain income thresholds.

4. Using the Calculator

Tips: Enter your gross annual salary, select your student loan plan (if applicable), and enter any pension contributions as a percentage of your salary.

5. Frequently Asked Questions (FAQ)

Q1: Are these tax rates confirmed for 2025-26?
A: This calculator uses projected rates based on current policies. Always check HMRC for official rates when available.

Q2: What's the difference between student loan plans?
A: Plan 1 has a lower repayment threshold (£22,015) than Plan 2 (£27,295) or Plan 4 (£27,660).

Q3: Is pension contribution tax relief included?
A: Yes, pension contributions are deducted before tax calculations for workplace pensions.

Q4: What about other deductions like childcare vouchers?
A: This calculator focuses on core deductions. Additional voluntary deductions would need to be accounted for separately.

Q5: How accurate is this calculator?
A: It provides a good estimate but your actual take-home pay may vary based on specific circumstances and final tax rates.