Salary after tax calculator

Wondering how much you really earn after tax? Use our salary after tax calculator to quickly calculate how much you pay in taxes as well as your take home pay!

What’s meant by salary after tax?

When you earn money over a certain threshold, you have to pay Income Tax and National Insurance. The current threshold is £12,570.

If you’re employed and you get paid a salary every month, you’re taxed by a system called Pay As You Earn (PAYE). With PAYE, Income Tax and National Insurance are automatically deducted from your salary before it hits your bank account. This is the same if you’re on an hourly rate – your employer pretty much does all the groundwork!

When you’re self-employed, the system works a little differently. You have to file a tax return to declare your earnings and then file National Insurance and Income Tax manually on the day of the tax return deadline. When you pay online, this deadline is 31st January. 

When you earn money from both employment and other sources (e.g. you rent out a room in the house you own or have a side business), you’ll owe tax on the total amount. 

My pay is less than what’s on the calculator

If you’re PAYE, chances are more will be deducted from your salary than just National Insurance and Income Tax  (can’t catch a break, we know 😮‍💨) You may have pension contributions, student loan repayments or any other workplace benefits being deducted from your monthly pay. 

Our calculator shows you simply how much tax is deducted based on what you earn – but unfortunately we can’t calculate your perkbox membership or childcare vouchers.

Are there any other taxes to pay?

Is water wet? Yes, there are more taxes to pay than just National Insurance and Income Tax – plenty more. But the good thing is you probably won’t be liable for all of them – taxes you may owe depend on the source of your untaxed income. 

Some examples are:

• A house sale – Capital Gains Tax
• Profits made selling crypto – Capital Gains Tax
• Money made from an estate after someone dies – Inheritance Tax
• Money made from dividends – Income Tax, but at special rates for dividend earnings
• Earnings from a side-hustle – Income Tax

How to use the calculator

Our calculator is really easy to use:

• Pop in your annual salary/earnings (this is your gross salary)
• Choose whether you want to see your monthly or yearly salary after tax
• Select the tax year in question – this is important because tax rates can change depending on the budget