UK 2026/27

UK Student Loan Calculator

Calculate your annual and monthly student loan repayment for Plans 1, 2, 4, 5 and Postgraduate Loan. Enter your gross salary and plan; the calculator shows the deduction, the threshold used, and the impact on your take-home pay.

Verified against current SLC and HMRC thresholds · Last reviewed June 2026

Student loan inputs

Pick the plan(s) you're on. Multiple selections allowed — PGL stacks with any undergraduate plan.

£
%
Annual student loan deduction
£—
ItemAnnualMonthly
Gross salary
Threshold-relevant income
Student loan
Income Tax
National Insurance
Take-home (annual)
Pick a plan to see the threshold and rate that applies.
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UK student loan thresholds — 2026/27

Each plan has its own annual threshold above which 9% (or 6% for Postgraduate Loan) is deducted from your pay. PAYE applies this per pay period, not annually — so a bonus month can produce a higher deduction.

PlanThresholdRateWho's on it
Plan 1£26,9009%Pre-2012 E&W; pre-2017 Scotland; NI
Plan 2£29,3859%2012–2023 E&W
Plan 4£33,7959%2017+ Scotland (SAAS)
Plan 5£25,0009%2023+ E&W (current cohort)
Postgraduate Loan£21,0006%Master's / PhD; runs with any undergrad plan

How the calculation works

Above the threshold, the deduction is: (salary − threshold) × rate. PAYE applies the same formula per pay period: each month's earnings above (annual threshold ÷ 12) attract the rate. The deduction is rounded down to the nearest pound per period.

Multiple plans

If you have two or more undergraduate plans, HMRC applies the lower threshold and you pay 9% above it — the Student Loans Company splits the deduction between your plans. Postgraduate Loan is always additive on top.

Pension sacrifice reduces the deduction

Salary sacrifice and net-pay-arrangement pension contributions reduce your gross income before the threshold check. For borrowers just above their plan threshold, a 5–6% pension sacrifice can eliminate the student loan deduction entirely. Relief-at-source contributions do not reduce threshold-relevant income.

FAQs

Which student loan plan am I on?

Depends on when and where you started university. Plan 1: pre-2012 in England and Wales, pre-2017 in Scotland, or any time in Northern Ireland. Plan 2: 2012–2023 in England and Wales. Plan 4: 2017 onwards in Scotland via SAAS. Plan 5: 2023 onwards in England and Wales (current cohort). Postgraduate Loan (PGL): master's or PhD from 2016. Your Student Loans Company account shows your specific plan(s).

Can I have multiple student loans at the same time?

Yes — and PGL stacks on any undergraduate plan. If you have multiple undergrad plans (e.g. Plan 1 + Plan 2), HMRC applies the lower threshold and you pay 9% above it (the Student Loans Company splits between plans behind the scenes). PGL is always additive at 6% above £21,000.

Does pension contribution reduce my student loan?

Yes, if it's salary sacrifice or net-pay-arrangement — both reduce gross income before student loan is calculated. Relief-at-source doesn't reduce threshold-relevant income (comes out of net pay). For borrowers just above their plan threshold, a 5-6% sacrifice can completely eliminate the deduction.

When do student loans get written off?

Plan 1: 25 years from first becoming repayable (or age 65 for pre-2006 starters). Plan 2: 30 years. Plan 4: 30 years. Plan 5: 40 years. PGL: 30 years. After write-off any remaining balance is forgiven — no credit impact, no tax event. Full guide →

Will I pay more student loan in a bonus month?

Yes — PAYE applies the deduction per pay period. A big-bonus month pushes that month's earnings well above the period threshold, so the deduction is higher than the annualised average. Subsequent months return to normal; there's no end-of-year reconciliation for the PAYE deduction.

Self-employed — does this calculator apply?

No. The calculator models PAYE deductions on employment income. Self-employed student loan repayments are calculated through Self Assessment annually based on your full self-employment income. Thresholds and rates are the same; the mechanism differs.

Calculator guides by plan

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Methodology + sources

Calculations use thresholds and rates published by HMRC and the Student Loans Company for the selected tax year. The calculation matches PAYE's per-pay-period mechanism (annual figures divided by pay frequency; deduction rounded down per period before deduction). For sources, see our methodology page and editorial standards.

Primary sources:

Related guides

Disclaimer: This calculator gives estimates for general guidance using published HMRC and SLC figures. It doesn't constitute personal financial advice. Self-employed student loan deductions work differently (via Self Assessment, not PAYE) and aren't modelled here.