How much of a pay rise do you keep after tax?
The amount you keep depends on where the extra salary lands in the UK tax bands and whether the raise also increases National Insurance, pension or student-loan deductions. A 5% gross pay rise does not mean 5% more money in your bank account.
PayPrecise runs your current salary and new salary through the same 2026/27 assumptions, then isolates the difference. The main result is the number most people actually need: extra take-home per month.
Pay rise after tax examples for 2026/27
These examples assume England, Wales or Northern Ireland, standard Personal Allowance, Category A National Insurance, no pension and no student loan.
| Current salary | Gross rise | New salary | Extra net / month | Extra net / year | Gross rise kept |
|---|---|---|---|---|---|
| £30,000 | 5% | £31,500 | £90/mo | £1,080/yr | 72.0% |
| £40,000 | 5% | £42,000 | £120/mo | £1,440/yr | 72.0% |
| £50,000 | 5% | £52,500 | £124/mo | £1,488/yr | 59.5% |
| £60,000 | 5% | £63,000 | £145/mo | £1,740/yr | 58.0% |
| £95,000 | 10% | £104,500 | £384/mo | £4,610/yr | 48.5% |
Examples are annualised and rounded. Add your pension, region and student-loan plan above for a personalised estimate.
Why the take-home value of a pay rise changes by salary
Your existing salary fills the lower tax bands first. The extra salary from a raise sits on top. In England, Wales and Northern Ireland, part of a raise above £50,270 can fall into the 40% Income Tax band; employee National Insurance is 2% above the Upper Earnings Limit. Scotland uses separate Income Tax bands, so the marginal result can differ materially.
Pay rises around £100,000
Adjusted net income above £100,000 starts withdrawing the standard Personal Allowance. That can make the marginal cost of a raise unusually high. The calculator flags when your new salary crosses the taper and includes the allowance reduction in the estimate. Use the £100k tax trap calculator to inspect the taper in detail, or the adjusted net income calculator if pension and other deductions affect where you sit.
Pay rise, pension and student loans
A pension percentage can rise in cash terms when salary rises. Salary sacrifice, net pay and relief-at-source arrangements also affect taxable pay differently, so PayPrecise lets you choose the method rather than treating every workplace pension the same. Around six-figure pay, the pension contribution to stay under £100k guide can help frame the trade-off.
Student-loan deductions rise only on earnings above your plan threshold. For 2026/27 the calculator supports Plans 1, 2, 4 and 5, Postgraduate Loan and undergraduate-plan plus postgraduate combinations. The student loan repayment guide explains the plan thresholds in more detail.
Use this before a salary review, promotion or job offer
The gross number is useful for negotiation; the net change is useful for your life. Before accepting a raise or comparing offers, look at the extra monthly take-home, whether the move crosses a tax or loan threshold, and whether the job changes your commute, unpaid overtime or work costs. Benchmark the proposed salary with the salary percentile calculator, compare it with UK average salary data or salary by occupation, then use True Wage if the role changes your time and work costs.
What does a 5% or 10% pay rise look like after tax?
Percentage rises are one of the most common salary-review questions. The table below shows the estimated extra monthly take-home for 5% and 10% rises using 2026/27 England, Wales or Northern Ireland rates, a standard Personal Allowance, Category A National Insurance, no pension and no student loan.
| Current salary | 5% rise: extra net / month | 10% rise: extra net / month |
|---|---|---|
| £30,000 | £90 | £180 |
| £40,000 | £120 | £240 |
| £50,000 | £124 | £245 |
| £60,000 | £145 | £290 |
| £95,000 | £230 | £384 |
A rise that crosses £50,270 or £100,000 can have a blended marginal rate, so the same percentage does not produce the same take-home percentage at every salary.
How much is a £5,000 pay rise after tax?
A £5,000 salary increase can be worth very different amounts depending on where the extra pay falls in the tax bands. Under the same standard rest-of-UK 2026/27 assumptions, these are the annualised estimates:
| Salary change | Extra take-home / month | Extra take-home / year | Gross rise kept |
|---|---|---|---|
| £30k → £35k | £300 | £3,600 | 72.0% |
| £40k → £45k | £300 | £3,600 | 72.0% |
| £50k → £55k | £245 | £2,938 | 58.8% |
| £60k → £65k | £242 | £2,900 | 58.0% |
| £95k → £100k | £242 | £2,900 | 58.0% |
Use the calculator above for a pension, student loan, Scotland or a pay rise that enters the £100,000 Personal Allowance taper.
What gross pay rise gives me £100 more a month after tax?
As a quick 2026/27 rest-of-UK guide, a basic-rate employee whose whole rise stays in the 20% Income Tax and 8% employee-NI bands keeps about 72p of each extra £1. On that narrow assumption, roughly £1,667 extra gross salary per year produces about £100 more take-home each month.
If the whole rise instead falls in the 40% Income Tax and 2% NI bands, the employee keeps about 58p per £1, so roughly £2,069 extra gross salary per year produces about £100 more take-home each month. Student loans, pensions, Scotland and the Personal Allowance taper can materially change those figures.
Pay rise calculator for Scotland
Scottish Income Tax has different bands and rates, so a salary increase can produce a different net result from the same rise in England, Wales or Northern Ireland. Select Scotland before calculating to compare the old and new salary using the 2026/27 Scottish bands while retaining the applicable UK-wide National Insurance rules.
For a Scottish salary review, promotion or job offer, the calculator gives the same old-versus-new take-home comparison while using Scottish Income Tax rather than rest-of-UK rates. For a full salary calculation use the Scotland salary calculator; for a direct comparison of the systems see moving to Scotland and tax.
Pay Rise Calculator FAQs
How do I calculate a 5% pay rise after tax?
Enter your current salary, choose Percentage and enter 5. PayPrecise calculates the new gross salary and compares both salaries after Income Tax, employee National Insurance, pension and any selected student-loan deductions. Under standard rest-of-UK 2026/27 assumptions, a 5% rise on £40,000 adds about £120 a month to take-home pay.
How much is a 10% pay rise after tax?
It depends on your current salary. Under standard 2026/27 England, Wales or Northern Ireland assumptions with no pension or student loan, a 10% rise on £40,000 adds about £240 a month net, while a 10% rise on £60,000 adds about £290 a month net. Use the calculator for your own position.
How much is a £5,000 pay rise after tax?
The net value depends on the tax band the extra £5,000 falls into. Under standard rest-of-UK 2026/27 assumptions with no pension or student loan, a £5,000 rise from £40,000 to £45,000 adds about £300 a month net; from £50,000 to £55,000 it adds about £245 a month net; from £60,000 to £65,000 it adds about £242 a month net.
What does a pay rise from £50,000 to £55,000 add after tax?
Under standard 2026/27 England, Wales or Northern Ireland assumptions with no pension or student loan, the £5,000 gross rise adds about £2,938 a year, or £245 a month, to take-home pay. The exact result changes with Scotland, pension contributions, student loans and a non-standard Personal Allowance.
Will a pay rise push me into the 40% tax bracket?
It can. In England, Wales and Northern Ireland, the 2026/27 higher-rate threshold is £50,270 with the standard Personal Allowance. Only the slice of income above the threshold is taxed at 40%; the rest is still taxed in the lower bands.
What gross pay rise gives me £100 more a month after tax?
As a simple rest-of-UK 2026/27 guide, if the whole rise stays in the basic-rate Income Tax and 8% NI bands and there is no pension or student loan, roughly £1,667 gross a year gives £100 extra net per month. If the whole rise is in the 40% Income Tax and 2% NI bands, roughly £2,069 gross a year gives £100 extra net per month.
Does a pay rise increase student-loan repayments?
It can. Repayments apply to earnings above your plan threshold, so a salary increase can create or increase deductions. Select your loan plan in the calculator to include that effect in the old-versus-new salary comparison.
Does the pay rise calculator include Scotland?
Yes. Select Scotland to use the 2026/27 Scottish Income Tax bands and rates. This matters because Scottish higher-rate Income Tax starts at a different income level from England, Wales and Northern Ireland.
Can pension salary sacrifice change the value of a pay rise?
Yes. Salary sacrifice can reduce taxable and National-Insurance-able cash pay, while net pay and relief-at-source arrangements work differently. The calculator lets you choose the pension method so the before-and-after comparison uses the same assumptions.
Why might my first payslip after a pay rise differ?
This page is an annualised planning estimate. A real pay rise may start part-way through the tax year, PAYE may be cumulative, and pension or student-loan deductions are operated by pay period. Payroll rounding and tax-code changes can also affect the first payslip.
Rates, data sources and methodology
Rates were rechecked on 10 August 2026. The current tax year is 6 April 2026 to 5 April 2027. Both salaries are calculated with the same selected assumptions so the net change is comparable.
Turn the pay-rise number into a stronger salary decision
If you are preparing for a review or promotion, the next question is not just what the raise is worth after tax, but whether the new salary is competitive and what target you should ask for. Use the UK salary percentile calculator and occupation salary benchmarks to add market context before setting the target.