Bonus Calculator 2025-2026
Calculate how much of your bonus you'll actually take home after tax, National Insurance, student loans, and pension contributions.
Ready to Calculate
Enter your salary and bonus details to see how much you'll actually take home.
Understanding Bonus Taxation
Bonuses are treated as regular income and taxed accordingly. This means your bonus is added to your annual salary and taxed at your marginal rate. If your bonus pushes you into a higher tax bracket, the portion above the threshold will be taxed at the higher rate.
Why Bonuses Are Heavily Taxed
- ✓ Taxed at your marginal rate (not your average rate)
- ✓ Subject to National Insurance contributions
- ✓ Student loan repayments apply (if applicable)
- ✓ May push you into a higher tax bracket
- ✓ Can affect your personal allowance if over £100k
Maximizing Your Bonus
- ✓ Consider pension contributions (tax relief)
- ✓ Salary sacrifice options before bonus paid
- ✓ Spread bonus over multiple tax years if possible
- ✓ Use tax-efficient investments (ISAs, pensions)
- ✓ Check if bonus timing affects tax year
Important Note
This calculator assumes your bonus is paid in addition to your regular salary in the same tax year. The actual tax may vary slightly depending on when the bonus is paid and your employer's payroll system. Some employers may use different tax codes or emergency tax codes for bonus payments, which could be adjusted later through your tax return.