Rates verified on 2026-10-15
How we count take-home pay in the United Kingdom
UK PAYE take-home uses Personal Allowance, nation-specific bands, Class 1 NI, optional net-pay pension, and student loan plans.
Tax year
UK-2026-27 covering 2026-04-06 to 2027-04-05 (label year 2026-27).
Calculation steps
- Annualize gross pay
- Subtract net-pay pension contributions from taxable pay
- Apply Personal Allowance, including the high-income taper
- Walk income-tax bands for England & NI, Wales, or Scotland
- Compute Class 1 Employee National Insurance
- Apply student loan plan repayments when selected
- Allocate annual totals to the selected pay period
Country-specific rules
- Pension contributions are modeled as a net-pay arrangement.
- Scotland uses its own income-tax bands from the Scotland file.
- Personal Allowance tapers once income crosses the configured start threshold.
Included
- Income tax by England & NI, Wales, or Scotland
- Class 1 Employee National Insurance
- Student loan plans 1, 2, 4 and postgraduate
- Net-pay pension contributions
Not modeled
- Blind Person's Allowance and Marriage Allowance
- Relief-at-source pension variants
- Scottish starter-rate edge cases beyond the published bands file
Rounding
Amounts are in pence. Bracket tax and NI use half-up rounding; period splits preserve the annual total.
Sources
Primary brackets (from rate file)
| From | To | Rate |
|---|---|---|
| £0.00 | £37,700.00 | 20.00% |
| £37,700.00 | £125,140.00 | 40.00% |
| £125,140.00 | and above | 45.00% |
Worked example
Precomputed with engine.compute using default region assumptions.
| Gross | Net | Effective |
|---|---|---|
| £30,000.00 | £25,119.60 | 16.3% |
| £50,000.00 | £39,519.60 | 21.0% |
| £80,000.00 | £56,957.40 | 28.8% |
Changelog
- 2025-10-09: PLACEHOLDER UK-2025-26 national and nation files shipped for preview.
- 2026-10-10: Default tax year switched to PLACEHOLDER UK-2026-27 (still preview).
- 2026-10-15: UK-2026-27 national VERIFIED vs GOV.UK Income Tax rates + employer thresholds (PA £12,570, England/NI/Wales bands, Class 1 8%/2%). England & NI + Wales region files VERIFIED; five England goldens. Scotland remains PLACEHOLDER until Day 11.
- 2026-10-15: Scotland UK-2026-27 VERIFIED vs HMRC employer PAYE bands (19/20/21/42/45/48); five Scotland goldens; unique SEO + Useful links on England & NI, Scotland, and Wales take-home pages.