Take Home Pay Calculator - UK - 2024-2025

How to use this take home pay calculator:

Enter your annual salary (Gross Salary - Total money earned before taxes and deductions)

This is your gross salary for the year. Or your dream salary if you are looking to the future!

Enter your Tax Code

Your tax code is usually on your payslip or you can get it through the HMRC App. If you don’t know your tax code, go with the recommended default of 1257L. If you’re in Scotland, enter S1257L. Your tax code denotes your personal allowance, everything you earn above this amount is considered your taxable income.

Uncheck the National Insurance if you don't pay National Insurance

Your NI category is usually mentioned in your P45, your HMRC online portal, or previous payslips.

Pension Options

If you’re enrolled in your company pension, enter the % of your salary you’re contributing. If you've opted out or don't contribute towards your company pension, you can set it to 0%. You can choose relief at source, net pay, or salary sacrifice.

Hit Calculate to see your take home pay

At this point, you could switch periods, for example, if you wanted to see your monthly take-home income or your weekly pay.

What you can use this take home pay calculator for and where other pay calculators might be more appropriate?

If you are looking to provide employees with an estimate of their take home salary or you personally just got a pay rise and want to see what your net pay will be, this is ideal. We built this salary calculator because some of the alternatives didn’t do a great job in presenting the results and some bombarded you with advertisements in the process.

You can use this calculator for weekly, bi-weekly, and monthly salaries. It will show you calculations for tax and National Insurance in line with HMRC’s guidance. It will handle most types of pension contributions, but if your approach is currently not supported, get in contact and we will endeavor to incorporate it in the future. We have built it so you can easily switch between seeing what your take home salary will be on an annual or monthly basis.

This calculator works for the 2024/2025 tax year’s tax rates. The UK tax year runs from the 6th April to 5th April the following year. For 2025/2026 tax year follow this link for updated calculations, the most significant of which are employer NI contributions.

Is National Insurance a tax?

National Insurance (NI) in the UK is not officially classified as a "tax," but for most practical purposes, it functions like one. Just like taxes, National Insurance contributions (NICs) are compulsory for most people who earn above a certain threshold. It’s collected by HMRC and it’s based on earnings. It could be argued it is not a tax as it is earmarked for specific benefits such as State Pension, unemployment benefits, maternity pay, and other social security benefits.

When introduced in 1911, NI was explicitly intended as a contributory system to provide insurance against illness, unemployment, and old age, rather than a tax for general government revenue.

When do you pay NI?

As an employee, NI is paid through Pay As You Earn (PAYE) by your employer when they run payroll every month. National Insurance is deducted from your gross salary every month - there isn’t anything you need to do.

What is Income Tax?

Income tax is the main tax you pay on any salary or additional income (for example a Christmas Bonus) you receive within a tax year. Income tax is directly deducted from your gross salary every month, and usually paid to HMRC by your employer via Pay As You Earn (PAYE).

As an employee, this means paying income tax due on your income is already taken care of for you - it happens before you get your net pay every month from your employer.

The amount of income tax you pay on your income depends on multiple factors: your tax code and how your income is taxed, and how much income you get in a financial tax year:

• Your tax code: Your tax code is set by HMRC based on multiple factors including the number of jobs you have, your marital status, if you receive any other forms of income, etc. The tax code you’re put on will influence how income tax is deducted from your income.
• How you get paid: Your income will be deducted differently depending on how you earn it. For example, if you work full-time as a salaried employee, your income tax may be deducted differently than if you’re a part-time employee with additional income made from consultancy work.
• How much income you earn: Income tax works in bands. Usually, the first £12,570 you earn is not taxed (it is called your ‘Personal Allowance’), and as your income increases, it’ll go up band thresholds and be taxed more. See below our UK income tax rates table, based on 2024/25 figures from HMRC.

This is a home salary calculator to estimate how much income tax and NI will be deducted. It should not be used for formal payroll calculations.