£90,000 Salary Breakdown (2025/2026)

Higher Rate Tax Band

With a salary of £90,000, you are firmly in the Higher Rate (40%) tax bracket. However, you still retain your full standard Personal Allowance of £12,570, as tapering only begins at £100,000.

Approaching the "Tax Trap" (60%)

You are £10,000 away from the £100k threshold. Once your income crosses £100,000, your Personal Allowance reduces by £1 for every £2 earned. This creates an effective tax rate of 60% on earnings between £100k and £125,140. At £90k, you are in a "safe" zone, but should be mindful of bonuses pushing you over.

Tax & NI Calculation

Using the standard 1257L tax code:

  • Taxable Income: £77,430.
  • Income Tax: approx. £23,432 (Mix of 20% and 40% rates).
  • National Insurance: approx. £4,010.

Student Loan Deductions

Repayments at £90,000 are significant:

  • Plan 1: ~£5,750/year (~£480/month).
  • Plan 2: ~£5,530/year (~£460/month).
  • Postgraduate: ~£4,140/year (~£345/month).