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UK Take Home Pay Calculator

Calculate your net salary after Income Tax and National Insurance deductions with current 2024/25 rates

Calculate Your Take-Home Pay

£

Your annual salary before any deductions

Used for age-related tax calculations

%

Workplace pension contributions (reduces taxable income)

Select your student loan plan for automatic repayment calculations

Take-Home Pay Calculation

£0
Gross Pay
per year
-£0
Total Deductions
per year
0.0%
Effective Rate
Tax & NI
£0
Take-Home Pay
per year

Tax Planning Tips

💰 Your take-home pay is NaN% of your gross salary

Example Take-Home Pay Calculation

Higher Rate Taxpayer Example (2024/25)

Annual Salary: £60,000

Personal Allowance: £12,570

Pension (5%): £3,000

Taxable Income: £44,430 (£60,000 - £12,570 - £3,000)

Tax Calculation

Basic Rate Tax (20%): £37,700 × 20% = £7,540

Higher Rate Tax (40%): £6,730 × 40% = £2,692

Total Income Tax: £10,232

National Insurance: (£60,000 - £12,570) × 8% = £3,794

Take-Home Pay: £42,974 per year (£3,581/month)

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UK Tax Rates 2024-25

Income Tax

Personal Allowance:£12,570
Basic Rate (20%):£12,570 - £50,270
Higher Rate (40%):£50,270 - £100,010
Additional Rate (45%):£100,010+

National Insurance

Main Rate (8%):£12,570 - £50,270
Additional (2%):Above £50,270

Student Loan Thresholds

Plan1:£22,015
Plan2:£27,295
Plan4:£31,395
Plan5:£25,000
Postgrad:£21,000

Quick Reference

📊

Income tax is charged on earnings above your personal allowance

💼

National Insurance is charged on earnings above £12,570

🏦

Pension contributions reduce your taxable income

🎓

Student loan repayments are based on income above threshold

⚠️

This calculator provides estimates only - consult HMRC for official figures

Understanding UK Take-Home Pay

What is Take-Home Pay?

Take-home pay (net salary) is the amount you receive after all deductions have been made from your gross salary. This includes Income Tax, National Insurance, pension contributions, and student loan repayments.

Main Deductions

  • Income Tax: 20%, 40%, or 45% depending on earnings
  • National Insurance: 8% (main rate) + 2% (additional rate)
  • Pension: Typically 3-12% of salary (tax-deductible)
  • Student Loan: 6-9% of income above threshold

How Calculations Work

1. Calculate Taxable Income:

Gross Salary - Pension - Personal Allowance

2. Calculate Income Tax:

Apply progressive tax rates to taxable income

3. Calculate National Insurance:

Apply NI rates to gross salary (before pension)

4. Calculate Take-Home:

Gross - Tax - NI - Pension - Student Loan

Tax Planning Tips

  • • Maximize pension contributions for tax relief
  • • Consider salary sacrifice schemes
  • • Use ISA allowances for tax-free savings
  • • Plan around personal allowance tapering
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