UK Self-Employed Tax Calculator 2025/26
Calculate income tax, Class 2 and Class 4 National Insurance for UK self-employed sole traders. Includes take-home pay and full NI breakdown for 2025/26.
Full Tax Breakdown
How to Use This UK Self-Employed Tax Calculator
Enter your annual self-employment profit — this is your gross income from self-employment minus allowable business expenses such as office costs, travel, equipment and professional fees. If you also have employment income or other sources, enter that separately so the calculator can correctly apply your Personal Allowance and income tax bands.
Results show income tax, Class 2 NI and Class 4 NI for the 2025/26 tax year (England, Wales and Northern Ireland rates).
The Formula
Personal Allowance = £12,570 (reduced if total income exceeds £100,000)
Income Tax = 20% × basic rate income + 40% × higher rate income + 45% × additional rate
Class 2 NI = £3.45 × 52 weeks (if profit ≥ £12,570)
Class 4 NI = 6% × (profit £12,570–£50,270) + 2% × (profit above £50,270)
Take-Home = Profit − Income Tax − Class 2 NI − Class 4 NI
Example
Total income: £45,000 (no other income)
Taxable income: £45,000 − £12,570 = £32,430
Income Tax: £32,430 × 20% = £6,486
Class 2 NI: £3.45 × 52 = £179
Class 4 NI: (£45,000 − £12,570) × 6% = £1,946
Total tax & NI: £8,611
Take-home: £36,389/year (£3,032/month)
Sole Trader vs Limited Company Comparison
See how your tax compares between sole trader and limited company structures
Compare your tax position as a sole trader versus operating through a limited company at the same profit level.
| Item | Sole Trader | Limited Company | Difference |
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* Ltd company estimate: £12,570 salary + remaining as dividends. Includes corporation tax at 19/25%, employer NI and dividend tax. Simplified — consult an accountant for your specific situation.