Allowance taper
100k tax trap calculator
Estimate take-home pay around £100,000 and see how the Personal Allowance taper changes deductions.
UK take-home pay calculator 2026/27
Estimate Income Tax, employee National Insurance, pension, student loan and take-home pay for England, Wales and Northern Ireland.
Assumptions
- Region
- England, Wales or NI
- Pension
- Net pay
- Student loan
- None
- Loan payroll basis
- monthly
Salary breakdown
| Item | Yearly | Monthly | Weekly |
|---|---|---|---|
| Gross salary | £100,000 | £8,333 | £1,923 |
| Income Tax | -£25,432 | -£2,119 | -£489 |
| National Insurance | -£4,010 | -£334 | -£77 |
| Pension deduction | -£5,000 | -£417 | -£96 |
| Take-home pay | £65,558 | £5,463 | £1,261 |
What people mean by the 100k tax trap
Above £100,000, the Personal Allowance is withdrawn by £1 for every £2 of adjusted net income. That means part of your income is taxed at 40% while you also lose tax-free allowance, creating a higher effective marginal rate before National Insurance and student loan repayments.
The taper ends once the Personal Allowance is fully removed at £125,140 of adjusted net income. Pension contributions can be important because they may reduce adjusted net income for taper purposes.
Frequently asked questions
Why does tax increase after £100,000?+
The Personal Allowance reduces by £1 for every £2 of adjusted net income over £100,000, creating a high effective marginal tax rate until the allowance is gone.
When is the Personal Allowance fully removed?+
Using a £12,570 allowance, it is fully tapered away at £125,140 of adjusted net income.
Can pension contributions affect the taper?+
Pension contributions can reduce adjusted net income in many situations, which may restore some Personal Allowance. Payroll treatment depends on your pension arrangement.