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UK Take-Home Pay Explained (2025/26)

2026-01-12

If you earn a salary in the UK, your "take-home" is what lands in your bank after income tax and National Insurance (NI) are taken off. This guide walks through the 2025/26 numbers and links to a calculator that does it for you.

The 2025/26 income tax bands

Band Rate
Personal allowance (£0–£12,570) 0%
Basic rate (£12,571–£50,270) 20%
Higher rate (£50,271–£125,140) 40%
Additional rate (above £125,140) 45%

The personal allowance starts tapering once earnings pass £100,000 (it drops by £1 for every £2 over that), but most people never hit that.

National Insurance

Employee NI in 2025/26 is 8% on earnings between £12,570 and £50,270, then 2% above that.

Worked example: £45,000 salary

  • Taxable income: £45,000 − £12,570 = £32,430
  • Income tax: £32,430 × 20% = £6,486
  • NI: £32,430 × 8% = £2,594
  • Net pay: ~£35,920/year (≈ £2,993/month)

Want it exact for your own figure? Use the UK Take-Home Pay Calculator.

Scotland uses different bands (the Scottish Rate). This guide covers England, Wales and Northern Ireland.

Why this matters for budgeting

Your gross salary is a headline; your net pay is what you actually live on. Estimating it correctly is the first step to any savings or debt plan. For cross-country comparison, see the European Net Salary Estimator.