Calculate your take-home pay with UK Income Tax and National Insurance contributions via PAYE.
A salary calculator converts between hourly, weekly, monthly, and annual pay rates, and estimates take-home pay after UK tax and National Insurance.
Example: £30/hour × 40 hours/week × 52 weeks = £62,400/year gross. After Income Tax and National Insurance via HMRC's PAYE, your take-home is approximately £46,300.
In the UK, income tax is collected through the Pay As You Earn (PAYE) system by HMRC. For 2024/25, you have a Personal Allowance of £12,570 (tax-free). Income from £12,571 to £50,270 is taxed at 20% (Basic Rate), £50,271 to £125,140 at 40% (Higher Rate), and above £125,140 at 45% (Additional Rate). The Personal Allowance tapers by £1 for every £2 earned over £100,000.
National Insurance (NI) is a UK tax that funds state benefits. For employees in 2024/25, you pay 8% on earnings between £12,570 and £50,270, and 2% on earnings above £50,270. Your employer also pays NI contributions. NI contributions determine your eligibility for the State Pension and certain benefits.
UK employers must automatically enrol eligible workers into a workplace pension scheme. The minimum contribution is 8% of qualifying earnings (band of £6,240–£50,270), with the employer paying at least 3% and the employee making up the rest. Many employers offer more generous contributions.
On a £40,000 salary in 2024/25: Income Tax = £5,486 (20% on £27,430 above personal allowance), National Insurance = £2,194.40 (8% on £27,430). Total deductions approx £7,680, leaving around £2,693 per month take-home before pension contributions.