Income tax calculator
Work out UK income tax on earnings, savings interest and dividends — and see which band each pound fell into, which allowance covered it, and what the next pound costs. Income tax only: National Insurance is a separate charge and is not included.
Calculator
Everything taxed as non-savings income: gross salary before any deduction, self-employed profit, pension income, rental profit and most other taxable income. Not the amount that reaches your bank account, and not your savings interest or dividends — those have their own boxes and their own rates.
Interest from bank and building society accounts, and from most bonds. Interest inside an ISA is not taxable and does not belong here. Savings interest is charged at UK-wide rates everywhere in the UK, including Scotland.
Dividends from company shares and from funds that pay them, outside an ISA. Enter the amount received. Dividends sit at the top of the stack, so they are taxed at whatever band the income beneath them has already reached.
Income tax on earnings is devolved: Scotland sets its own rates and bands, and the Welsh rates are set separately even though they currently match the English ones. Savings interest and dividends are charged at UK-wide rates wherever you live.
Rates, thresholds and allowances change every April, and income is taxed by the figures for the year it arises in. A UK tax year runs from 6 April to 5 April.
The calculation assumes the standard personal allowance for the year — £12,570 for 2026/27 — and no other adjustment. Above £100,000 of total income that allowance is withdrawn, and the breakdown below shows what that costs on the next pound. A tax code carrying a benefit in kind, an underpayment, a marriage allowance transfer or a blind person’s allowance is not modelled.
Enter the amount actually received or treated as received. For orientation, the weekly rates for 2026/27 are £27 for the eldest or only child and £18 for each additional child.
Use the adjusted net income of whichever partner has the higher figure. This is an individual figure, not household income or gross salary: qualifying pension contributions, Gift Aid and some other adjustments can reduce it. Enter zero if no Child Benefit charge applies.
Repayments are collected through PAYE, alongside income tax and National Insurance, and they are worked out on pay from a job rather than on your taxable income. If you are not sure which plan you are on, gov.uk has a checker — it depends on where and when you studied.
Your income tax, band by band
Income tax: £7,486.00
On £50,000.00 of income, taxed as England and Northern Ireland charges it for 2026/27, that is an effective rate of 14.97% — and the rate on your next pound of earnings is 20.00%. Those two are different numbers and the second is the one that decides what a pay rise, a bonus or an extra job is worth.
This is income tax. It is not take-home pay. National Insurance is deducted from earnings as well — it is a separate charge, on a different base, and it is not in the figure above. So what actually reaches your bank account is less than £42,514.00, and a student loan repayment would reduce it further. The national insurance calculator works out that half.
Your income tax, in one table
| Total income | £50,000.00 |
|---|---|
| Less personal allowance used | −£12,570.00 |
| Taxable income | £37,430.00 |
| Income tax | £7,486.00 |
The allowance row is a subtraction, not a statutory constant. Above £100,000 of total income the personal allowance is withdrawn, and the figure shown is the amount this income actually used. It is also not simply set against earnings: the law lets the allowance be allocated across earnings, interest and dividends in whichever way produces the smallest bill, and the engine searches that allocation rather than assuming one.
High Income Child Benefit Charge
No charge is included because no Child Benefit has been entered. If either partner received it, enter the amount actually received and the higher individual’s adjusted net income above; gross salary and household income are not substitutes for that figure.
Your income, band by band
Income is not taxed in the order it arrives. It is taxed in a fixed statutory order — non-savings income first, then savings interest, then dividends — and each slice starts wherever the slice beneath it finished. That is why the same £1,000 of interest costs different amounts to two people with the same total income, and why a calculator that taxes dividends in isolation cannot be right for anyone with a salary.
| Band | Charged on | Income in this band | Rate | Tax |
|---|---|---|---|---|
| Basic rate | Earnings, pension or profit | £37,430.00 | 20.00% | £7,486.00 |
| Total | £37,430.00 | £7,486.00 |
The England and Northern Ireland bands, in gross income
The figures below are the ones gov.uk publishes: gross income, before the personal allowance is taken off. They are worked out here from the taxable-income thresholds the calculation actually uses, so the table and the answer cannot disagree. This is the schedule for earnings, pensions and other non-savings income — savings interest and dividends have schedules of their own, and in Scotland those remain the UK-wide ones.
| Band | Gross income | Rate | Your income here |
|---|---|---|---|
| Personal allowance | Up to £12,570 | 0.00% | £12,570.00 |
| Basic rate — you are here | £12,571 to £50,270 | 20.00% | £37,430.00 |
| Higher rate | £50,271 to £125,140 | 40.00% | — |
| Additional rate | £125,141 and above | 45.00% | — |
Those gross figures assume the full £12,570 personal allowance and nothing else, so a marriage allowance transfer, a blind person’s allowance or a tax code carrying an underpayment moves every one of them. Above £100,000 the allowance tapers away — which is why the top band starts at the same figure in gross as in taxable income, there being no allowance left to add, and why the rate you actually pay between there and £125,140 is not any rate in this table. That has its own panel below.
Which allowances your income used
| Allowance | At this income | Used | Unused |
|---|---|---|---|
| Personal allowance | £12,570.00 | £12,570.00 | £0.00 |
| Starting rate for savings | £0.00 | £0.00 | £0.00 |
| Personal savings allowance | £1,000.00 | £0.00 | £1,000.00 |
| Dividend allowance | £500.00 | £0.00 | £500.00 |
The last column is not headroom. It says how much of each allowance this income left unused — not how much more you could receive tax-free, which is a different question with a different answer. The personal savings allowance is the one that bites: it is worth less to a higher-rate taxpayer and nothing at all to an additional-rate one, and whether you are one depends on the very interest the row appears to be inviting. The panel below prices the next £1,000 of each kind of income properly, by working the whole bill out again.
Where your next pound goes
- Income tax on your next £1 of earnings: 20.00%. That figure is measured against your own income rather than read off a rate table, which is why it can exceed every rate printed on this page: inside the personal allowance taper it is one and a half times whichever band rate applies. It covers income tax only — no National Insurance — and it is the rate on earned income specifically, because savings interest and dividends sit on different schedules.
Another £270 of income takes you into the Higher rate band for earnings, which is the schedule sitting at the top of your stack.
The engine measures that gap in taxable income, which is a different measure and not the one to act on: £270. Here your allowance is fully used and your income is outside the taper, so the two measures happen to coincide.
What the next £1,000 would cost you
The same £1,000, three different bills, depending only on which kind of income it is. Each figure is the whole calculation run again with that slice added, so it accounts for thresholds crossed on the way, allowances that shrink as income rises, and nil-rate bands running out.
| Another £1,000 of | Extra income tax | Share of it |
|---|---|---|
| Earnings, pension or profit | £346.00 | 34.60% |
| Savings interest | £146.00 | 14.60% |
| Dividends | £136.23 | 13.62% |
None of those shares is a tax rate and you will not find them published anywhere. They are what one calculation costs against another at £50,000.00 of income in England and Northern Ireland, and they move as soon as any of the three boxes above does. A slice this wide crosses thresholds on purpose — the rate on the next single pound of earnings is 20.00%, which is a different question and is answered in the panel above.
The stretch between £100,000 and £125,140, where the rate is 60.00%
Above £100,000 of income the personal allowance is withdrawn by £1 for every £2 earned. So a pound of income in that range is taxed itself and exposes another £0.50 that the allowance used to cover, and the rate on it is one and a half times whichever band rate applies: 60.00% in England and Northern Ireland for 2026/27. The withdrawal finishes at £125,140, where the allowance has gone entirely and the rate drops back.
There is no band with that rate. It appears in no table gov.uk publishes, it is not what a payslip or a tax code shows, and it is why the marginal column in the table below does not simply rise. It is also the reason a pay rise across that range can be worth less than half of itself, which the worked example further down prices in pounds.
Your income is outside that range, so none of it is being charged at 60.00% today. It is on the page because the schedule has this hump in it whether or not you are standing on it, and because a bonus or a second income can put somebody there without warning.
The rate on the next pound, at five incomes
Earnings only, in England and Northern Ireland for 2026/27. Read the last column downwards: it does not rise all the way. The highest marginal rate anybody on this page faces is not the one paid by the highest earner in it, and no table of tax bands shows that.
| Income | Income tax | Effective rate | Rate on the next £1 |
|---|---|---|---|
| £10,000 | £0.00 | 0.00% | 0.00% |
| £30,000 | £3,486.00 | 11.62% | 20.00% |
| £60,000 | £11,432.00 | 19.05% | 40.00% |
| £110,000in the taper | £33,432.00 | 30.39% | 60.00% |
| £150,000 | £53,703.00 | 35.80% | 45.00% |
The effective column and the marginal column answer different questions. The first is the whole bill as a share of the whole income and is always lower than the top rate paid, because the bands underneath are charged at less. The second is what one more pound costs, and it is the figure worth knowing before agreeing to overtime.
How this income compares with other taxpayers’
Off unless you ask for it. It explains nothing about the tax above and cannot change any figure on this page.
Nothing is shown until you tick that box.
Five things this figure does not know
It does not include National Insurance, so it is not what you take home
National Insurance is charged separately, on employment earnings or on self-employed profits rather than on total income, and none of it is above. On a salary an employer deducts it from the same pay packet as the income tax, so the amount reaching your account is well below £42,514.00. It is also charged on nothing in the savings or dividend boxes, which is part of why it is not folded into a single figure here.
The student loan it works out is the PAYE one, on pay from a job
Repayments are modelled: choose a plan and tell the calculator how much of your income is employment pay, and the deduction each pay packet appears below. It is charged on earnings subject to Class 1 National Insurance, which is why that is a separate box — pension income and rental profit are taxed in the income box above and carry no PAYE deduction at all. A self-employed borrower repays through Self Assessment on a different basis, and that is not modelled. Neither is the loan itself: no balance, no interest, no write-off date.
It does not know your tax code, or any allowance but the personal one
The calculation assumes the standard personal allowance for the year and no other adjustment. A marriage allowance transfer, a blind person’s allowance, a benefit in kind, or an underpayment being collected through your code all change the allowance and therefore every band boundary in the tables above. Real PAYE is also operated cumulatively across the year, so a single month will not be a twelfth of the figure here.
It does not model pension contributions or Gift Aid
Both reduce a tax bill, and relief at source does it by extending the basic-rate band so that income which would have met the higher rate meets the basic rate instead. This page applies no such extension and has no box to enter a contribution in, so anyone contributing to a pension or giving under Gift Aid is shown more income tax here than they will actually owe, and there is no correction to apply on the page. Both also reduce the income the personal allowance taper is measured against, which is the one place that omission matters most.
It taxes the three figures you entered, and nothing else
No capital gains — those are a separate tax with their own rates and their own annual exempt amount, and the capital gains tax calculator stacks a gain on this income properly. No rental profit worked out for you, no trading or property allowance, no rent-a-room relief, no foreign income, no state pension lump sum, no benefits in kind, and no reliefs claimed on a return. Enter a figure that is not the taxable amount HMRC expects and everything above is careful arithmetic on the wrong input.
Worked example: the same pay rise at three salaries
A £10,000 pay rise costs 50.00% of itself to somebody on £95,000 and only 45.00% to somebody on £145,000. The better-paid one keeps more of it. Nothing about the two rises differs — same amount, same year, same region, both entirely salary. Only where the money lands on the schedule does.
This is the fact a single-rate calculator cannot express, and it is not a quirk of these particular figures. Between £100,000 and £125,140 the personal allowance is withdrawn as income rises, so a pound earned there is taxed itself and also strips the shelter from part of a pound earned earlier. The rate on it is 60.00% in England — one and a half times the higher rate — and no published table of tax bands contains a band charged at it.
| Salary before | Salary after | Income tax before | Income tax after | Tax on the rise | Share of the rise |
|---|---|---|---|---|---|
| £40,000 | £50,000 | £5,486.00 | £7,486.00 | £2,000.00 | 20.00% |
| £95,000 | £105,000 | £25,432.00 | £30,432.00 | £5,000.00 | 50.00% |
| £145,000 | £155,000 | £51,453.00 | £55,953.00 | £4,500.00 | 45.00% |
Read the last column downwards. It rises and then falls, and the reason is entirely the middle row: half that rise is charged at the higher rate and half at the taper rate of 60.00%, while the top row is charged at the additional rate throughout. None of the three shares is a rate that appears in any table of tax bands, because a rise of any size is charged at every rate the income passes through.
The same income, taxed two ways
£53,000 of income costs £8,168.25 if part of it is interest and dividends, and £8,632.00 if all of it is salary. The difference is the statutory stacking order and the nil-rate bands it hands out on the way. Non-savings income is taxed first, then savings interest, then dividends — each slice starting wherever the one beneath it finished — and the personal allowance is set against whichever of them produces the smallest bill, which is what the law permits and what the engine searches for rather than assuming.
| Band | Charged on | Income in this band | Rate | Tax |
|---|---|---|---|---|
| Basic rate | Earnings, pension or profit | £37,700.00 | 20.00% | £7,540.00 |
| Personal savings allowance | Savings interest | £500.00 | 0.00% | £0.00 |
| Higher rate | Savings interest | £230.00 | 40.00% | £92.00 |
| Dividend allowance | Dividends | £500.00 | 0.00% | £0.00 |
| Upper rate | Dividends | £1,500.00 | 35.75% | £536.25 |
| Total | £40,430.00 | £8,168.25 |
Neither figure includes National Insurance, and neither is take-home pay. Neither includes a student loan repayment, a pension contribution or anything a tax code might be carrying — the limitations next to the calculator’s own answer set out what that leaves out and in which direction.
Methodology and sources
The calculation, in order
- Add the three incomes together. That total is what the personal allowance is worked out on — above £100,000 it is withdrawn by £1 for every £2 of income, with the surviving allowance rounded up to a whole pound as the statute requires.
- Allocate the allowance across the three kinds of income in whichever way produces the smallest bill. This is not a presentational nicety: the law entitles the taxpayer to deduct allowances in the way that gives the greatest reduction in liability, and a fixed order is not merely suboptimal but wrong in the direction that over-taxes.
- Charge the remainder in the statutory stacking order: non-savings income first, then savings interest, then dividends. Each slice starts where the one beneath it finished.
- Apply the nil-rate bands as the order reaches them — the starting rate for savings, the personal savings allowance, the dividend allowance. They are taxed at 0% but they still occupy space in the schedule, which is why they do not push the income above them into a cheaper band.
- Measure the rate on the next pound by asking the engine again with one more pound of earnings, rather than reading a rate off the table. Inside the allowance taper the two answers differ by half again.
Scottish rates apply to earned income only. Savings interest and dividends are charged on UK-wide bands wherever in the UK you live, and so are capital gains. That is not this page’s interpretation — it is the shape of the rules file, where the Scottish region composes its own earnings schedule and reuses the UK savings and dividend ones verbatim. The personal allowance is a UK figure too: Scotland sets the rates and bands above it, not the allowance underneath.
Rates and allowances
| Figure | 2025/26 | 2026/27 |
|---|---|---|
| Personal allowance | £12,570 | £12,570 |
| Personal allowance taper starts at | £100,000 | £100,000 |
| Allowance lost per £1 of income above that | £1 for every £2 | £1 for every £2 |
| Earned income — England, Wales and Northern Ireland | Basic rate 20.00% from £0; Higher rate 40.00% from £37,700; Additional rate 45.00% from £125,140 | Basic rate 20.00% from £0; Higher rate 40.00% from £37,700; Additional rate 45.00% from £125,140 |
| Earned income — Scotland | Starter rate 19.00% from £0; Basic rate 20.00% from £2,827; Intermediate rate 21.00% from £14,921; Higher rate 42.00% from £31,092; Advanced rate 45.00% from £62,430; Top rate 48.00% from £125,140 | Starter rate 19.00% from £0; Basic rate 20.00% from £3,967; Intermediate rate 21.00% from £16,956; Higher rate 42.00% from £31,092; Advanced rate 45.00% from £62,430; Top rate 48.00% from £125,140 |
| Savings — UK-wide | Basic rate 20.00% from £0; Higher rate 40.00% from £37,700; Additional rate 45.00% from £125,140 | Basic rate 20.00% from £0; Higher rate 40.00% from £37,700; Additional rate 45.00% from £125,140 |
| Dividends — UK-wide | Ordinary rate 8.75% from £0; Upper rate 33.75% from £37,700; Additional rate 39.35% from £125,140 | Ordinary rate 10.75% from £0; Upper rate 35.75% from £37,700; Additional rate 39.35% from £125,140 |
| Starting rate band for savings | £5,000 at 0.00% | £5,000 at 0.00% |
| Personal savings allowance — basic / higher / additional | £1,000 / £500 / £0 | £1,000 / £500 / £0 |
| Dividend allowance | £500 | £500 |
Thresholds in that table are taxable income, after allowances. The tables next to the answer restate them in gross income, which is how every published table states them, and the two are the same figures through one subtraction.
What this page does not model
- National Insurance, so the figure is income tax and not take-home pay.
- Pension contributions and Gift Aid. Relief at source works by extending the basic-rate band; this page has no box for either and applies no such extension, so it shows more income tax than a contributor will owe.
- Student loan repayments, tax codes, the marriage allowance and the blind person’s allowance.
- Capital gains, rental profit calculations, the trading and property allowances, foreign income, benefits in kind, and reliefs claimed on a return.
Where the figures come from
- gov.uk — Income tax rates and allowances: current and past
- gov.uk — Income tax rates and Personal Allowances
- gov.scot — Scottish income tax rates and bands
- gov.uk — Tax on savings interest
- gov.uk — Tax on dividends
- gov.uk — High Income Child Benefit Charge
The rates and allowances in the table above were verified against gov.uk on 12 August 2026. That check covers the published figures this page computes with. It does not verify any result the page produces, and it has not yet been signed off by a person — the verification recorded in the source repository is an automated one. Check anything that matters against gov.uk or with an accountant.
Every calculation runs in your browser. There is no application server and no database, so nothing you type is transmitted or stored. A share link is the exception: it carries your figures in the URL. More on what that means. Information, not advice.
Frequently asked questions
- How is UK income tax worked out?
Your income is added up, the personal allowance is deducted from it, and what remains is charged band by band — each band taking the slice of income that falls inside it, at its own rate. That is why nobody pays one rate on everything: a £60,000 salary in England for 2026/27 is charged at 20.00% on the first slice above the allowance and 40.00% only on the part above the higher-rate threshold, giving an effective rate well below either. The calculator above shows every band your own income reaches, how much of it fell in each, and the tax on that slice.
- What is the 60.00% tax trap between £100,000 and £125,140?
Above £100,000 of income the personal allowance is withdrawn at £1 for every £2 earned, and it is gone entirely by £125,140. So a pound earned in that range is taxed itself and also exposes £0.50 that the allowance used to cover, which makes the rate on it one and a half times whichever band rate applies: 60.00% in England, Wales and Northern Ireland, and 67.50% for a Scottish taxpayer in the advanced band. No table of tax bands contains either figure, because there is no band with that rate — it is an effect of the allowance being withdrawn, not a rate anybody legislated. It is also why a pay rise in that range can be worth less than half of itself.
- How much income tax will I pay on £50,000?
On £50,000 of salary in England for 2026/27, income tax is £7,486.00 — an effective rate of 14.97%, leaving £42,514.00 before National Insurance and any student loan repayment. The more useful figure is the one nobody publishes: at that salary you are £270 of income away from the higher rate, the next pound of earnings costs 20.00%, and the next £1,000 costs £346.00 because most of it lands above that threshold.
- Does this calculator include National Insurance?
No, and that is deliberate. National Insurance is a separate charge on a different base: it is worked out on employment earnings or on self-employed profits, not on total income, and none of it is due on savings interest or dividends at all. Folding it into a single figure under three income boxes would produce a number that applies to part of one of them, with no honest way to caption it. So this page answers what income tax is due, says plainly that the result is not take-home pay, and leaves National Insurance to the calculator built for it.
- Why is the tax on my savings interest different from the tax on my dividends?
Because income is charged in a statutory order — non-savings income first, then savings interest, then dividends — and each kind meets a different schedule and a different nil-rate band when it gets there. On the calculator's opening figures another £1,000 of salary costs £346.00, the same £1,000 of interest costs £146.00, and the same £1,000 of dividends costs £136.23. Three answers, one question, and not one of them is a rate published anywhere. The calculator prices all three for your own figures.
- My personal savings allowance says £1,000 unused. Is that £1,000 of tax-free interest?
Usually not, and this is the single most expensive misreading on the page. The personal savings allowance depends on the band you end up in — £1,000 at the basic rate, £500 at the higher rate and £0 at the additional rate — and whether you reach the higher rate depends on the very interest the allowance appears to be inviting. On £50,000 of salary the allowance reads £1,000 with none used, and actually receiving £1,000 of interest costs £146.00 of tax rather than nothing, because it tips you over the threshold and halves the allowance. An unused allowance is not headroom. The calculator works the whole bill out again rather than subtracting.
- Are income tax rates different in Scotland?
Yes, on earned income. Scotland charges earnings across 6 bands where England, Wales and Northern Ireland use 3, with its own rates and its own thresholds, and it has been diverging steadily. Savings interest, dividends and capital gains are not devolved: a Scottish taxpayer pays exactly the same rates on those as everybody else in the UK. Nor is the personal allowance, which is set at Westminster — Scotland sets the rates and bands above it, not the allowance underneath. Choosing Scotland above switches the earnings schedule and leaves the other two alone, which is the part most often got wrong.
- What is the difference between my effective rate and my marginal rate?
The effective rate is the whole bill as a share of the whole income, and it is always lower than the top rate you pay because the bands underneath are charged at less. The marginal rate is what one more pound would cost, and it is the number that decides whether overtime, a bonus or a second job is worth taking. At £110,000 of earnings in England the effective rate is 30.39% and the marginal rate is 60.00%. At £150,000 the effective rate is higher, at 35.80%, and the marginal rate is lower, at 45.00%. Both tables are on the page.
- Does the calculator include the High Income Child Benefit Charge?
Yes. Enter the Child Benefit actually received or treated as received in the tax year and the adjusted net income of whichever partner has the higher figure. The calculator applies the complete statutory income-slice rule, caps the percentage at 100%, and rounds the resulting charge down to a whole pound. It keeps that charge separate from ordinary income tax because it is not part of the income-tax band calculation. It deliberately does not infer adjusted net income from gross salary or household income: pension contributions, Gift Aid and other adjustments can make those figures different.
- Why is my tax different from what my payslip shows?
Several ordinary reasons, none of them a disagreement about the rates. Real PAYE is operated cumulatively across the year against a tax code, so a month is rarely a twelfth of an annual figure, and a code carrying a benefit in kind, an underpayment or a marriage allowance transfer changes the allowance this page assumes. Pension contributions and Gift Aid both reduce a real bill and neither is modelled here. National Insurance and student loan repayments appear on a payslip and not on this page at all. And a payslip only knows about that employment — a second job, savings interest, dividends or rental profit are settled through your tax code or a tax return, not by that employer.
- What does the calculator show on the figures it opens with?
£50,000 of earnings in England for 2026/27: income tax of £7,486.00, an effective rate of 14.97%, and £42,514.00 left before National Insurance. The next threshold is £270 of income away, which is what makes this figure interesting: the rate on the next pound is 20.00% but the cost of the next £1,000 is £346.00, or 34.60% of it, because most of that slice lands in the band above. Savings and dividends start empty, and the panel that prices them shows what filling either box would cost before you do it.