This interactive chart lets you see the current rUK and Scottish marginal tax rates for 2023/24 and 2024/25, with/without child benefit and student loans. You can turn on/off different years and options by clicking on the legend below the chart. Some of these charts won’t work well on mobile; you can see static versions here.
This interactive chart plots the same data, but gross income vs net income:
Finally, this chart again plots gross vs net income, but adds in the effect of the marriage allowance and a £20k childcare subsidy:
Methodology
The calculations are performed by the python script and rate data on our github here. The key assumptions/caveats are:
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- Income tax/NI as for tax year 2023/24 and 2024/25 in the UK and Scotland (but applying the September 2023 national insurance change as if it applied for the whole of 23/24)
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- One earner in a household, who is over 21 and not an apprentice, not a veteran, and under the state pension age
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- Ignores benefits aside from child benefit (although benefits are notorious for creating very high marginal rates – not, however, an area where I and our team have expertise). Child benefit assumes three children (you can freely change that in the code).
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- Doesn’t include tapering of pensions annual allowance (starting at £240k)
Do please send us any corrections, additions or comments.
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