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UK PAYE Tax Calculator 2025-26

Calculate income tax, National Insurance, and take-home pay

💰 Income Information

Gross Annual Salary (£)

Tax Code

Standard tax code for 2025-26 is 1257L

🏴󠁧󠁢󠁳󠁣󠁴󠁿 Scottish Resident?

No (England/Wales/NI rates) Yes (Scottish rates)

Pay Frequency

📋 Deductions & Benefits

Pension Contribution (£)

Student Loan Plan

Other Taxable Benefits (£)

💷 Tax Summary

Enter your details and calculate

2025-26 UK Tax Rates & Thresholds

🏴󠁧󠁢󠁥󠁮󠁧󠁿 England, Wales & Northern Ireland

Personal Allowance: £12,570

Basic Rate (20%): £12,571 - £50,270

Higher Rate (40%): £50,271 - £125,140

Additional Rate (45%): Over £125,140

🏴󠁧󠁢󠁳󠁣󠁴󠁿 Scotland

Personal Allowance: £12,570

Starter Rate (19%): £12,571 - £14,876

Basic Rate (20%): £14,877 - £26,561

Intermediate (21%): £26,562 - £43,662

Higher Rate (42%): £43,663 - £75,000

Advanced Rate (45%): £75,001 - £125,140

Top Rate (48%): Over £125,140

💼 National Insurance (Class 1)

Employee Rate: 8% (£12,570 - £50,270)

Employee Rate (Higher): 2% (Over £50,270)

Employer Rate: 15% (Over £9,100)

🎓 Student Loan Thresholds

Plan 1: 9% over £22,015

Plan 2: 9% over £27,295

Plan 4 (Scotland): 9% over £27,660

Postgraduate: 6% over £21,000

Understanding UK PAYE

🏛️ What is PAYE?

Pay As You Earn (PAYE) is the UK system for collecting income tax and National Insurance from employees' wages. Your employer deducts tax and NI before paying your salary, based on your tax code and earnings.

📊 Tax Codes

1257L: Standard tax code for 2025-26 (£12,570 personal allowance)
BR: Basic rate tax on all income (no personal allowance)
D0/D1: Higher/additional rate tax on all income
K codes: Deductions exceed allowances (owe tax on benefits)
0T: No personal allowance

🏴󠁧󠁢󠁳󠁣󠁴󠁿 Scottish Income Tax

Scottish residents pay different income tax rates on non-savings income
More tax bands with different rates compared to rest of UK
National Insurance rates remain the same across the UK
Personal allowance is set by UK government, not Scottish Parliament

💼 National Insurance

Funds state pension, NHS, and other benefits
Employee pays 8% between £12,570 and £50,270, then 2% above
Employer pays 15% on earnings above £9,100
Self-employed pay different rates (Class 2 and Class 4)

🎓 Student Loans

Repayments start when income exceeds the threshold for your plan
Plan 1: Started university before September 2012
Plan 2: Started university from September 2012 onwards
Plan 4: Scottish students who started from 2006
Postgraduate: Master's and PhD loans

Disclaimer: This calculator provides estimates based on 2025-26 tax rates and thresholds. Actual deductions may vary based on your specific circumstances, tax code adjustments, and employer policies. For complex situations or tax planning advice, consult with HMRC or a qualified tax advisor. Tax rates and thresholds are subject to change.