Take-home pay, tax and National Insurance
In the UK your take-home pay comes down to Income Tax, National Insurance and — if you studied — your student loan. These calculators use the 2026/27 HMRC thresholds so you can see your net pay without digging through the tables.
From gross to net
Your first £12,570 is tax-free (the personal allowance). After that, Income Tax is 20% up to £50,270, 40% above it, and 45% over £125,140. On top, National Insurance takes 8% between £12,570 and £50,270, then 2% above.
Student loans, mortgages and inflation
A Plan 2 student loan takes 9% of everything you earn over £28,470. The average mortgage rate is around 4.7%. And since 2010 prices are up about 58% (CPI), which is why older salaries stretch less today.
Key 2026/27 numbers
| Item | 2026/27 value (reference) |
|---|---|
| Income Tax | 20% / 40% / 45% |
| Personal allowance | £12,570 |
| Higher-rate threshold | £50,270 |
| National Insurance | 8% (2% above £50,270) |
| Student loan (Plan 2) | 9% over £28,470 |
| Avg mortgage rate | ~4.7% |
| Median income | ~£35,000 |
| Inflation since 2010 (CPI) | prices ~1.58× (100 → 158) |
These figures are estimates for England, Wales and Northern Ireland and change each tax year. Scotland has its own bands. This is not financial advice — use it as a quick estimate.