What is PAYE?
Pay As You Earn (PAYE) is the system HMRC uses to collect income tax directly from your wages each pay period, based on your tax code and earnings.
Thrivelance Tools
PAYE Calculator UK 2026/27
Work out how much income tax (PAYE) you pay for the 2026/27 tax year. Enter your annual salary to see your personal allowance, taxable income, and tax due across each period.
Enter your salary
PAYE is the income tax portion only — National Insurance is calculated separately.
| Breakdown | Annual | Monthly | Weekly |
|---|---|---|---|
| Gross salary | |||
| Personal allowance | |||
| Taxable income | |||
| Income tax (PAYE) |
Effective tax rate
Marginal tax rate
The personal allowance
You can earn £12,570 tax-free in 2026/27. Above £100,000 the allowance tapers away by £1 for every £2 earned, disappearing at £125,140.
Tax bands
After the allowance you pay 20% up to £50,270, 40% up to £125,140, and 45% above. Scotland has six separate bands.
PAYE vs total deductions
This tool shows income tax only. National Insurance, student loans, and pension are additional — use the full UK salary calculator for the complete picture.
FAQ
Common questions about this calculator.
What is PAYE?
Pay As You Earn is how HMRC collects income tax directly from your salary each pay period, based on your tax code and earnings.
How much can I earn tax-free in 2026/27?
The personal allowance is £12,570. It tapers away by £1 for every £2 you earn over £100,000 and reaches zero at £125,140.
Does PAYE include National Insurance?
No. PAYE is income tax only. National Insurance is a separate deduction - use the NI calculator to work it out.
What about Scottish taxpayers?
Tick the Scottish rates box to apply Scotland's six income tax bands ranging from 19% to 48%.