What is the High Income Child Benefit Charge?
The High Income Child Benefit Charge (HICBC) is the way HMRC claws back Child Benefit from higher earners. It is triggered by the adjusted net income of the higher-income partner — not your combined household income — and starts to bite once that figure passes £60,000, reaching a full clawback by £80,000.
This page estimates how much of the charge could apply to you in 2026/27 based on your adjusted net income and the number of children you claim for, and shows what might bring the charge down, such as a pension contribution or Gift Aid.
If the higher-income person’s adjusted net income is above £60,000, the High Income Child Benefit Charge starts to reduce the value of Child Benefit. At £80,000 or more, the charge matches the full Child Benefit amount under the current GOV.UK rules.
How the Child Benefit charge works
The High Income Child Benefit Charge kicks in once the higher earner's Adjusted Net Income passes £60,000, then builds steadily until the full benefit is clawed back at £80,000. Here is who it hits, how the taper runs, and which income figure HMRC actually uses.
The charge uses the higher-income person’s ANI, not household income
HMRC looks at the adjusted net income of the higher-income person in the household. It does not add both parents’ incomes together. That is why two households with the same combined income can end up with different outcomes.
Check ANI first, then check the Child Benefit amount
If you are near £60,000 or £80,000, the important question is usually not “what is my salary?” but “what is my final ANI after pension contributions, Gift Aid and other reliefs?”.
What increases the chance of a charge
- Bonuses and taxable benefits: a £4,000 bonus on £61,000 raises it
- Other taxable income on top of salary: savings interest pushes your ANI up
- Assuming the charge is based on take-home pay: it uses ANI, not your net pay
What can reduce the charge
- Qualifying pension contributions: £2,000 gross drops £62,000 to £60,000
- Gift Aid donations: £400 given is £500 off ANI
- Checking ANI instead of salary alone: a £58,000 salary can still be £61,000 ANI
Worked examples
Each scenario uses the current GOV.UK thresholds to show how the charge builds as ANI rises. Your own outcome still depends on your exact ANI and the Child Benefit you claim.
ANI £58,000, 2 children
Estimated charge: £0. If the higher-income person stays below £60,000 of ANI, the current rules do not claw anything back.
Common mix-up: people assume salary near the line means a charge, but ANI below the threshold means no HICBC.
ANI £67,600, 2 children
Estimated charge: about 38% of annual Child Benefit. GOV.UK’s current rule is 1% of Child Benefit for each £200 of ANI above £60,000.
In real terms: even a few thousand pounds above the line creates a noticeable repayment.
ANI £82,000, 3 children
Estimated charge: full Child Benefit amount. Once ANI reaches £80,000 or more, the charge equals 100% of the Child Benefit claimed for the year.
What comes next: above this point the question becomes whether to keep the payments or opt out.
Salary £64,000, pension brings ANI lower
The charge can fall or disappear. If qualifying pension contributions or Gift Aid reduce ANI, the charge is worked out from that lower ANI figure, not from salary alone.
The point: salary by itself is not always the right number to use.
What people often get wrong
This section is here to stop the most common mistakes before they lead to the wrong calculation or the wrong admin decision.
Using total household income
The charge is based on the higher-income person’s ANI. It is not based on joint household earnings. That is one of the most common reasons people overestimate or underestimate the charge.
Thinking salary is always the same as ANI
Salary is often only the starting point. Benefits, bonuses and other taxable income can push ANI up, while qualifying pension contributions and Gift Aid can pull it down.
If you are near the threshold, check the linked ANI and opt-out pages next
That gives you the two practical follow-up answers most families need: whether your ANI is really over the line, and whether stopping Child Benefit payments makes sense in your situation.
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Questions people usually ask
What is the High Income Child Benefit Charge?
It is a tax charge that claws back some or all of your Child Benefit when the higher earner’s adjusted net income goes above £60,000.
At what income do you start repaying Child Benefit?
Repayment starts once the higher earner’s adjusted net income passes £60,000, with the full amount clawed back by £80,000.
How much Child Benefit do you pay back?
You repay roughly 1% of your Child Benefit for every £200 of adjusted net income over £60,000, so by £80,000 the charge equals the full amount you received.
Does the charge use household income?
No. It is based on the adjusted net income of the higher-income partner alone, not the combined household total.
Can pension contributions reduce the charge?
Yes. Qualifying pension contributions lower adjusted net income, which can shrink the charge or remove it entirely if you are near £60,000.
Do I have to fill in a Self Assessment return?
Not always. From 2024/25 onward, some employees can ask HMRC to collect the charge through their PAYE tax code instead.
| Primary source | How PayPrecise uses it | Link |
|---|---|---|
| High Income Child Benefit Charge overview | Current thresholds and taper rule. | View source |
| Child Benefit rates | Weekly rates used to annualise the Child Benefit estimate. | View source |
| Adjusted net income guidance | Definition and relief steps used for ANI logic. | View source |
This page is designed to give you a quick, transparent estimate. It is not personal tax advice, and it does not replace checking your exact HMRC position.