UK · 2026 to 2027 tax year
Take-home pay calculator
| Item | Year | Month |
|---|---|---|
| Gross pay | £36,000.00 | £3,000.00 |
| Income tax (PAYE) | −£16,200.00 | −£1,350.00 |
| National Insurance | −£1,873.92 | −£156.16 |
| Take-home pay | £17,926.08 | £1,493.84 |
The official method, step by step
- Tax-free pay comes from the tax code: 1257L means £12,570 a year, spread across the months.
- Income tax is 20% on the next £37,700 of taxable pay, 40% up to £125,140 and 45% above (Scottish codes use Scotland's six rates).
- Employee National Insurance is 8% on monthly earnings from £1,048 to £4,189 and 2% above that.
- A pension taken before tax lowers taxable pay, not National Insurance.
- Rounding follows HMRC's PAYE specification, the same routine as the payslip generator.
What this leaves out
- Student and postgraduate loan repayments
- Pensions under relief at source, and salary sacrifice
- National Insurance letters other than A, and directors
- Benefits in kind, bonuses and irregular pay
Sources: HMRC, Specification for PAYE Tax Table Routines, version 24.0 (February 2026), Appendices A–C; HMRC, Rates and thresholds for employers 2026 to 2027; HMRC, 2026 to 2027: Employer further guide to PAYE and National Insurance contributions (CWG2).
Take-home pay calculator: common questions
How is take-home pay worked out?
Gross pay, less any pension taken before tax, less income tax on pay above your tax-free amount, less employee National Insurance. This calculator spreads the salary evenly over 12 months and uses HMRC's 2026/27 rates and thresholds.
What does tax code 1257L mean?
1257L gives £12,570 of tax-free pay for the year, the standard Personal Allowance. A different number changes the tax-free amount; K codes add to taxable pay instead.
How much National Insurance will I pay?
For category letter A, 8% of monthly earnings between £1,048 and £4,189, and 2% of anything above £4,189 a month, in 2026/27.
Does it work for Scotland?
Yes. Enter a Scottish code starting with S, such as S1257L, and Scotland's rates apply: 19%, 20%, 21%, 42%, 45% and 48%.
Does it include student loans?
No. Student and postgraduate loan repayments, relief-at-source pensions and salary sacrifice aren't included, so your payslip may differ.
Can I make a payslip from this?
Yes. “Make the payslip with these numbers” opens the payslip generator with one month's pay, PAYE and National Insurance filled in. You add the pay date and the employee's details and choose a layout. It's free to create and preview.
Need a payslip for this pay?
Free to create and preview. No account or card.