UK Salary Calculator 2026/27

What you actually take home after PAYE income tax, National Insurance, pension and student loan.

Last updated: May 2026 · 2026/27 tax rates

Your salary

£

Annual equivalent: £50,000

Scottish taxpayer?

Tax code starts with "S".

Pension & student loan

%

Reduces gross before tax and NI — the most efficient pension route.

Postgraduate loan?
Yearly
£37,720
Monthly
£3,143
4-weekly
£2,902
Weekly
£725
Daily
£145
Effective tax + NI rate
19.6%
Of gross salary
Marginal rate
20%
On your next £1 of pay

Annual breakdown

Gross salary£50,000.00
Pension contribution (salary sacrifice)-£2,500.00
Income tax-£6,986.00
National Insurance-£2,794.40
Total deductions-£12,280.40
Net take-home pay£37,719.60

Understanding your take-home pay

From a typical UK gross salary, four things come off before you see your pay:

  1. Pension contribution — under salary sacrifice, deducted before any tax.
  2. Income tax — Personal Allowance up to £12,570, then 20% / 40% / 45% bands (rUK) or six Scottish bands.
  3. National Insurance (Class 1 employee) — 8% between £12,570 and £50,270, then 2% above.
  4. Student loan — 9% above your plan's threshold (6% for postgraduate).

Salary sacrifice swaps a slice of gross pay for an employer pension contribution. The pound that goes into your pension never hit your payroll, so:

  • It avoids both income tax (20% / 40% / 45%) and employee NI (8% / 2%).
  • Your employer's 15% NI bill is also lower — many employers pass some or all of that back into your pension.
  • Relief-at-source (typical SIPP) only reclaims basic-rate tax automatically — higher-rate top-up needs Self Assessment.

Net of all this, a 5% salary-sacrifice contribution typically only reduces take-home by 3-4% of salary.