Gross to Net Salary Calculator
Gross to take-home with tax, social contributions, a student loan and a pension, and the combined marginal rate on the next amount earned.
Gross salary £52,000.00
a month £4,333.33
Deductions
pension £2,600.00 at 5%, which is still yours
income tax £7,366.00 on £36,830.00 of taxable income
social contributions £3,050.60
student loan £2,223.45 at 9% above £27,295
taken from you £12,640.05, 24.3% of the gross
Net pay £36,759.95
a month £3,063.33
a week £706.92
share of the gross that arrives 70.7%
plus into the pension £2,600.00, so 75.7% of the gross is still yours
On the next 1,000 of salary
income tax £206.00
social contributions £20.00
student loan £90.00
into the pension £50.00
reaches your account £634.00
combined marginal rate 36.6%, counting every deduction that moves with the salary
against the tax band alone 20.6%
At other salaries
£31,200 £24,384.15 net, 78.2% of it
£41,600 £30,520.15 net, 73.4% of it
£52,000 £36,759.95 net, 70.7% of it ← yours
£65,000 £42,913.95 net, 66% of it
£83,200 £51,285.95 net, 61.6% of it
£52,000.00 gross becomes £36,759.95 net, which is £3,063.33 a month. The
deductions take 24.3% of the gross, and the pension holds another 5%
that is still yours.
The number worth carrying is the combined marginal rate: 36.6%. Of the
next 1,000, £634.00 reaches your account. The income tax band alone
would have said 20.6%, which is the figure people quote and the wrong
one for deciding whether extra work is worth it.
A pay slip is several separate calculations, not one. Income tax has its
own thresholds, social contributions have different ones, and a student
loan has a third. They do not line up, which is why the total deduction
rate jumps at points that do not match any published band.
Pension contributions taken before tax cost less than they contribute:
at a 20 percent marginal rate, 100 into the pension reduces take-home by
80. That is the single largest arbitrage available to an ordinary
employee, and it is the one most often left at the default rate.
Salary sacrifice and benefits in kind change the arithmetic in ways a
gross figure hides. Sacrifice reduces the gross for both tax and social
contributions; a taxable benefit raises the tax without raising the pay.
This runs the bands you entered on an annual figure. Real payroll is
calculated period by period, often cumulatively, which is why a bonus
month can be over-deducted and corrected later rather than being wrong.
Nothing here is tax advice. It is arithmetic on your numbers, and the
rates, thresholds and rules change every year and differ by region
within most countries.
Output is valid and updates as you type.
Fix the highlighted fields to update the output.
A pay slip is several separate calculations that happen to land on the same person. Income tax runs on one set of thresholds, social contributions on another, a student loan on a third, and a pension usually comes off before any of them. Each is simple and the stack is not, which is why the gap between a headline salary and the money that arrives is such a reliable surprise.
The figure worth carrying out of this is the combined marginal rate: what the next amount earned is worth after every deduction that moves with income. On the example it is 36.6 percent, against the 20.6 percent the income tax band alone would suggest. That is the number that decides whether a raise, a bonus or extra hours are worth taking.
Pension contributions are reported separately from the deductions, because they are not a loss. The money is still yours, it is simply not available yet, and taking it before tax means contributing costs less than the amount contributed.
How to use
- Put in the gross salary and the pension percentage.
- Put in the income tax bands as limits of taxable income and rates, and the social contribution bands on their own thresholds.
- Add a student loan rate and threshold if one applies, then read the marginal rate block.
Example
£52,000 gross, 5 percent pension, UK-shaped bands and a 9 percent student loan above £27,295:
Deductions
pension £2,600.00 at 5%, which is still yours
income tax £7,366.00 on £36,830.00 of taxable income
social contributions £3,050.60
student loan £2,223.45 at 9% above £27,295
taken from you £12,640.05, 24.3% of the gross
Net pay £36,759.95
a month £3,063.33
a week £706.92
share of the gross that arrives 70.7%
plus into the pension £2,600.00, so 75.7% of the gross is still yours
On the next 1,000 of salary
income tax £206.00
social contributions £20.00
student loan £90.00
into the pension £50.00
reaches your account £634.00
combined marginal rate 36.6%, counting every deduction that moves with the salary
against the tax band alone 20.6%
At other salaries
£41,600 £30,520.15 net, 73.4% of it
£52,000 £36,759.95 net, 70.7% of it ← yours
£83,200 £51,285.95 net, 61.6% of it£634 of the next £1,000 reaches the account, and £50 of the rest went into the pension rather than to anybody else. Both facts belong in the same conversation.
Pitfalls
Quote the combined rate, not the band. Any decision about extra work, a bonus or a second job depends on what actually arrives, and that is always higher than the income tax band on its own.
The thresholds do not line up. Income tax, social contributions and a student loan all start at different points, which is why the total deduction rate jumps at incomes that match no published band.
Pension contributions cost less than they contribute. At a 20 percent marginal rate, £100 into the pension reduces take-home by £80. It is the largest ordinary arbitrage available to an employee, and it is usually left at the default rate.
An employer match is pay. Declining it to keep more take-home is turning down money, and no calculation makes that the right call.
Social contributions are usually charged on the gross. They are not reduced by a pension deduction in most systems, which is why they are applied to the gross here rather than after the pension.
Salary sacrifice is different from a pension deduction. Sacrifice reduces the gross for both tax and social contributions, so it saves more. The gross figure you enter has to reflect which one you have.
Real payroll is calculated period by period. Often cumulatively, which is why a bonus month can be over-deducted and corrected later rather than being wrong.
Compatibility
Arithmetic in the browser: nothing is uploaded and nothing is stored.
Both sets of bands are read from text, so any country’s shape works: a flat rate, three bands, seven bands, or a social contribution scale whose top rate is lower than the one below it, which several systems have. Bands are sorted and the top one is always open.
The marginal rate is measured by running the whole pay slip again at a thousand more and comparing what arrives, rather than by adding the published rates together. That is the only way to get it right when the extra money crosses a threshold: on the example it crosses into the higher tax band, so the marginal tax shown is 20.6 percent rather than 20.
Rows for a deduction that is zero are left out rather than printed as zero, and the pension is kept out of the deductions total, which is why the share of the gross that is still yours is reported separately.