Bonus Pay Calculator 2024/25
Use our UK bonus pay calculator to estimate how much of a one-off bonus you could keep after Income Tax, National Insurance, pension contributions and student loan deductions for the 2024/25 tax year.
Bonus Pay Calculator FAQs
How is bonus pay taxed in the UK?
For employees, a bonus is normally treated as employment income. It can be subject to Income Tax, employee National Insurance, pension deductions and student loan repayments.
Why does my bonus look like it has been taxed heavily?
Payroll often assesses the bonus in the pay period it is received. This can make the deductions in that month look higher than your normal monthly deductions.
Does this calculator show my next payslip?
It estimates your normal monthly take-home pay and compares it with a bonus month. Your exact payslip may differ depending on your employer's payroll settings and your personal tax code.
Can self-employed people use this bonus calculator?
This calculator is mainly for PAYE employees. If you are self-employed, extra payments are usually treated as business income rather than a payroll bonus.
Understanding bonus pay and deductions
A work bonus is usually added to your regular pay for one payroll period. This means your payslip for that month can look very different from a normal month, especially if the bonus pushes more of your income into a higher tax band for the period.
Normal pay vs bonus month pay
This calculator compares your usual monthly take-home pay with an estimated bonus month. The difference between the two is shown as your estimated net bonus.
Income Tax and National Insurance
Bonuses paid through PAYE are normally subject to Income Tax and employee National Insurance. The exact deduction depends on your total pay, tax code and the payroll period.
Pension and student loan deductions
If your workplace pension or student loan repayments are based on pay in the period, your bonus may also increase those deductions for the bonus month.