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Income Tax Calculator

Estimate your income tax for the 2026/27 tax year (England, Wales & Northern Ireland) by band.

Inputs

GBP
Personal allowance £12,570 (reduced by £1 for every £2 of income above £100,000, gone at £125,140). Basic rate 20% up to £50,270, higher rate 40% up to £125,140, additional rate 45% above. These are England/Wales/NI rates; Scotland differs. Excludes dividends, savings starting rate and reliefs.

Income Tax

Total for the year
£0

How income tax bands work

UK income tax is marginal: you pay each rate only on the slice of income within that band. The first £12,570 (your personal allowance) is tax-free; income from there to £50,270 is taxed at 20%; from £50,270 to £125,140 at 40%; and above £125,140 at 45%.

Once income exceeds £100,000, the personal allowance is withdrawn by £1 for every £2 earned, fully disappearing at £125,140. This creates an effective marginal rate of about 60% between £100,000 and £125,140. Pension contributions and Gift Aid can extend your basic-rate band and reduce the tax due. Scotland sets its own bands and rates.

FAQ

What is the personal allowance?
The amount you can earn tax-free — £12,570 for 2026/27 — though it tapers away above £100,000 of income.
Why is the rate effectively 60%?
Between £100,000 and £125,140 you pay 40% tax and simultaneously lose personal allowance, so each extra £1 costs about 60p in tax.
Does this include National Insurance?
No — NI is separate. Use the National Insurance or Take-Home Pay calculators to include it.
What about Scotland?
Scotland has its own income tax bands and rates (more bands, different thresholds), so the figures here apply to England, Wales and Northern Ireland.