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Useful next calculations
Rates & sources2026/27
2026/27 England, Wales and Northern Ireland PAYE illustration using the standard Personal Allowance taper, Income Tax bands and Category A employee NI. It is not payroll and deliberately excludes tax-code, Scottish, student-loan and benefits treatment.
Source: GOV.UK — 2026/27 employer rates and thresholds — source checked for 2026/27.
When to use this calculator
- Before accepting a pay change, bonus, pension contribution, or salary-sacrifice option.
- When you want to compare employed, self-employed, or dividend-based income scenarios.
- When you need a simple take-home estimate before running payroll or filing returns.
- When you are approaching the £100,000 income level and want to understand the personal allowance taper effect.
- When you are planning a salary sacrifice arrangement and need to see the net pay impact before agreeing terms.
A realistic UK planning example
Use these sample inputs as a quick scenario test, then change one variable at a time to compare outcomes.
Current annual salary (£)
£35,000
Proposed annual salary (£)
£35,000
Proposed annual pension salary sacrifice (£)
£35,000
After entering these figures, review gross pay change and proposed pay after salary sacrifice together rather than in isolation — each metric tells a different part of the story. Then rerun the tool with one input adjusted to see which variable has the biggest effect on all three outputs before you settle on a plan.
How to read your results
Gross Pay Change
Use this metric to compare scenarios side by side and understand how changes in the key inputs drive the final outcome. If the figure surprises you, isolate one variable at a time and rerun the calculation to identify which assumption is responsible.
Proposed Pay After Salary Sacrifice
Use this metric to compare scenarios side by side and understand how changes in the key inputs drive the final outcome. If the figure surprises you, isolate one variable at a time and rerun the calculation to identify which assumption is responsible.
Method & assumptionsAuthoritative sources
This 2026/27 planner compares a current annual salary with a proposed salary, expected cash bonus and pension contribution made through salary sacrifice. It estimates England, Wales and Northern Ireland Income Tax and Category A employee National Insurance, then shows the change in annual and monthly spendable cash separately from pension money.
The proposed salary-sacrifice amount is compared with the same gross pay without sacrifice to show the estimated Income Tax and employee NI avoided and the net cash cost. It does not assume an employer contribution or that an employer passes on any employer NI saving.
This is a planning estimate, not a payslip. Scottish rates, tax codes, student loans, benefits, other income, reliefs, bonus timing, salary definitions and scheme rules can all change the result. Confirm the written offer and payroll treatment before changing a contract or household budget.
Common mistakes
- !Entering gross income when you really want take-home pay, or vice versa.
- !Ignoring pension contributions, deductions, or local tax rules that change the result.
- !Comparing monthly and annual figures without standardising them first.
- !Overlooking the National Insurance threshold changes that apply mid-year when rates or bands are adjusted in a Budget.
- !Assuming a salary sacrifice benefit reduces take-home pay by the full gross amount, rather than only the after-tax cost.
What to do next
- Check the same scenario with related pay or deduction calculators to see the full picture.
- Keep a copy of the assumptions you used so you can compare next tax year or pay period accurately.
- Read the related guides below if you are choosing between multiple income or deduction options.
- If you are self-employed, run the self-employment tax calculator alongside this result to compare the net position against employed income.
- Check whether increasing your pension contribution by even one or two percent changes the take-home significantly — use the pension calculator next.
Frequently asked
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