Frequently asked questions
885 UK tax and pay questions in one index - take-home, tax codes, National Insurance, pensions, IR35 and statutory pay, each linked to its answer.
885 questions, each answered on the page it links to. This page is an index, not a copy - the answers stay where the working and the sources are. If you would rather search, the site search (⌘/Ctrl + K) covers the calculators and the main guides and reference pages, not just the questions listed here.
Calculator questions
Questions about how a calculation works, what a figure includes, and which inputs change the answer. Each links to the calculator that answers it.
Salary Calculator
- How is my take-home pay calculated?
- Can I enter my tax code?
- Which pension type should I pick?
- Does the calculator handle Scottish income tax?
- What about Welsh tax?
- Can I switch to a previous tax year?
- How accurate are the figures?
- How much tax do I pay on a £30,000 salary in the UK?
- What is the take-home pay on a £50,000 salary?
- Is the salary calculator free to use?
Pro-rata Salary Calculator
- What does "pro rata" actually mean on a job advert?
- Do I keep a smaller share of my pay when I work part-time?
- How much holiday do I get if I work part-time?
- Do bank holidays come out of my entitlement?
- How does a term-time-only contract work?
- Is a four-day week a 20% pay cut?
- Does my pension change if I go part-time?
UK National Insurance Calculator
- How much National Insurance do I pay on my salary?
- Why does the calculator ask how often I am paid?
- Do company directors pay National Insurance differently?
- Do I still pay Class 2 National Insurance if I am self-employed?
- What does it cost to fill a gap in my National Insurance record?
- Do I stop paying National Insurance at State Pension age?
- Can I earn a qualifying year without paying any National Insurance?
- How much employer National Insurance will a hire cost?
UK Mortgage Affordability Calculator
- How much can I realistically borrow for a UK mortgage?
- What is the 4.5× income cap?
- What is the Stamp Duty Land Tax (SDLT) rate in England and Northern Ireland in 2026?
- What is LBTT in Scotland in 2026?
- What is LTT in Wales in 2026?
- Why is the stress test at +3pp?
- What mortgage rate should I use?
- How much cash do I need upfront beyond the deposit?
UK Inheritance Tax Calculator
- What is the UK Inheritance Tax threshold for 2026/27?
- What is the Inheritance Tax rate?
- How does RNRB tapering work?
- Can unused spouse allowances transfer to me?
- What changed in the Autumn Budget 2024?
- Are pensions included in the estate for IHT?
- What assets count in the estate?
- When does IHT need to be paid?
UK Apprenticeship Levy Calculator
- Which UK employers pay the Apprenticeship Levy?
- How is the £15,000 allowance shared across a connected group?
- Do employers in Scotland, Wales, and Northern Ireland pay the levy?
- What happens to unused funds in the Apprenticeship Service account?
- Can I transfer unused Apprenticeship Levy funds to another employer?
- How and when is the levy paid?
Dividend Tax Calculator
- What is the dividend allowance in 2026/27?
- What rate of tax do I pay on dividends?
- How do dividends interact with my salary?
- Are dividends from ISAs or pensions taxed?
- Does this cover Scottish taxpayers?
- What is the optimal director salary + dividend split in 2026/27?
- Do I pay National Insurance on dividends?
- When is a dividend taxed - declaration date or payment date?
- How are foreign dividends taxed?
- What is the Section 455 director loan trap?
UK Mileage Tax Relief Calculator
- What are the HMRC mileage rates?
- What counts as a business mile?
- What if my employer pays less than the approved rate?
- How do I claim the tax relief?
- What if my employer pays more than the approved rate?
- Can I claim mileage if I use a company car?
- Can I claim for carrying passengers on business trips?
- Does this apply to self-employed people?
UK Tronc and Tips Calculator
- What is a tronc and why does it save National Insurance?
- When does the Employment (Allocation of Tips) Act 2023 apply?
- Does an independent tronc still need to operate PAYE?
- When does the employer-controlled treatment apply (PAYE plus NIC)?
- What counts as a "qualifying tip" under the Act?
- Are tips counted toward National Minimum Wage?
- How are tips reported for tax if I receive cash directly?
UK P11D Benefits in Kind (BIK) Calculator
- What is a P11D and which benefits are reportable?
- How is the company car BIK calculated in 2026/27?
- What is the fuel benefit charge for 2026/27?
- How is private medical insurance taxed?
- Who pays National Insurance on Benefits in Kind?
- Should I take a company car or a cash allowance?
- What is the difference between payrolled benefits and P11D?
- What happens to BIK when income hits the £100k personal-allowance taper?
UK Council Tax Calculator
- How are UK Council Tax bands set?
- Can I appeal my Council Tax band?
- What is the Single Person Discount?
- Do full-time students pay Council Tax?
- What is the severely mentally impaired (SMI) disregard?
- What is Council Tax Reduction (CTR)?
- How many instalments can I pay over?
- Does Northern Ireland have Council Tax?
- Which council has the lowest Council Tax in England?
- How do precepts work?
IR35 Deemed Payment Calculator
- When does the Chapter 8 deemed payment apply, not the off-payroll working rules?
- What is the 5% standard allowance?
- Which expenses can the PSC deduct in the deemed-payment computation?
- Why is employer NIC added on top of the deemed payment?
- How does drawing a salary during the year change the deemed payment?
- When is the deemed payment due to HMRC?
- Does the deemed payment count as Corporation Tax deductible expenditure?
UK Shared Parental Pay Calculator
- What is Shared Parental Pay (ShPP) in 2026/27?
- How many weeks of Shared Parental Leave and Pay are available?
- Who is eligible for ShPP?
- Can both parents take Shared Parental Leave at the same time?
- How much notice do I have to give my employer?
- Is Shared Parental Pay taxable?
- Can my employer pay more than statutory ShPP?
UK Tax-Free Childcare Calculator
- Who can claim Tax-Free Childcare?
- How does the 20% top-up actually work?
- What counts as eligible childcare?
- Can I use Tax-Free Childcare alongside 30 hours free childcare?
- Is Tax-Free Childcare or Universal Credit better?
- What about Childcare Vouchers - can I still use those?
- What if my income changes during the year?
- What is the quarterly cap and why does it matter?
UK UFPLS Calculator
- What is UFPLS and how is it taxed?
- How is UFPLS different from flexi-access drawdown?
- Does UFPLS trigger the Money Purchase Annual Allowance?
- Why does my UFPLS get taxed so heavily on the first payment?
- How do I claim back over-withheld UFPLS tax?
- How does the £268,275 Lump Sum Allowance affect UFPLS?
- Can I take multiple UFPLS payments in the same tax year?
- Should I choose UFPLS or flexi-access drawdown?
UK Employer Cost Calculator
- What is the true cost of hiring an employee in the UK in 2026/27?
- How much is UK Employer NI (Class 1 Secondary) in 2026/27?
- What is the minimum employer pension contribution for auto-enrolment?
- What is the Employment Allowance and who can claim it?
- Do I pay Apprenticeship Levy on every employee?
- How are Benefits in Kind costed for the employer?
- How does the £5,000 Secondary Threshold compare to the employee thresholds?
- What is a typical cost ratio (total cost / salary) in the UK?
Salary vs Dividend Optimisation Calculator
- Why is £12,570 the standard director salary?
- Is salary or dividend more tax-efficient at higher levels?
- Should I keep some profits in the company instead?
- What happens in the £100,000 to £125,140 Personal Allowance taper zone?
- Does my company need to pay Employer NI on the £12,570 director salary?
- What about pension contributions from the company?
- How accurate is this calculator?
UK High Income Child Benefit Charge (HICBC) Calculator
- What is the High Income Child Benefit Charge (HICBC)?
- When did the threshold rise from £50,000 to £60,000?
- How is the HICBC calculated in 2026/27?
- What are the Child Benefit rates for 2026/27?
- Who actually pays the HICBC?
- Can pension sacrifice reduce or eliminate HICBC?
- Should I stop claiming Child Benefit if my income is over £80,000?
- What counts as adjusted net income for HICBC?
UK IHT 7-Year Gift Taper Relief Calculator
- What is taper relief on Inheritance Tax gifts?
- Does taper relief reduce the gift value or just the tax?
- How does the Nil-Rate Band interact with the 7-year rule?
- What is the annual exemption and how does it apply?
- What counts as a Potentially Exempt Transfer (PET)?
- Who pays the IHT on a failed PET - the recipient or the estate?
- Are gifts with reservation of benefit covered by the 7-year rule?
- What records should I keep for lifetime gifts?
UK Bonus Sacrifice Calculator
- What is bonus sacrifice into pension?
- How much tax do I save by sacrificing my bonus?
- Will my employer pass back their NI saving?
- Is bonus sacrifice better than cash for everyone?
- Does bonus sacrifice affect my pension annual allowance?
- When do I need to set up bonus sacrifice?
- Can I sacrifice more than the bonus into pension?
UK Trading Allowance Optimiser
- What is the £1,000 trading allowance?
- When do I need to register for Self Assessment?
- Can I claim the trading allowance AND deduct expenses?
- How does the trading allowance interact with PAYE salary?
- Is the £1,000 property allowance separate from the £1,000 trading allowance?
- Does each spouse get their own £1,000 trading allowance?
- What counts as trading income for the allowance?
- What happens if I claim the allowance but my expenses were higher than my income?
UK Section 24 Landlord Mortgage Interest Calculator
- What is Section 24 of the Finance (No. 2) Act 2015?
- Why does Section 24 hurt higher-rate landlords?
- Does Section 24 apply to limited companies?
- How is the 20% tax credit capped?
- Are Furnished Holiday Lets affected by Section 24?
- Does Section 24 apply to commercial property landlords?
- How does Section 24 interact with the £100k personal allowance taper?
- Can I just put properties into a Ltd company to escape Section 24?
Tax code questions
What a code on your payslip means, why it changed, and whether it is costing you money. One page per code.
Tax code 1257L
- What does the 1257L tax code actually mean?
- Why is my tax code 1257L and not another number?
- Is 1257L the right tax code for me?
- How much tax do I pay on 1257L?
- Will 1257L change for 2027/28?
- What if my payslip shows 1257L W1 or 1257L M1?
- My code is 1257L but my salary looks wrong on payslip - what's happening?
- Does 1257L apply in Scotland?
Tax code 0T
- Why has HMRC put me on 0T?
- Can I stay on 0T permanently?
- What's the difference between 0T and BR?
- Is 0T the same as an emergency tax code?
- How fast can I get 0T corrected?
- Does 0T taper with the £100k+ PA reduction?
- Will I get a refund from a 0T code?
- I gave my employer my P45 but I'm still on 0T - what now?
- Does the 0T code apply in Scotland?
Tax code 1257L W1/M1/X
- Why am I on an emergency tax code?
- Does emergency code mean I'm paying more tax?
- What is the emergency tax rate in the UK?
- How much extra tax does emergency code take?
- What's the difference between W1, M1 and X?
- How do I claim back overpaid emergency tax?
- Will I get a refund if emergency code over-taxed me?
- Is the old 50% emergency tax rule still in force?
Guide questions
Questions answered inside the long-form guides.
Child Benefit Tax (HICBC) 2026/27: £60k Earners, What You Pay
- What is the HICBC threshold for 2026/27?
- Whose income counts for HICBC - mine or my partner's?
- What income counts towards the £60,000 HICBC threshold?
- Do pension contributions reduce HICBC?
- How much HICBC will I pay at £70,000 income with two children?
- Should I opt out of Child Benefit if I'm above £80,000?
- What happens if I forget to declare HICBC on self-assessment?
Company Car Tax 2026/27: EV 4% vs Petrol 17-37% BIK
- What is the company car BIK rate for electric cars in 2026/27?
- How is company car BIK calculated in 2026/27?
- How much company car tax will I pay on a Tesla Model 3 in 2026/27?
- Do hybrid (PHEV) company cars still get a low BIK rate?
- Is salary sacrifice for an EV worth it in 2026/27?
- What is the diesel surcharge on company car BIK?
- How does company car tax show up on my payslip?
How to Claim a National Insurance Refund from HMRC (2026/27)
- How do I claim back National Insurance I overpaid because I had two jobs?
- Can I get a refund of National Insurance paid after State Pension age?
- Is there a time limit for claiming a National Insurance refund?
- Can I get a refund of voluntary Class 3 contributions I no longer need?
- How do I stop overpaying National Insurance on two jobs this tax year?
How to Claim Higher-Rate Pension Tax Relief on Relief-at-Source Contributions (2026/27)
- Do higher-rate taxpayers get 40% pension tax relief automatically?
- How do I claim higher-rate pension relief if I do not do Self Assessment?
- Can I use the online form if I already file a tax return?
- Do I get extra relief on the whole contribution?
- Does a relief-at-source pension contribution reduce adjusted net income?
How to Pay Your Self Assessment Bill: Every Method, Reference and Deadline (2026/27)
- What reference do I use to pay my Self Assessment bill?
- Which HMRC account do I pay Self Assessment into, Cumbernauld or Shipley?
- How late can I pay Self Assessment on 31 January and still be on time?
- Can I pay my Self Assessment bill through my PAYE tax code?
- What happens if I pay Self Assessment late?
How to Remove a Company Car or Other Benefit from Your Tax Code (2026/27)
- I gave my company car back but it is still in my tax code. Why?
- How do I tell HMRC I no longer have a company car?
- How long does it take for my tax code to change after I report a benefit has stopped?
- What is the difference between a payrolled benefit and a benefit in my tax code?
- Will company cars still be in tax codes after April 2027?
How to Report and Pay CGT on a UK Property Sale Within 60 Days (2026/27)
- Do I have to report a property sale to HMRC if there is no Capital Gains Tax to pay?
- Does the 60 days run from exchange of contracts or from completion?
- Do I still need to put the sale on my Self Assessment tax return?
- What if I cannot use the online Capital Gains Tax on UK property account?
- How do I pay the Capital Gains Tax once I have reported?
How to Set Up a Time to Pay Arrangement with HMRC (2026/27)
- Can I set up an HMRC payment plan online for Self Assessment?
- Does HMRC still charge interest on a Time to Pay arrangement?
- Will a payment plan stop late payment penalties on my Self Assessment bill?
- What happens if I miss a payment under my Time to Pay arrangement?
- How much will HMRC ask me to pay each month?
How to Sign Up for Making Tax Digital for Income Tax (2026/27)
- What do I need to sign up for Making Tax Digital for Income Tax?
- Can my accountant sign me up for Making Tax Digital instead?
- HMRC has written to say it has signed me up. What do I do?
- Does signing up voluntarily for Making Tax Digital lock me in?
- How do I leave Making Tax Digital for Income Tax once I have to use it?
How to Transfer Child Benefit National Insurance Credits to Your Partner (CF411A) (2026/27)
- Can I transfer my Child Benefit National Insurance credits to my husband, wife or partner?
- What is form CF411A used for?
- How far back can I transfer Child Benefit NI credits?
- Do I still get NI credits if I opt out of Child Benefit payments?
- How do I know the transferred credits have reached my National Insurance record?
IR35 Explained 2026/27: Inside vs Outside Tax
- What is IR35 in simple terms?
- What is the difference between inside IR35 and outside IR35?
- Who decides whether I am inside or outside IR35?
- How much tax do I pay inside IR35 vs outside IR35 in 2026/27?
- Is outside IR35 still worth it after the 2024 tax reforms?
- What is the CEST tool?
- What is a Status Determination Statement (SDS)?
MTD ITSA Quarterly Deadlines + Penalties 2026/27
- When is the first MTD ITSA quarterly update due?
- What happens if I miss an MTD ITSA quarterly update?
- Are MTD ITSA late payment penalties different from the points system?
- Can I align MTD quarters to calendar quarters instead?
- Do I still need to file a Self Assessment return under MTD?
- What if I have multiple businesses - one MTD update or one per business?
- When does MTD become mandatory at £30k?
MTD ITSA Who Needs to Comply 2026/27: Thresholds + Exemptions
- What income counts toward the £50,000 MTD ITSA threshold?
- Are partnerships in scope for MTD ITSA?
- I have £40,000 self-employment and £15,000 rental income - am I in scope from April 2026?
- Can I get an exemption from MTD ITSA?
- What if my qualifying income changes between years?
- Can I sign up to MTD ITSA voluntarily before I'm required?
- What is 'digital exclusion' as an MTD exemption?
Payslip Fraud 2026/27: Check Your Tax Actually Reached HMRC
- What is payslip fraud?
- How do I check my employer is actually paying my tax to HMRC?
- What happens to my tax if my umbrella company does not pay it to HMRC?
- My employer offered to pay me in full with no tax deducted - is that a problem?
- Why does payslip fraud matter if I still got paid?
- I am a CIS subcontractor and I think my deductions were not paid over. What do I do?
- What is a Key Information Document and why does it matter here?
- Who do I report payslip fraud to?
UK Capital Gains Tax (CGT) Rates 2026/27: Allowance and BADR
- What is the Capital Gains Tax rate UK 2026/27?
- What is the Capital Gains Tax annual exempt amount 2026/27?
- What is the Business Asset Disposal Relief rate 2026/27?
- Do I pay CGT on selling my main home?
- What CGT reliefs are available?
- When do I pay CGT?
- How much CGT will I pay on £50,000 share gain as higher-rate taxpayer?
UK Tax Changes 2026/27: What's New from April
- What changed in UK tax from 6 April 2026?
- Has the Personal Allowance changed for 2026/27?
- What is the new Class 2 NI rate for 2026/27?
- How much is Statutory Maternity Pay in 2026/27?
- Did Scottish income tax bands change for 2026/27?
- What is the redundancy weekly cap for 2026/27?
- Are UK tax thresholds frozen again for 2026/27?
Unclaimed Child Trust Funds: How to Find and Claim Yours
- Who has a Child Trust Fund?
- Does a Child Trust Fund belong to the child or the parent?
- Do I pay tax when I take money out of a Child Trust Fund at 18?
- What happens if nobody claimed the account at 18?
- How do I find a lost Child Trust Fund for free?
- How much can still be paid into a Child Trust Fund?
- Can a Child Trust Fund be transferred into a Junior ISA?
Not answered here
This site models UK tax and pay; it does not give advice on your particular circumstances, and no page here knows anything about your record with HMRC. For a figure specific to you, your personal tax account holds what HMRC actually has on file. How the figures on this site are sourced and tested is in the methodology, and confirmed reader-reported corrections are logged on the corrections page.