Take-Home Pay in the UK
|Salary Before Tax|
|Total Tax Due|
|Salary After Tax||Enter salary|
- Salary Before Tax
- your total earnings before any taxes have been deducted. Also known as Gross Income.
- Salary After Tax
- the money you take home after all taxes and contributions have been deducted. Also known as Net Income.
- Total Tax Due
- the sum of all taxes and contributions that will be deducted from your gross salary.
|Your Take-Home Pay:|
|Your Gross Salary:|
|Average Gross Salary:||£ 2,113 / mo|
|Minimum Wage:||£ 9.50 / h|
|Work Week:||35–40 h|
|Total Paid Leave:||28–30 / year|
How to Use the UK Salary Calculator
With our salary calculator, you can quickly estimate your take-home wages. Simply select where you live (England, Scotland, Wales, or Northern Ireland), how often you're paid (weekly, monthly, or yearly), and then enter the gross amount. Once you press the calculate button, you'll see your take-home pay and your total taxes due.
Because taxes are complicated and vary greatly based on personal circumstances, we've made a few assumptions to make this salary calculator for the UK easy to use. These include that you're unmarried and have no dependents. Once all personal circumstances and deductions have been accounted for, you may owe less, or in some cases more, in taxes than the estimated amount.
How Is Salary Calculated and Paid in the UK?
To calculate your salary after tax in the UK, simply subtract from your gross salary your income tax and National Insurance contributions. UK taxes are paid using the Pay As You Earn (PAYE) scheme, which means your employer will automatically deduct all taxes and contributions from your wages. In other words, if your taxes are collected through PAYE, then you generally don't have to file a tax return.
These calculations depend on your tax code, which your employer figures out based on your P45. Under the PAYE system, all taxes and even deductions like student loan repayments and pension contributions will be taken into account. However, if you're self-employed, you need to complete a self-assessment tax return.
Taxes Included in This UK Take-Home Pay Calculator
Taxes in the UK are overseen by His Majesty's Revenue & Customs (HMRC). In this UK salary calculator, we account for the two major tax expenses that UK wage-earners can expect:
- Income Tax: The UK income tax system is based on marginal tax rates, so your total taxes due will depend on how much of your income falls within each tax band. For England, Wales, and Northern Ireland, your first £12,570 is tax-free. A 20% tax rate is applied up to £50,270, a 40% tax rate up to £150,000, and a 45% tax rate for all additional income. For Scotland, the tax rates differ and can be found on the government's Income Tax in Scotland page.
- National Insurance (NI): If you're older than 16 and are making more than £242 a week, then you have to make an NI contribution. These contributions qualify you for State Pension and additional benefits like Jobseeker's Allowance.
What Is a Good Salary in the UK?
The median monthly pay in the UK is £2,113, or £25,356 yearly, according to the latest data from the Office for National Statistics (ONS) and HMRC. The higher your income rises above this median pay level, the more comfortably you can expect to live across the UK. If we toss that median monthly pay into our UK salary calculator, it comes out to around £1,759 after-tax.
However, it's best to take your specific location's median pay into account. For instance, the average pay in inner London and outer London varies from £2,087 in Enfield to £3,297 in Wandsworth (after tax, that's £1,742 and £2,549 respectively). We can infer from this that living expenses vary quite a bit too. This nuance is lost if we just look at London as a whole, which has an average (median) salary of £2,548 — after tax that's £2,049 a month.
If you want to learn about the costs of home ownership, groceries, utilities and more, head over to our Costs of Living in London article where we discuss all that in great detail.
What Is the Minimum Wage in the UK?
The UK enforces a National Living Wage for workers aged over 23 and a National Minimum Wage for those of at least school-leaving age (starting at 16 depending on where you live). As of April 2022, the National Living Wage is £9.50 an hour. The National Minimum Wage is £9.18 for ages 21 to 22, £6.83 for ages 18 to 20, £4.81 for ages under 18, and £4.81 for apprentices.
Assuming a 37.5-hour work week, the National Living Wage for a 23-year-old is £356 a week, £1,544 a month, or £18,525 a year. Using our UK take-home pay calculator, that comes out to £1,379 a month after-tax, in England, Wales, or Northern Ireland, and slightly more in Scotland, where the monthly take-home pay would sit at £1,381.
What Is the Average Salary in the UK?
The average (mean) salary in the UK is £613 a week, £2,656 a month, or £31,876 a year according to ONS and HMRC. However, averages tend to skew toward high-income individuals. For a more dependable estimation, we can look at the median gross salary in the UK, which is £25,356 a year, or £2,113 monthly.
To more clearly illustrate what most individuals in the UK earn, we've compiled a before- and after-tax monthly earnings table with thirteen major cities. The starkest difference is between London's £2,548 monthly pay (£2,049 after-tax) and Leicester's £1,766 (£1,527 after-tax). Other major cities that break over the £2,000 before-tax threshold include Leeds, Glasgow, Southampton, Bristol, and Edinburgh.
|Median Monthly Pay|
|City||Before Tax||After Tax|