UK Pay Rise Calculator
Compare your salary before and after a pay rise — and see what actually lands in your pocket once 2026/27 income tax, National Insurance, student loan and pension come out. A "10% rise" rarely means a 10% bigger take-home, especially once it crosses a tax band or the £100,000 Personal Allowance taper.
Take-Home Rise
£2,5208.8% more take-home per year
Gross Rise
£3,50010.0% increase in salary
Kept as Take-Home
72.0%of every extra £1 of gross rise
New Marginal Band
Basictop income tax band on the new salary
| Item | Before | After | Change |
|---|---|---|---|
| Gross salary | £35,000 | £38,500 | +£3,500 |
| Income tax | £4,486 | £5,186 | +£700 |
| National Insurance | £1,794 | £2,074 | +£280 |
| Take-home pay | £28,720 | £31,240 | +£2,520 |
Monthly take-home rise: £210. Weekly take-home rise: £48. Figures use the standard 37.5-hour week for period conversion and delegate all tax, NI, student loan and pension maths to the site's main take-home pay engine.
Why your net rise is smaller than your gross rise
Every extra pound of salary is taxed at your marginal rate — the rate on the next pound you earn, not your whole salary. Basic-rate taxpayers keep the most of a rise; cross into a higher band and the extra slice above the threshold is taxed harder. In 2026/27, moving from £48,000 to £53,000 crosses the £50,270 line, so part of that rise is taxed at the Higher rate instead of Basic — the net rise (8.5%) falls further behind the gross rise (10.4%) than a same-size rise that stays in one band.
The sharpest drop-off is the Personal Allowance taper between £100,000 and £125,140 of income: you lose £1 of tax-free allowance for every £2 earned over £100,000, so that income is effectively taxed twice over — once directly, and again through the shrinking allowance. A rise landing in this band, like £95,000 to £105,000, keeps only about 48.0% of the gross increase as take-home pay.
National Insurance and, if you have one, a student loan plan or workplace pension all take an additional share of the rise on top of income tax — each is included in the before/after breakdown above so you can see exactly where the gap between gross and net comes from.
Negotiating? Ask the right question
"What percentage rise am I getting" and "how much more do I take home" are different questions — run both the offer you were given and any counter-offer through the calculator above to compare the after-tax outcome, not just the headline percentage. If a pay rise would tip you over £100,000 or into student loan or Higher-rate territory, an employer pension contribution or salary sacrifice arrangement for part of the increase can keep more of it working for you — see the Pension Tax Relief Calculator and Salary Sacrifice Calculator. For the full picture of your new salary on its own, the Take-Home Pay Calculator breaks down every deduction in detail.
Frequently asked questions
Why is my pay rise worth less than the percentage my employer quoted?
A pay rise is quoted gross, but you only keep what's left after income tax, National Insurance and (if you have one) a student loan or pension deduction. A 10.0% rise from £35,000 to £38,500 only lifts take-home pay by about 8.8% in 2026/27 (England/Wales/NI, no student loan or pension) — you keep roughly 72.0% of every extra £1.
Does a pay rise ever push me into a higher tax band?
Yes — if your new salary crosses £50,270 (the Personal Allowance plus the basic-rate band, 2026/27), the portion above that line is taxed at the Higher rate instead of Basic. Only the amount over the threshold is taxed at the higher rate — not your whole salary. A rise from £48,000 to £53,000 crosses that line, so its net rise (8.5%) lags the gross rise (10.4%) by more than a same-size rise that stays in one band.
What is the £100,000 Personal Allowance taper, and why does it matter for a rise?
Between £100,000 and £125,140 of income, you lose £1 of tax-free Personal Allowance for every £2 you earn over £100,000 — on top of paying tax and NI on the extra income itself. That combination pushes the effective marginal rate well above the headline higher- and additional-rate bands. A rise from £95,000 to £105,000 lands inside that zone: the net rise is only about 7.3% of the gross rise, keeping just 48.0% of every extra £1.
Should I ask for a pension contribution instead of a straight pay rise?
Often, yes — for higher earners especially. A rise paid straight into salary is taxed and NI'd immediately (and, above £100,000, hit by the Personal Allowance taper too). The same amount paid as an employer pension contribution usually avoids income tax and employee NI entirely until you draw the pension. It's not accessible immediately, so weigh the timing against the tax saving using our Pension Tax Relief and Salary Sacrifice calculators.
Does a pay rise affect my student loan repayments?
Yes, if you're above your plan's repayment threshold. Student loan repayments are 9% of everything you earn over the threshold (6% for the Postgraduate Loan), so a rise that keeps you above the threshold has 9p in every extra £1 taken as loan repayment on top of tax and NI — this calculator includes that deduction when you select a plan.
How is the percentage pay rise mode different from entering a new salary?
They give the same answer for the same numbers — percentage mode just saves you doing the multiplication. Enter your current salary and the percentage increase you've been offered (e.g. 5%), and the calculator works out the new salary and the after-tax comparison for you.
Does this work for Scotland?
Yes. Scotland has its own income tax bands (Starter, Basic, Intermediate, Higher, Advanced, Top) set by the Scottish Parliament, while National Insurance, student loan and pension rules are UK-wide. Switch the region selector to Scotland to see the Scottish-band comparison for 2026/27.