Income Tax Calculator

Highly accurate and reliable income tax calculator for UK based taxpayers, with detailed information about tax, National Insurance and net pay. Updated for the tax year 2019-2020.

Need more advanced tax calculations? Use this tax calculator instead to include more advanced calculations, such as dividends, student loan, childcare vouchers, and many more.

Warning: You need to be aware that there are thousands of tax refund scam calls in the UK every week - criminals call you and pretend that you are due for an income tax refund - don't fall for it, and check who called you first on websites such as Scam Caller to avoid being scammed.

£45,000 Income Calculations

If you earn £45,000 a year in 2019 / 2020, you'll take home £2,845 every month, and your hourly rate will be £21.63.

HMRC will deduct £6,500 in tax, and £4,364 in National Insurance from your salary (that's £10,864 total deductions), and your full yearly take-home will be £34,136 . Please see the table below for a more detailed break-down.

Gross £45,000 £3,750 £865 £21.63
Tax £6,500 £542 £125 £3.13
NI £4,364 £364 £84 £2.10
NET £34,136 £2,845 £656 £16.40

£45,000 Salary Highlights

Monthly NET

Your monthly net pay, after tax and NI will be £2,845. This is the cash you receive in your bank account.

Hourly rate

Your hourly income (or hourly rate) will be £21.63, for a normal, full time 40 hours work week.

Your £45,000 income explained

We know from your input that your total income for the year 2019 / 2020 is £45,000. Let's break-down this sum and see how we've calculated your tax, NI, and monthly net salary.

Personal allowance

Everyone earning an income in the UK has a personal allowance -- usually the first few thousands of pounds (a year) from your salary -- that you don't have to pay tax on. For the tax year April 2019 /April 2020, this personal allowance is £12,500.

This means that for the first £12,500 that you are earning, you will pay no tax. Please note that you still have to pay National Insurance, as National Insurance has different allowances. We'll get to this soon.

Your taxable amount

Therefore, if we deduct the personal allowance from the yearly £45,000 salary, you’ll have a taxable amount of £32,500.

Amount liable for NI

You also have a national insurance threshold on your salary, which means that you won’t pay NI for the first £8,632 from your yearly salary. This means that, according to our calculations, only £36,368 of your yearly earnings will be liable for National Insurance.

Your income tax

Your total tax for the tax year Apr 2019 – Apr 2020 is £6,500. This equates to £542 tax per month.

Your National Insurance

You will pay a total of £4,364 in national insurance in the tax year Apr 2019 – Apr 2020.

Your Income vs UK Average Salary

You earn £16,972 more than the UK average salary.

The UK average salary was £28,028 in 2017. This means that on average, the monthly NET salary is £1,870 in the UK.

(source: BBC)

Your Hourly Rate vs UK Living Wage

Your hourly rate is £12.63 higher than the UK real living wage.

The UK real living wage is £9.00.

(source: Living Wage Foundation)
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