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Personal Allowance Taper (60% Tax Trap) Calculator

How much personal allowance you lose above £100,000, the effective 60% marginal rate, tax on a pay rise or bonus in the trap, and the pension contribution that recovers the allowance.

Adjusted net income

Bonus or pay rise to test

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How it works

allowance = £12,570 − (income − £100,000) ÷ 2, floor 0; each £1 in the band costs 40p tax + 20p from the lost allowance (+2p NI) = 62%

Between £100,000 and £125,140 the personal allowance is withdrawn at £1 for every £2 of income, so each pound is taxed at 40% and also removes 50p of tax-free allowance that then costs another 20p — a 60% marginal rate, 62% with NI, and higher still with student loans or the child benefit charge. Adjusted net income is what counts, so pension contributions and Gift Aid donations bring it down: a contribution that pulls you back to £100,000 gets 60% relief, the best-value pension payment in the UK system.

Worked example

£112,000: £6,000 of allowance lost, costing £2,400 extra tax. A £5,000 bonus attracts £3,100 of tax and NI — you keep £1,900. A £12,000 gross pension contribution would restore the allowance at a net cost of about £4,800.

Frequently asked questions

Does it apply to Scotland?

Yes — the allowance taper is UK-wide; Scottish rates then apply, making the trap 67.5% there.

Do I need to file a tax return?

Not automatically since 2023/24 unless you have other reasons, but claiming pension relief or reporting the child benefit charge needs one.

Related calculators

UK Income Tax Calculator (2025/26)

Income tax only, band by band — personal allowance (with the £100k taper), basic, higher and additional rate amounts, effective and marginal rates for England/Wales/NI.

UK Pension Tax Relief Calculator

What a pension contribution really costs in 2026/27 after tax relief — relief at source, net pay or salary sacrifice, Scottish or rest-of-UK rates, the higher-rate claim, NI and student-loan savings, the 60% trap, Child Benefit charge and the annual allowance.

High Income Child Benefit Charge Calculator

Child Benefit for your number of children and how much the High Income Child Benefit Charge claws back between £60,000 and £80,000 — plus the pension contribution that would cancel it.

Uses 2025/26 UK rates and thresholds (England & Northern Ireland income tax unless stated). Thresholds change every April — check GOV.UK for the current figures. Educational estimate, not tax advice.