Why does your salary
look so different after tax?
Every UK worker faces this. You agreed to £35,000 — but your bank account tells a different story.
Three things eating your salary
Before you see a single penny, HMRC takes its share. Here’s exactly what happens between your employer paying you and the money hitting your account.
Income Tax (PAYE)
You pay 20% on earnings between £12,570 and £50,270. On a £35,000 salary, that’s roughly £4,486 per year taken before you see anything.
National Insurance (NI)
You pay 8% NI on earnings between £12,570 and £50,270. This funds the NHS and state pension. On £35,000, that’s approximately £1,794 per year.
Student Loan (if applicable)
Plan 2 borrowers repay 9% of earnings above £27,295. Many workers don’t realise this is a fourth silent deduction on their payslip.
Real example: £35,000 salary in 2026
That’s £648 missing from your bank every month compared to what was promised. But here’s what most workers don’t know — some of that money can be recovered.
The UK tax system isn’t designed to be transparent. Most employees simply accept what arrives in their account, unaware that they may be entitled to a tax refund through HMRC — or that a self-assessment review by a qualified tax adviser could recover overpaid income tax going back four years.
In the next step, we’ll show you exactly how much you might have overpaid — and whether you’re owed a refund from HMRC right now.
Are you paying more tax than you should?
Most UK workers don’t claim back everything they’re entitled to. See if you’re one of them — it takes under 2 minutes.
Find out how much you could recover →This content is for general information purposes only and does not constitute financial or tax advice. Tax figures are based on 2025/26 HMRC rates. Individual circumstances vary. Always consult a qualified tax adviser for personal guidance. This site may display advertisements from Google AdSense and other third-party networks.