£16 an Hour After Tax 2025-26
Annual gross: £31,200 · Based on 37.5 hrs/week, 52 weeks
£16/hour tax breakdown 2025-26
| Item | Annual | Monthly | Weekly |
|---|---|---|---|
| Gross salary | £31,200 | £2,600 | £600 |
| Personal Allowance (tax-free) | £12,570 | £1,048 | £242 |
| Income Tax | −£3,726 | −£311 | −£72 |
| National Insurance | −£1,490 | −£124 | −£29 |
| Net take-home | £25,984 | £2,165 | £500 |
£16 an hour — what does that mean annually?
£16 per hour × 37.5 hours × 52 weeks = £31,200 annual gross. After Income Tax (£3,726) and National Insurance (£1,490), your take-home pay is £25,984 per year — or £2,165 per month. Your effective tax rate is 16.72%.
This rate is typical for skilled entry-level roles. Typical roles: newly qualified HGV driver, IT helpdesk technician, junior hairdresser/beauty therapist, lab technician.
What £1/hr more would mean on £16
You keep 83% of your gross pay — equivalent to £20 per working day in Income Tax and National Insurance. Saving 20% of take-home (£433/month) fills a £20,000 ISA in 47 months.
£16/hour at different hours per week
| Hours/week | Gross/year | Take-home/year | Take-home/month |
|---|---|---|---|
| 16 hrs/week (part-time) | £13,312 | £13,105 | £1,092 |
| 20 hrs/week (part-time) | £16,640 | £15,500 | £1,292 |
| 25 hrs/week | £20,800 | £18,496 | £1,541 |
| 30 hrs/week | £24,960 | £21,491 | £1,791 |
| 37.5 hrs/week (standard full-time) | £31,200 | £25,984 | £2,165 |
Overtime at time-and-a-half (£24/hr): 5 extra hours/week adds £6,240 gross — but only £4,492 net after the extra tax on those hours.
Frequently asked questions
How much do I take home on £16 an hour in the UK?
On £16 per hour (£31,200/year), you take home £25,984 per year after Income Tax (£3,726) and National Insurance (£1,490). That is £2,165 per month and £500 per week landing in your bank account.
What annual salary is £16 an hour?
£16 per hour, based on a 37.5-hour week (1,950 hours/year), equals £31,200 gross per year. After tax, your take-home is £25,984 (£2,165/month).
How much will I see in my bank each month on £16 an hour?
On £16/hour, your monthly gross is roughly £2,600. After Income Tax (£311/mo) and National Insurance (£124/mo), you take home £2,165 per month.
Why is my hourly take-home less than I expected on £16?
On £16/hour (£31,200/year), you pay £3,726 Income Tax and £1,490 National Insurance — £5,216 total per year. Your effective combined rate is 16.72%, not the headline rate. Only income above the £12,570 personal allowance is taxed.
What is £16 an hour per week after tax?
£16 per hour (37.5-hour week) = £500 per week take-home after all deductions. Gross weekly pay is £600.
Is £16 an hour a good wage in the UK?
£16/hour is below the UK median hourly rate of £20 (2025). Your annual gross is £31,200 and take-home £25,984/year. Overtime, pay rises, or additional skills can help bridge the gap.