What is £40,000 After Tax? UK Salary Breakdown for 2025-26

Ever wondered where your money goes after it leaves your employer's pocket? For the 2025-26 tax year, a £40,000 salary is a key milestone for many UK professionals. It's a bracket where income tax, National Insurance, and other deductions can feel substantial. This guide breaks down exactly what a £40,000 salary looks like after tax, so you can better understand your take-home pay.

Income Tax & National Insurance Explained

For a £40,000 salary, you'll be subject to the standard tax rates for the 2025-26 tax year.

• Income Tax: Your first £12,570 is tax-free thanks to the Personal Allowance. The remaining portion of your salary up to £50,270 is taxed at the basic rate of 20%.
• National Insurance (NIC): You pay NIC at a rate of 8% on earnings between £12,570 and £50,270.

Your Take-Home Pay Breakdown

Ready to See Your Own Numbers?

This is a standard example, but your exact take-home pay can change based on factors like student loans, pension contributions, or other salary sacrifice schemes.

Disclaimer: This calculator provides estimates only and should not be used as official tax advice. All calculations are done locally in your browser and are completely private.