Marginal tax applicable to various income segments for a single person working less than 30 hours per week,
shown with and without an outstanding student loan

This is the tax rate applicable to additional income within each band, not the tax on all income.

 

Income band Event Tax NI WTC SLC PA +SLC -SLC
£0 - £6,420   0 0 0 0 0 0 0
£6,420 - £7,091 Tax credit withdrawal begins 0 0 41 0 0 41 41
£7,091 - £7,480 NI primary threshold 0 12 41 0 0 53 53
£7,480 - £11,103 Basic tax deductions start 20 12 41 0 0 73 73
£11,103 - £15,000 Tax credit fully withdrawn 20 12 0 0 0 32 32
£15,000 - £42,480 SLC repayments commence 20 12 0 9 0 41 32
£42,480 - £42,601 Higher rate of tax starts 40 12 0 9 0 61 52
£42,601 - £100,000 NI upper earnings limit 40 2 0 9 0 51 42
£100,000 - £114,961 PA withdrawal begins 40 2 0 9 20 71 62
£114,961 - £150,000 PA fully withdrawn 40 2 0 9 0 51 42
Above £150,000 Additional tax rate 50 2 0 9 0 61 52

 

Key: Tax PAYE deduction
  NI National Insurance deduction
  WTC Tax credit withdrawal
  SLC Student loan repayment
  PA Personal Allowance withdrawal rate
  +SLC Effective marginal rate including student loan repayment
  -SLC Effective marginal rate excluding student loan repayment

 

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