Example result based on the prefilled values.
Result
1,954.17
Continue your plan
Useful next calculations
Rates & sources2026/27
UK PAYE Income Tax and employee NI thresholds for 2026/27. Payroll deductions are calculated per pay period.
Source: HMRC — PAYE — 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.
Gross Annual Salary (£)
£35,000
Income Tax Rate (%)
£35,000
NI Rate (%)
5%
Pension Contribution (%)
£250 per month
After entering these figures, focus on result first and then rerun the tool with a more cautious assumption to understand the realistic range of outcomes rather than relying on a single estimate.
How to read your results
Result
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 simple payroll planning calculator applies the flat Income Tax, employee National Insurance and pension percentages you enter to an annual gross salary, then shows an estimated monthly net amount. It does not apply PAYE bands, thresholds, tax codes or employer National Insurance automatically.
Because real UK payroll is calculated per pay period and can include student loans, benefits, salary sacrifice and other adjustments, do not use this simplified percentage model for payroll processing or RTI reporting.
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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