Uk Pay Calculator

UK Net Pay Calculator (2024/2025)

Estimate your take-home pay after Income Tax, National Insurance, and optional deductions like pensions and student loans for the 2024/2025 tax year.

None Plan 1 (£24,990 threshold) Plan 2 (£27,295 threshold) Plan 4 (£31,395 threshold) Plan 5 (£25,000 threshold) Postgraduate (£21,000 threshold)

Annual Monthly Weekly

function calculateUKPay() { var grossAnnualSalary = parseFloat(document.getElementById('grossAnnualSalary').value); var pensionContributionPercent = parseFloat(document.getElementById('pensionContribution').value); var studentLoanPlan = document.getElementById('studentLoanPlan').value; var payPeriod = document.getElementById('payPeriod').value; if (isNaN(grossAnnualSalary) || grossAnnualSalary < 0) { document.getElementById('ukPayResult').innerHTML = 'Please enter a valid gross annual salary.'; return; } if (isNaN(pensionContributionPercent) || pensionContributionPercent 100) { document.getElementById('ukPayResult').innerHTML = 'Please enter a valid pension contribution percentage (0-100).'; return; } // — Constants for 2024/2025 Tax Year (England, Wales, NI) — var personalAllowance = 12570; // Income Tax Bands var basicRateThreshold = 50270; // Up to this amount (after PA) var higherRateThreshold = 125140; // Up to this amount (after PA) var basicRateTax = 0.20; var higherRateTax = 0.40; var additionalRateTax = 0.45; // National Insurance (Employee Class 1) var niPrimaryThreshold = 12570; var niUpperEarningsLimit = 50270; var niBasicRate = 0.08; // From April 2024 var niHigherRate = 0.02; // Student Loan Thresholds (Annual) var studentLoanThresholds = { 'plan1': 24990, 'plan2': 27295, 'plan4': 31395, 'plan5': 25000, 'postgraduate': 21000 }; var studentLoanRate = 0.09; // 9% for all plans var postgraduateLoanRate = 0.06; // 6% for postgraduate loan // — Calculations — // 1. Pension Deduction var annualPensionContribution = grossAnnualSalary * (pensionContributionPercent / 100); var taxableIncome = grossAnnualSalary – annualPensionContribution; if (taxableIncome 100000) { var taperedAllowanceReduction = Math.floor((grossAnnualSalary – 100000) / 2); effectivePersonalAllowance = Math.max(0, personalAllowance – taperedAllowanceReduction); } var incomeAbovePersonalAllowance = taxableIncome – effectivePersonalAllowance; if (incomeAbovePersonalAllowance > 0) { if (incomeAbovePersonalAllowance <= (basicRateThreshold – effectivePersonalAllowance)) { annualIncomeTax = incomeAbovePersonalAllowance * basicRateTax; } else if (incomeAbovePersonalAllowance niPrimaryThreshold) { var earningsAbovePrimaryThreshold = grossAnnualSalary – niPrimaryThreshold; if (earningsAbovePrimaryThreshold 0) { if (studentLoanPlan === 'postgraduate') { annualStudentLoanRepayment = earningsAboveThreshold * postgraduateLoanRate; } else { annualStudentLoanRepayment = earningsAboveThreshold * studentLoanRate; } } } // 5. Total Deductions and Net Pay var totalAnnualDeductions = annualIncomeTax + annualNationalInsurance + annualPensionContribution + annualStudentLoanRepayment; var annualNetPay = grossAnnualSalary – totalAnnualDeductions; // — Format Results based on Pay Period — var divisor = 1; var periodLabel = "Annually"; if (payPeriod === 'monthly') { divisor = 12; periodLabel = "Monthly"; } else if (payPeriod === 'weekly') { divisor = 52; periodLabel = "Weekly"; } var displayGrossPay = (grossAnnualSalary / divisor).toFixed(2); var displayPension = (annualPensionContribution / divisor).toFixed(2); var displayIncomeTax = (annualIncomeTax / divisor).toFixed(2); var displayNationalInsurance = (annualNationalInsurance / divisor).toFixed(2); var displayStudentLoan = (annualStudentLoanRepayment / divisor).toFixed(2); var displayTotalDeductions = (totalAnnualDeductions / divisor).toFixed(2); var displayNetPay = (annualNetPay / divisor).toFixed(2); var resultHTML = '

Your Estimated Pay (' + periodLabel + ')

'; resultHTML += 'Gross Pay: £' + displayGrossPay + "; resultHTML += 'Pension Contribution: £' + displayPension + "; resultHTML += 'Income Tax: £' + displayIncomeTax + "; resultHTML += 'National Insurance: £' + displayNationalInsurance + "; if (studentLoanPlan !== 'none') { resultHTML += 'Student Loan Repayment: £' + displayStudentLoan + "; } resultHTML += 'Total Deductions: £' + displayTotalDeductions + "; resultHTML += 'Net Pay (Take-Home): £' + displayNetPay + ''; document.getElementById('ukPayResult').innerHTML = resultHTML; } // Run calculation on page load with default values window.onload = calculateUKPay; .calculator-container { font-family: 'Segoe UI', Tahoma, Geneva, Verdana, sans-serif; background-color: #f9f9f9; padding: 25px; border-radius: 8px; box-shadow: 0 4px 12px rgba(0, 0, 0, 0.1); max-width: 600px; margin: 20px auto; border: 1px solid #e0e0e0; } .calculator-container h2 { color: #333; text-align: center; margin-bottom: 20px; font-size: 1.8em; } .calculator-container p { color: #555; line-height: 1.6; margin-bottom: 15px; } .calc-input-group { margin-bottom: 15px; display: flex; flex-direction: column; } .calc-input-group label { margin-bottom: 8px; color: #333; font-weight: bold; font-size: 0.95em; } .calc-input-group input[type="number"], .calc-input-group select { padding: 10px 12px; border: 1px solid #ccc; border-radius: 5px; font-size: 1em; width: 100%; box-sizing: border-box; transition: border-color 0.3s ease; } .calc-input-group input[type="number"]:focus, .calc-input-group select:focus { border-color: #007bff; outline: none; box-shadow: 0 0 0 2px rgba(0, 123, 255, 0.25); } button { background-color: #007bff; color: white; padding: 12px 25px; border: none; border-radius: 5px; font-size: 1.1em; cursor: pointer; transition: background-color 0.3s ease, transform 0.2s ease; width: 100%; margin-top: 10px; } button:hover { background-color: #0056b3; transform: translateY(-1px); } button:active { transform: translateY(0); } .calculator-result { margin-top: 25px; padding: 20px; background-color: #e9f7ef; border: 1px solid #d4edda; border-radius: 8px; color: #155724; } .calculator-result h3 { color: #0f5132; margin-top: 0; margin-bottom: 15px; font-size: 1.5em; text-align: center; } .calculator-result p { margin-bottom: 8px; font-size: 1.05em; display: flex; justify-content: space-between; padding-bottom: 5px; border-bottom: 1px dashed #c3e6cb; } .calculator-result p:last-child { border-bottom: none; margin-bottom: 0; padding-top: 10px; font-size: 1.2em; font-weight: bold; color: #0f5132; } .calculator-result p strong { color: #0f5132; }

Understanding Your UK Pay: A Comprehensive Guide

Navigating your payslip in the UK can sometimes feel like deciphering a secret code. This guide, along with our UK Net Pay Calculator, aims to demystify the deductions and help you understand how your gross salary translates into your take-home pay.

What is Gross Pay?

Your gross pay is your total earnings before any deductions are made. This is the figure usually quoted in job offers and contracts. It includes your basic salary, any bonuses, commission, or overtime payments.

Key Deductions Explained

Several mandatory and optional deductions are taken from your gross pay. Understanding each one is crucial:

1. Income Tax

Income Tax is a tax on your earnings, paid to HM Revenue & Customs (HMRC). In the UK, everyone has a 'Personal Allowance' – an amount of income you can earn each tax year (6 April to 5 April) before you start paying tax. For the 2024/2025 tax year, the standard Personal Allowance is £12,570.

Once your income exceeds your Personal Allowance, you pay tax at different rates depending on how much you earn. The rates for England, Wales, and Northern Ireland for 2024/2025 are:

• Basic Rate: 20% on income between £12,571 and £50,270
• Higher Rate: 40% on income between £50,271 and £125,140
• Additional Rate: 45% on income over £125,140

It's important to note that if your gross annual salary is over £100,000, your Personal Allowance is reduced by £1 for every £2 you earn above £100,000. This means if you earn £125,140 or more, you lose your entire Personal Allowance.

2. National Insurance (NI) Contributions

National Insurance contributions are paid by employees, employers, and the self-employed to qualify for certain state benefits, such as the State Pension, Maternity Allowance, and contribution-based Jobseeker's Allowance. The rates for employees (Class 1) changed in April 2024:

• No NI: On earnings up to £12,570 per year (Primary Threshold)
• 8%: On earnings between £12,570.01 and £50,270 per year (Upper Earnings Limit)
• 2%: On earnings above £50,270 per year

3. Pension Contributions

Many employers offer workplace pension schemes. Contributions are usually deducted directly from your gross pay. There are two main ways pension contributions receive tax relief:

• Net Pay Arrangement: Your pension contributions are deducted from your gross pay before tax is calculated, effectively reducing your taxable income.
• Relief at Source: Your pension provider claims basic rate tax relief from the government and adds it to your pension pot. If you're a higher or additional rate taxpayer, you'll need to claim the extra tax relief through your self-assessment tax return or by contacting HMRC.

Our calculator assumes a 'net pay arrangement' for simplicity, where your pension contribution reduces your taxable income.

4. Student Loan Repayments

If you have taken out a student loan for higher education in the UK, repayments are typically deducted automatically from your salary once you earn above a certain threshold. The repayment rate is 9% of your income above the threshold for most plans, and 6% for Postgraduate Loans. The thresholds vary depending on when you started your course and which plan you are on (for 2024/2025):

• Plan 1: £24,990 per year
• Plan 2: £27,295 per year
• Plan 4 (Scotland): £31,395 per year
• Plan 5 (England/Wales, started Sept 2023 onwards): £25,000 per year
• Postgraduate Loan: £21,000 per year

How the Calculator Works

Our calculator takes your gross annual salary and applies the current UK tax year (2024/2025) rules for Income Tax and National Insurance. It then factors in your chosen pension contribution and student loan plan to give you an estimated net pay. You can view your results annually, monthly, or weekly.

Example Calculation (2024/2025)

Let's consider an individual earning a gross annual salary of £35,000, contributing 5% to a pension, and on Student Loan Plan 2.

• Gross Annual Salary: £35,000
• Pension Contribution (5%): £1,750 (reduces taxable income)
• Taxable Income: £35,000 – £1,750 = £33,250
• Personal Allowance: £12,570 (tax-free)
• Income Tax:
  • Income subject to tax: £33,250 – £12,570 = £20,680
  • Tax at 20%: £20,680 * 0.20 = £4,136
• National Insurance:
  • Earnings above NI Primary Threshold (£12,570): £35,000 – £12,570 = £22,430
  • NI at 8%: £22,430 * 0.08 = £1,794.40
• Student Loan Repayment (Plan 2):
  • Earnings above Plan 2 threshold (£27,295): £35,000 – £27,295 = £7,705
  • Repayment at 9%: £7,705 * 0.09 = £693.45
• Total Annual Deductions: £1,750 (Pension) + £4,136 (Tax) + £1,794.40 (NI) + £693.45 (Student Loan) = £8,373.85
• Net Annual Pay: £35,000 – £8,373.85 = £26,626.15
• Net Monthly Pay: £26,626.15 / 12 = £2,218.85

Disclaimer

This calculator provides an estimate based on the standard tax rules for England, Wales, and Northern Ireland for the 2024/2025 tax year. It does not account for specific tax codes, Scottish tax rates, salary sacrifice schemes (other than pension), or other individual circumstances. For precise financial advice, please consult a qualified financial advisor or HMRC.