How Much is £40,000 After Tax in the UK? 2025 Take-Home Explained
25 May 2025
If You're Earning £40,000 – How Much Will You Take Home After Tax?
If you're earning or considering earning £40,000 per year, one of the most common questions is:
"How much will I actually take home after tax?"
In this guide, we provide a clear breakdown of your net income for the 2025/26 tax year, based on current UK tax rules. You’ll also find answers to common salary questions, insight into how this compares across the UK, and which roles typically pay £40,000.
Take-Home Pay on £40,000
Here’s what you can expect to earn after deductions, assuming no student loan or pension contributions and a standard tax code (1257L).
| Detail | Amount |
|---|---|
| Gross Salary | £40,000 |
| Income Tax (approx.) | £5,486 |
| National Insurance (approx.) | £4,204 |
| Net Annual Income | £30,310 |
| Monthly Take-Home Pay | £2,525 |
| Weekly Take-Home Pay | £582 |
For a personalised result, try our Take-Home Pay Calculator.
Impact of Student Loans on £40,000
If you are repaying a student loan, your monthly take-home pay will be reduced depending on your plan type.
| Loan Plan | Repayment Threshold | Estimated Repayment | Adjusted Monthly Take-Home |
|---|---|---|---|
| No Loan | – | – | £2,525 |
| Plan 1 | £24,990 | £95 | £2,430 |
| Plan 2 | £27,295 | £112 | £2,413 |
| Plan 4 (Scotland) | £27,660 | £103 | £2,422 |
| Postgraduate | £21,000 | £42 | £2,483 |
Where Does £40,000 Sit Nationally?
According to recent figures, the median UK salary is around £34,000, while the mean (average) salary is approximately £39,000. This places £40,000 slightly above average, meaning you earn more than over half of UK workers.
To enter the top 5% of earners in the UK, your income would need to exceed approximately £87,000 per year.
Typical Jobs Paying £40,000
A salary of £40,000 is common across a range of mid-level roles in both the public and private sectors. These include:
- Secondary school teachers (with experience)
- Civil and mechanical engineers
- Mid-level software developers and IT professionals
- Accountants and financial analysts
- NHS staff such as nurses and paramedics
- Project managers
- Skilled tradespeople (e.g. electricians, plumbers)
In many industries, this level of income reflects a few years of experience or a managerial position.
Regional Differences in How Far £40,000 Goes
The impact of a £40,000 salary varies significantly depending on where you live in the UK.
| Region | Details |
|---|---|
| London | Close to average for the region; living costs are higher |
| South East | Adequate, though stretched in commuter areas |
| Midlands / North | Above average, offers good value |
| Scotland / Wales | Typically above average outside major cities |
In most regions outside of London and the South East, £40,000 is considered a strong income, providing a reasonable standard of living.
Salary FAQs:
Is £40,000 a good salary in the UK?
Yes. It’s higher than the national median and suitable for a wide range of living standards depending on region and household size.
What tax do I pay on a £40,000 salary?
You will pay around £5,486 in income tax and £4,204 in National Insurance (2025/26 figures), leaving you with approximately £30,310 net income.
How much is £40,000 per month after tax?
Your monthly take-home pay is around £2,525, assuming no student loan or pension deductions.
How do student loans affect my net pay?
If your income exceeds your loan plan’s repayment threshold, repayments are taken directly from your salary. For example, under Plan 2, you'll repay approximately £112 per month on a £40,000 salary.
What jobs pay £40,000?
Typical roles include experienced teachers, engineers, analysts, developers, tradespeople, and public sector professionals.