Payroll Calculator 2026/27
Calculate the true cost of an employee to your business and the employee's estimated take-home pay. Based on 2026/27 PAYE, income tax, and National Insurance rates.
How it's calculated
Employee NI: 8% on £12,570–£50,270; 2% above. Employer NI: 15% on earnings above £5,000. Income tax: basic rate 20% above £12,570 (simplified).
Frequently Asked Questions
- What is the employer National Insurance rate for 2026/27?
- Employers pay 15% NI on employee earnings above the secondary threshold of £5,000 per year. This increased from 13.8% (with a £9,100 threshold) from 6 April 2025.
- Is the Employment Allowance included?
- No — this calculator shows the standard cost. Most eligible employers can reduce their employer NI bill by up to £10,500 per year using the Employment Allowance (not available to single-director companies with no other staff).
- Does this include pension contributions?
- No. Pension contributions under auto-enrolment are not included. The minimum employer contribution is 3% of qualifying earnings. Add this separately to the total employer cost.