2026/27 tax rates used by Netly Pay.

Netly Pay is an informational estimator for standard employment income. The rates below are the basis of the current calculation engine.

England, Wales and Northern Ireland

Standard Personal Allowance £12,570, tapered by £1 for every £2 of adjusted net income above £100,000 and fully withdrawn by £125,140. Taxable non-savings income uses 20% basic, 40% higher and 45% additional rates.

Scotland

Netly models the 2026/27 Scottish non-savings income rates: 19% starter, 20% basic, 21% intermediate, 42% higher, 45% advanced and 48% top, together with the UK-wide Personal Allowance taper.

Employee National Insurance

For a standard category A employee, Netly models 8% between the primary threshold and upper earnings limit and 2% above it, using annualised monthly thresholds of £1,048 and £4,189.

Student loans

2026/27 annual thresholds used: Plan 1 £26,900; Plan 2 £29,385; Plan 4 £33,795; Plan 5 £25,000; postgraduate £21,000. Undergraduate-plan deductions are modelled at 9% above threshold and postgraduate deductions at 6%.

Important limitations

Payroll normally calculates deductions by pay period, so exact payslips can differ from an annualised estimate. Netly does not currently model unusual tax codes, benefits in kind, multiple employments, directors' NI, Blind Person’s Allowance, marriage allowance, Gift Aid adjustments or every pension method. Pension modelling is explicitly salary sacrifice.

Official sources

Rates should be checked against GOV.UK/HMRC and Scottish Government publications. Netly's public pages link users back to this calculation-basis page for transparency.