Updated for 2026/27

£21,000 After Tax 2026/27

If you earn £21,000 a year in the 2026/27 tax year, your take-home pay will be £18,641 per year, or £1,553 per month, after income tax and National Insurance deductions. You'll pay £1,684 in income tax and £674 in National Insurance, giving you an effective tax rate of 11.2%.

Take-Home (Year)

£18,641.41

Take-Home (Month)

£1,553.46

Take-Home (Week)

£358.50

Effective Tax Rate

11.2%

Full salary breakdown

AnnualMonthlyWeeklyDaily
Gross Income£21,000.00£1,750.00£403.84£95.45
Income Tax£1,684.19£140.34£32.38£7.65
National Insurance£674.40£56.20£12.96£3.06
Take-Home Pay£18,641.41£1,553.46£358.50£84.74

England, Wales & Northern Ireland rates for 2026/27. No pension or student loan deductions applied. Based on HMRC income tax rates and National Insurance rates.

How your £21,000 income is taxed

Your first £12,570 is tax-free (Personal Allowance). Income above this threshold is taxed at the basic rate of 20%. Your marginal rate — the rate on your next pound of income — is 20%.

Personal Allowance — £12,579

Basic Rate (20%) — £8,421 (tax: £1,684)

BandRateIncome in bandTax paid
Personal Allowance0%£12,579£0
Basic Rate (20%)20%£8,421£1,684

National Insurance on £21,000

National Insurance contributions (NICs) are separate from income tax. For 2026/27, employees pay 8% on earnings between £12,570 and £50,270 (the Primary Threshold to Upper Earnings Limit), and 2% on anything above £50,270. On your £21,000 salary, this totals £674 per year (£56/month).

Get your personalised breakdown

The figures above assume no pension contributions or student loan. Add your pension scheme, student loan plan (1, 2, 4, 5 or postgraduate), Scottish tax rates, salary sacrifice, or Gift Aid to see your exact take-home pay.

Frequently asked questions

How much is £21,000 after tax?

On a £21,000 salary in 2026/27, your take-home pay is £18,641 per year (£1,553 per month). You pay £1,684 in income tax and £674 in National Insurance.

What is the effective tax rate on £21,000?

Your combined effective tax rate (income tax + NI) on a £21,000 salary is 11.2%. This means you keep 88.8% of every pound earned.

What is my marginal tax rate on £21,000?

Your marginal income tax rate is 20%. This is the rate you pay on each additional pound of income above your current earnings.

How much National Insurance do I pay on £21,000?

On a £21,000 salary you pay £674 in National Insurance contributions per year (£56/month). NI is charged at 8% on earnings between £12,570 and £50,270, and 2% above that.

How can I reduce my tax on a £21,000 salary?

Common ways to reduce your tax include: salary sacrifice pension contributions (which reduce both income tax and NI), workplace pension contributions under net-pay arrangements, claiming Marriage Allowance if eligible, and salary sacrifice for electric vehicles or cycle-to-work schemes.

All calculations use HMRC 2026/27 tax rates and thresholds. See our methodology for full details.