UK Income Tax Calculator (2020/21)
Estimate your take-home pay after Income Tax and National Insurance for the 2020/21 tax year.
Estimates only — for 2020/21 HMRC tax year values.
Ready
Monthly Take-Home £0.00
Annual Take-Home £0.00
Effective Tax Rate 0%
| Breakdown | Annual (£) |
|---|---|
| Gross Salary | £0.00 |
| Pension | £0.00 |
| Income Tax | £0.00 |
| National Insurance | £0.00 |
| Net Income | £0.00 |
Income Tax & National Insurance Rates 2020/21
Income Tax Bands (England, Wales & Northern Ireland)
| Band | Income Range | Rate |
|---|---|---|
| Personal Allowance | £0 – £12,500 | 0% |
| Basic Rate | £12,501 – £50,000 | 20% |
| Higher Rate | £50,001 – £150,000 | 40% |
| Additional Rate | Over £150,000 | 45% |
National Insurance (Employee Class 1)
| £0 – £9,500 | 0% |
|---|---|
| £9,501 – £50,000 | 12% |
| Above £50,000 | 2% |
Scottish residents use different Income Tax bands for earned income.
How UK Income Tax Works (2020/21)
Income Tax and National Insurance were applied through PAYE. This tax year was the first where the NI lower threshold increased to £9,500, reducing NI for many workers.
- £12,500 Personal Allowance before any tax is due.
- Basic rate (20%) applied up to £50,000.
- Higher rate (40%) applied above that.
- NI threshold increase meant less NI for low earners.
- Additional rate applied at £150,000+.
This calculator follows all official HMRC 2020/21 PAYE and NI rules.
2020/21 Income Tax Examples
Salary: £20,000
- Income Tax: £1,500
- NI: ~£1,260
- Take-home: ~£17,240
Salary: £40,000
- Income Tax: £5,500
- NI: ~£3,660
- Take-home: ~£30,840
Salary: £80,000
- Income Tax: ~£17,500
- NI: ~£5,100
- Take-home: ~£57,400
Frequently Asked Questions
Yes — the Personal Allowance increased to £12,500. Other bands remained largely unchanged.
Yes — the NI lower earnings threshold increased to £9,500, meaning lower NI for many employees.
This UK Income Tax Calculator uses official HMRC 2020/21 Income Tax and National Insurance thresholds for employees in England, Wales and Northern Ireland.