£16 Per Hour Is How Much a Year?

£16 an hour is £31,200 a year before tax (37.5 hrs/week). After tax you take home £2,165 a month.

£16/hour = Annual Salary
£31,200
gross per year (37.5 hours/week)
Take Home Yearly
£25,984
Take Home Monthly
£2,165
Take Home Weekly
£500
Take Home Daily
£100
Tax Breakdown
Gross salary (£16/hr × 37.5hrs × 52wks)£31,200
Income tax-£3,726
National Insurance-£1,490
Take home pay£25,984/yr (£2,165/mo)

£16 an Hour — Full Breakdown

If you earn £16 per hour and work a standard 37.5-hour week, your gross annual salary is £31,200. After income tax and National Insurance for 2026/27, your take home pay is £25,984 per year or £2,165 per month.

Is £16 Per Hour a Good Wage?

£16 per hour is 19% below the median hourly wage for full-time employees (£19.67, excluding overtime, ONS, April 2025). This rate is 26% above the National Living Wage (£12.71). At this level you are comfortably above the Real Living Wage and should be able to cover rent, bills, and have some money left over in most UK cities. It is a typical rate for skilled workers, experienced administrators, and those with a few years in their field. To see how this compares to salaried roles, check the full £16/hr salary guide.

What Does £16/Hour Get You?

On a 37.5-hour week, £16/hr gives you £2,165 per month after tax and National Insurance (or £500 per week). Here is what that looks like in practice:

Your monthly take-home of £2,165 gives you workable options. Budget roughly £714 for rent (a modest flat outside London or a room in zone 3+), £260 for bills and council tax, and £325 for food. After about £216 for travel, that leaves around £650 per month. That is enough for small savings contributions and occasional treats, but a tight budget if you have dependents. Use our tax calculator to model different weekly hours.

Who Earns Around £16 Per Hour?

A wide range of skilled and semi-skilled roles pay around £16 per hour in the UK. Common positions include:

Salaries vary by location, employer, and experience. Use our take-home pay calculator to see your exact figures.

Moving Up from £16/Hour

From £16/hr, you are well-positioned to move into mid-level roles. Professional qualifications make the biggest difference at this stage: CIPD for HR, AAT/ACCA for accounting, PRINCE2 or Agile certifications for project management. In skilled trades, going self-employed or becoming a contractor can boost your effective rate by 30–50%. Management experience is also valuable — taking on team leader responsibilities, even informally, strengthens your CV for £22–28/hr roles. Healthcare workers should explore NHS band 6 positions, which typically pay £18–23/hr. See the jump to £25/hr: £25/hr salary breakdown.

£16 an Hour at Different Weekly Hours

Not everyone works a 37.5-hour week. Here is what £16 an hour comes to as an annual salary — and take-home pay after tax and National Insurance for 2026/27 — at the most common full-time and part-time schedules. A 40-hour week at £16/hr is £33,280 a year (take home £2,290/month), while a 30-hour week is £24,960 a year (take home £1,791/month).

Weekly hoursGross / yearTake home / yearTake home / month
40 hrs/wk£33,280£27,481£2,290
37.5 hrs/wk (standard)£31,200£25,984£2,165
35 hrs/wk£29,120£24,486£2,040
30 hrs/wk£24,960£21,491£1,791
20 hrs/wk£16,640£15,500£1,292

Gross = £16/hr × weekly hours × 52 weeks. Take-home figures apply the 2026/27 England income-tax bands (20/40/45%) and Class 1 National Insurance (8% / 2%), standard tax code, no student loan or pension. Change any assumption in the full calculator.

Different hours or want to add student loans?

Use our full calculator →

Other Hourly Rates

See the full salary breakdown: £31,200 salary after tax

Changing Jobs This Tax Year?

Moving to a new employer part-way through the tax year? Your first payslip depends entirely on the paperwork you hand over.

What is a P45? Every box on the form, explained →P60 explained — your end-of-tax-year summary →1257L — the standard tax code, explained →How to reclaim emergency tax →