UK Career & Salary Calculators 2026/27

Your take-home pay is your gross salary minus income tax, National Insurance and any pension or student loan deductions. In 2026/27, you pay 0% tax on the first £12,570 (personal allowance), 20% on £12,571–£50,270, 40% on £50,271–£125,140 and 45% above that. Employee NI is 8% on earnings between £12,570 and £50,270, then 2% above. Use the take-home pay calculator to see your exact figures.

Salary sacrifice reduces your contractual gross pay before tax and NI are calculated. On a basic-rate salary, each £100 sacrificed into a pension saves you £20 income tax and £8 NI — a total saving of £28. For higher-rate taxpayers the saving is £40 tax + £2 NI = £42 per £100. Use the salary sacrifice guide to model your exact saving.

Contractors typically earn higher day rates but pay their own tax and NI and have no employee benefits (holiday pay, sick pay, employer pension). Inside IR35, contractors pay similar tax to employees. Outside IR35 via a limited company, contractors can pay themselves salary + dividends, often resulting in a lower overall tax bill — but with added complexity. See the contractor vs employee guide for worked examples.

Bonuses are treated as employment income and taxed at your marginal rate. If your bonus pushes earnings above £50,270 or £100,000, some or all of it falls into a higher band. A common strategy is to sacrifice all or part of a bonus into a pension — this avoids the marginal income tax and NI on that amount, and can prevent the loss of the personal allowance at £100,000. The bonuses tax guide covers this in detail.