Tax calculators · Higher earners
Between £100,000 and £125,140 you lose your personal allowance, which makes that slice of income taxed at an effective 60%. A pension contribution can bring your income back under £100,000 and win the allowance back. See what it would cost you.
Above £100,000 you also lose Tax-Free Childcare and the funded childcare hours, which can be worth thousands a year more. Assumes English, Welsh or Northern Irish rates and that the contribution is within your pension annual allowance.
Close to £100,000? Timing a bonus, salary sacrifice or a pension top-up before 5 April can save you thousands. We'll show you the numbers for your situation.
Book a free 30-minute callThese calculators give estimates based on the figures you enter and the 2026/27 rates shown for England, Wales and Northern Ireland. They are not personal tax advice. Please speak to us before acting on the results.
Once your income goes over £100,000, you lose £1 of personal allowance for every £2 over. By £125,140 it's gone completely. That makes the income between £100,000 and £125,140 taxed at an effective 60%, plus 2% National Insurance if it's salary.
Pension contributions reduce the income HMRC uses for this test. Paying in enough to bring it back to £100,000 restores your full allowance, so that contribution gets tax relief at 60% instead of 40%.
Example: income of £115,000. A £15,000 pension contribution through salary sacrifice cuts the tax bill by £9,000 and National Insurance by £300. The pension gets £15,000 and it costs you £5,700.
| Personal allowance | £12,570 |
| Allowance starts to taper at | £100,000 |
| Allowance fully lost at | £125,140 |
| Income tax: basic, higher, additional | 20%, 40%, 45% |
| Effective rate, £100,000 to £125,140 | 60% |
| Employee NI above £50,270 | 2% |
Directors and higher earners in Hertfordshire can read more on our St Albans page.
Once your adjusted net income goes over £100,000, you lose £1 of your £12,570 personal allowance for every £2 over. The allowance has gone by £125,140, so income in that band is taxed at an effective 60%.
Enough to bring your adjusted net income back down to £100,000. If your income is £115,000, that's a gross contribution of £15,000. The calculator works this out for you.
Salary sacrifice usually comes out slightly ahead because it saves National Insurance as well as income tax. A personal contribution still gets the same income tax relief, but you claim part of it back through your tax return.
Yes. If either parent's adjusted net income is over £100,000, you lose Tax-Free Childcare and the funded childcare hours. For a family with young children, that can be worth thousands a year on top of the tax.
Yes. The annual allowance is £60,000 for most people, and you may be able to carry forward unused allowance from the previous three tax years. It's lower for some very high earners, so check with us before making a large contribution.
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