By clicking a retailer link you consent to third-party cookies that track your onward journey. This enables W? to receive an affiliate commission if you make a purchase, which supports our mission to be the UK's consumer champion.
Income tax calculator
With a background in financial journalism across national titles, Ruby loves helping people take control of their money and specialises in pensions, tax, banking and benefits.
When you earn money from employment, you may need to pay income tax and National Insurance contributions from your earnings.
How much income tax you pay will depend on your earnings and tax-free allowances.
To find out the full rates you need to pay, read our income tax advice guides.
Alternatively, you can use our calculator to work out your total tax bill - simply enter your salary.
This tool makes standard assumptions to estimate your tax breakdown and doesn't take into account other things you pay like pension contributions and student loan repayments, that will impact your take-home pay. This calculator assumes you're employed.
We've updated the income tax calculator ahead of the 2027-28 tax year. To see how much you owe for the previous year, use the drop-down to select the 2026-27, 2025-26, 2024-25, 2023-24, 2022-23, 2021-22, 2020-21, or 2019-20 tax year.
How much income tax do I pay?
You're able to earn a certain amount of income tax-free each year.
In the 2026-27 tax year, most income tax rates and thresholds will remain the same as the 2025-26 tax year.
The personal allowance will remain at £12,570.
On income between £12,571 and £50,270, you'll pay income tax at 20% – known as the basic rate.
Between £50,271 and £125,140, you'll pay 40% tax (known as the higher rate) and above £125,140, you'll pay 45% (the additional rate).
If you live in Scotland the thresholds above the personal allowance differ to the rest of the UK and more rates apply. In 2026-27 these are:
- the starter rate (19% on taxable income between £12,571-£16,537),
- the Scottish basic rate (20% on taxable income between £16,538-£29,526),
- the intermediate rate (21% on taxable income between £29,527-£43,662),
- the higher rate (42% on taxable income between £43,663-£75,000),
- the advanced rate (45% on taxable income between £75,001-£125,140)
- and the top rate (48% on taxable income over £125,140).
Note that your personal allowance decreases by £1 for every £2 you earn over £100,000. This means that once your income is over £125,140, you'll be taxed on your full earnings.
To find out more, read our guide to how much tax you pay.
Will I pay income tax on my state pension?
With the personal tax-free allowance still frozen at £12,570 – and plans to keep it frozen until 2031 – some pensioners might have been forced to pay tax on their state pension payments for the first time.
In 2025, the government said that once the state pension is above the frozen personal allowance, pensioners whose sole income is the state pension would not be faced with the task of completing simple assessment tax returns to settle a possible bill. In the October 2026 Autumn Budget, the Chancellor announced how the policy would work with the launch of a new Pension Tax Allowance (PTA) from April 2027.
The new Pension Tax Allowance (PTA) will be calculated by applying the basic rate of income tax (20%) to the difference between the full new state pension (£13,036 in 2027-28) and the personal allowance. For example, the difference in 2027-2028 will be £466, meaning a PTA of £93.
If you are over state pension age, you will be eligible for the automatic tax deduction if your income, regardless of source, is below or at the value of the full new state pension.
For those with incomes just above the value of the full new state pension, the allowance will be gradually withdrawn through a taper.
The PTA will apply from 6 April 2027 until 5 April 2030 and will be uprated each year in line with the annual increase in the state pension.