UK Self-Employed Tax Calculator 2026 – Income Tax and National Insurance
Use our free UK self-employed tax calculator to estimate your Income Tax and National Insurance based on your annual profits for the 2025/26 and 2026/27 tax years.
Being self-employed or a freelancer has many advantages. You can be your own boss, set your hours, and choose your projects. But there are also drawbacks, including managing your income tax and National Insurance.
Our self-employed tax calculator covers the 26/27, 25/26, and 24/25 tax years for England, Wales and Northern Ireland. Below is an example of how our tax calculator works.
When employed by someone else, they withhold the appropriate taxes from your pay and remit them to the government on your behalf. You will receive a wage slip showing your take-home pay. But when you’re self-employed, you’re responsible for that. That’s why we’ve developed a self-assessment tax calculator to make it simpler.
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Self-Assessment Tax Return
A self-assessment tax return is a form that taxpayers use to calculate and pay their taxes and National Insurance. The self-assessment system is used by self-employed individuals, landlords, and people with other sources of income, such as investments.
If you are self-employed and earn over £ 1000 from your self-employment, you must complete a return each tax year and pay tax. The tax year runs from 6th April to 5th April.
How the Freelance Tax Calculator UK Works
Our calculator removes the guesswork from tax and National Insurance for self-employed income. Enter your net annual profits, and we’ll calculate your income tax and National Insurance due. We’ll also show the annual and monthly figures so you can budget accordingly. Because tax rates can change each year, we’ll always use the most up-to-date rates.
The net annual profits of a business are the total annual income it earns throughout a year, less the cost of goods sold and less other business costs.
The Benefits of Using a Self-Employed Tax Calculator
There are a few key benefits of using our tax and national insurance calculator for self-employment:
Save time – Our calculator lets you quickly and easily calculate your taxes without wading through pages of confusing information.
Save money – Knowing how much you need to pay in taxes ahead of time lets you budget accordingly and avoid penalties or interest charges for non-payment.
Using Accounting Software
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If you use accounting software with a self-employed plan, it will often include a tax estimate. One example is QuickBooks. The sole trader plan starts from £10 per month. Sage UK offer a simple free sole trader plan.
What is Income Tax
Income tax is a tax the government imposes on individuals, and HMRC collects it. It is based on your income, and for the self-employed, you are taxed on profits from both products and services you sell.
Income Tax Rates
The Income tax rate you pay will depend on the business’s profits. Each person has a tax-free allowance, called a personal allowance and then is charged tax on anything earned over the allowance.
The table below covers the 26/27, 25/26 and 24/25 tax years.
| Tax Band | Taxable Income | Tax Rate |
|---|---|---|
| Personal Allowance | £0 – £12,570 | 0% |
| Basic Rate | £12,571 – £50,270 | 20% |
| Higher Rate | £50,271 – £125,140 | 40% |
| Additional Rate | Over £125,140 | 45% |
National Insurance Contributions Rates
You pay National Insurance contributions to qualify for a state pension and certain benefits. There are different types of NI, also known as classes. You pay Class 2 and Class 4 contributions on profits over £12,570.
Class 2 National Insurance
In 26/27 and 25/26, if you earn over £6,845, you are treated as having paid Class 2 contributions. If your profits are below £6,845, you can opt to pay £3.50 per week to protect your NI record.
Class 4 National Insurance
Class 4 NI is based on the profits of the business. The table below shows the reductions for the 26-27, 25-26 and 24-25 tax years, as set out in the March 2024 and 2025 budgets.
| Profits | National Insurance Tax Rate |
|---|---|
| Less than £12,570 | 0% |
| Between £12571 and £50,270 | 6% |
| Over £50,270 | 2% |
![UK Self-Employed Tax Calculator [year]](https://www.businessaccountingbasics.co.uk/wp-content/uploads/QB-90-banner.png)
Self-Employed Calculator for Tax Year 26/27, 25/26 and 24/25
Enter your gross annual profits, and we’ll calculate the tax and national insurance due. We’ll also show the annual and monthly figures so you can budget accordingly.
To calculate your profits, take the business’s income figure and deduct any allowable business expenses.
For example, a business with self-employment income of £15,000, self-employment expenses of £600, and taxable profits of £14,400. The figure for £14,400 is entered as the profits.
The calculator is for England, Wales and Northern Ireland as Scotland has different tax rates.
Disclaimer
We hope you find our tax calculator helpful in managing your finances and calculating self-employment income. If you have questions or feedback, please contact us. Our calculations are for illustrative purposes only. We have done our best to give accurate figures. If you are unsure, we suggest you speak to your accountant.
Payments Due
There are two payment dates: 31st January the following year, for a balancing payment, and 31st July, for a payment on account. When you complete the assessment return, the figures are calculated for each date.
Payments on Account Example
For a self-employed person with profits of £60,000 in the 2025/26 tax year, the total Income Tax and Class 4 National Insurance due is £13,888.60, assuming they receive the full Personal Allowance, have no other income and pay Income Tax at England, Wales or Northern Ireland rates.
HMRC normally requires two payments on account towards the following tax year, each equal to half the previous year’s tax and Class 4 National Insurance.
The payments would be:
- 31 January 2027 – £13,888.60 + £6,944.30 = £20,832.90
- 31 July 2027 – £6,944.30
These figures assume no payments on account have already been made towards the 2025/26 tax bill. Any payments already made would reduce the amount due on 31 January 2027.
What if I’m Employed and Self-Employed?
If you are both employed and self-employed, we suggest you use the tax calculators at https://www.employedandselfemployed.co.uk/.
My profits are over £100,000. Can I still use the calculator?
No, once your profits are over £100,000, your personal allowance will reduce by £2 for each £1. Our calculator only works for amounts under £100,000.
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