CHERRY MONEY · FREE BUSINESS TOOLS
Salary & Dividends Calculator 2026/27
Know what you keep.
Plan your director income with a clear view of tax, take-home pay and money to set aside.
2026/27 tax year · 6 April 2026 – 5 April 2027
Your annual income
For UK-resident directors with salary and dividends only. Enter full-year amounts before personal tax.
No sign-up. Calculations run in your browser; this tool does not store or submit your figures.
Your estimate
Select Calculate to see your results. Monthly figures are annual totals divided by 12.
2026/27 ·
- Total gross income
- Income Tax on salary
- Dividend tax
- Employee National Insurance
- Total personal Income Tax
Plan for your dividends
a month to cover extra annual Income Tax compared with taking this salary alone.
This includes any tax caused by losing Personal Allowance. It is not your outstanding HMRC bill: PAYE already deducted, payments on account and tax already paid are not included.
Allowances and company cost
- Personal Allowance available
- Personal Allowance used on salary
- Personal Allowance used on dividends
- Dividend allowance used
- Employer NI before any relief
Employer NI is a separate company cost and is not deducted from take-home pay. Employment Allowance and Corporation Tax are not included.
How this estimate works
Uses 2026/27 rates, a standard Personal Allowance of up to £12,570 with the taper above £100,000, and a £500 dividend allowance. Dividends sit above salary in the UK tax bands; the dividend allowance still uses band space. Personal Allowance is allocated between salary and dividends to minimise the combined Income Tax estimate. Scottish rates apply to Scottish salary income; UK dividend rates apply throughout the UK.
National Insurance assumes a full tax year as a company director in category A, with annual thresholds. This tool does not cover other income, benefits in kind, pension contributions, Gift Aid, student loans, Child Benefit charges, special allowances, non-residence or part-year directorships. Do not include ISA dividends.
This is a planning estimate, not a tax return, payroll calculation or advice on the best salary to take. Actual liabilities and rounding may differ. Review your circumstances with an accountant before declaring dividends.
Official sources
- HMRC dividend tax rates and allowance
- Income Tax and Personal Allowance
- 2026/27 salary bands and National Insurance thresholds
- HMRC guidance on beneficial allowance allocation
Rates checked 17 October 2026. This calculator supports 2026/27 only.
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