At the over-21 rate of £12.71 an hour, a 40 hour week is £26,437 a year. After income tax and National Insurance you take home £22,554 (£1,880 a month).
Rates from 1 April 2026. Annual pay assumes the same hours for 52 weeks, with no overtime, pension contributions or student loan. Take-home an hour is annual take-home divided by hours worked.
| Rate | Hours a week | Gross a year | Income tax | National Insurance | Take-home a year | Take-home a month | Take-home an hour |
|---|---|---|---|---|---|---|---|
| National Living Wage, age 21 and over £12.71 an hour | 37.5 | £24,785 | £2,443 | £977 | £21,364 | £1,780 | £10.96 |
| National Living Wage, age 21 and over £12.71 an hour | 40 | £26,437 | £2,773 | £1,109 | £22,554 | £1,880 | £10.84 |
| Age 18 to 20 £10.85 an hour | 37.5 | £21,158 | £1,718 | £687 | £18,753 | £1,563 | £9.62 |
| Age 18 to 20 £10.85 an hour | 40 | £22,568 | £2,000 | £800 | £19,769 | £1,647 | £9.50 |
| Under 18 £8.00 an hour | 37.5 | £15,600 | £606 | £242 | £14,752 | £1,229 | £7.56 |
| Under 18 £8.00 an hour | 40 | £16,640 | £814 | £326 | £15,500 | £1,292 | £7.45 |
| Apprentice £8.00 an hour | 37.5 | £15,600 | £606 | £242 | £14,752 | £1,229 | £7.56 |
| Apprentice £8.00 an hour | 40 | £16,640 | £814 | £326 | £15,500 | £1,292 | £7.45 |
| Step | Amount |
|---|---|
| Gross salary | £26,436.80 |
| Personal Allowance (tax-free) | £12,570.00 |
| Taxable income | £13,866.80 |
| Basic rate: £13,866.80 at 20% | £2,773.36 |
| Income tax | £2,773.36 |
| National Insurance: (£26,436.80 minus £12,570.00) at 8% | £1,109.34 |
| Total income tax plus National Insurance | £3,882.70 |
| Take-home pay | £22,554.10 |
This splits the £3,883 paid by a full-time worker on £12.71 an hour (40 hours) using HM Treasury's 2025-26 spending figures, adjusted for England.
| Area of spending | Share | Your £3,883 a year | Per month |
|---|---|---|---|
| Social protection | 32.9% | £1,277 | £106.38 |
| Health | 21.2% | £824 | £68.69 |
| Debt interest | 10.8% | £420 | £35.01 |
| Education | 10.1% | £394 | £32.84 |
| Economic affairs | 7.5% | £293 | £24.40 |
| Defence | 5.4% | £211 | £17.57 |
| Public order and safety | 4.5% | £177 | £14.72 |
| Other public services | 2.9% | £113 | £9.46 |
| Housing and community | 1.6% | £63 | £5.28 |
| Environment | 1.6% | £62 | £5.16 |
| Culture and recreation | 1.3% | £49 | £4.06 |
| Total | 100.0% | £3,883 | £323.56 |
| Age band | From 1 April 2026 | Until 31 March 2026 |
|---|---|---|
| 21 and over (National Living Wage) | £12.71 | £12.21 |
| 18 to 20 | £10.85 | £10.00 |
| Under 18 | £8.00 | £7.55 |
| Apprentice | £8.00 | £7.55 |
Apprentices under 19, or aged 19 or over in their first year, get the apprentice rate. Source: GOV.UK, National Minimum Wage and National Living Wage rates. The rate from April 2027 had not been announced when this page was checked.
Related: tax on the living wage, tax on £25,000, tax on £30,000.
From 1 April 2026 the National Living Wage for workers aged 21 and over is £12.71 an hour. The National Minimum Wage is £10.85 for ages 18 to 20, £8.00 for under 18s and £8.00 for apprentices.
A full-time worker aged 21 or over on £12.71 an hour pays £3,420 a year in income tax and National Insurance on a 37.5 hour week (£24,785 gross), or £3,883 on a 40 hour week (£26,437 gross). Both are for England, Wales and Northern Ireland with tax code 1257L.
On a 37.5 hour week at £12.71 an hour, take-home pay is £21,364 a year, or £1,780 a month. On a 40 hour week it is £22,554 a year, or £1,880 a month.
Yes, once earnings pass £12,570 a year. Employees pay 8% on earnings between £12,570 and £50,270. A full-time worker on £12.71 an hour is above that threshold, so they pay both income tax and National Insurance.
No. The legal minimum for over 21s is called the National Living Wage. The Real Living Wage is a higher voluntary rate paid by accredited employers. See the living wage page.
This is an estimate for an employee with one job, tax code 1257L, no pension contributions, student loan or other income. Scotland has different income tax bands. Use the calculator to see Scotland or other tax codes.