Pay Rise Calculator
Find out how much a pay rise is actually worth after tax and National Insurance.
Why You Don't Keep All of It
A pay rise is taxed at your marginal rate. Basic rate taxpayers keep about 72% of a rise. Higher rate taxpayers keep about 58%. Between £100k-£125k, you only keep 38% due to the personal allowance taper. See our salary comparisons for common scenarios.
What This Calculator Does
This calculator shows the actual increase in your monthly and annual take-home pay after a raise, accounting for the fact that some of the increase is lost to higher tax and NI. It is designed for employees who have received or are negotiating a pay increase.
How the Calculation Works
It calculates your take-home before and after the raise, showing the marginal tax rate on the increase. It also factors in how a raise affects student loan repayments, pension contributions, and any child benefit clawback.
Common Scenarios
A £3,000 raise from £35,000 to £38,000 adds £170/month to your take-home (not £250) because 32% goes to tax and NI. Near the £50,270 threshold, a raise could cost you even more in marginal tax, especially if you have student loans or receive child benefit.
Related Calculators
You might also find these useful: Bonus Tax, Inflation, Salary Sacrifice. Or use our main salary calculator for a complete take-home pay breakdown.