Pension Tax Relief Calculator (2026/27)
For relief at source pensions in England, Wales and Northern Ireland. Enter what you pay in and what you earn, and see the basic relief your provider adds, the extra relief you could claim through Self Assessment, and what the contribution really costs you. Results update instantly, with every step of the sum shown. No sign-up.
Assumes these earnings are your only income and the standard Personal Allowance rules apply. Scotland's rates differ — not covered here.
- Going into your pension£0
- Basic relief added by provider (20%)£0
- Extra relief via Self Assessment£0
- Total tax relief£0
Where the money in your pension comes from
Grey = your real cost. Amber = extra relief you claim. Green = basic relief your provider adds. Blue = the total going into the pension.
Quick answer
On earnings of £60,270 (England, Wales or Northern Ireland, 2026/27), paying £9,600 into a relief-at-source pension puts £12,000 in the pot. You could claim a further £2,000 through Self Assessment, bringing your real cost to £7,600. Assumes your earnings are your only income. Tax rules can change and depend on your circumstances.
Different contribution sizes at your earnings
Same earnings as entered; your own contribution is highlighted.
| You pay | Into pension | Basic relief | Extra relief | Real cost |
|---|
How relief at source works
With a relief at source pension you pay in from income that has already been taxed. GOV.UK: your pension provider claims tax relief at the basic rate of 20% and adds it to your pot. Because the 20% is a share of the total going in, every £80 you pay becomes £100 in the pension — the total is what you pay divided by 0.8.
- Limit: you get tax relief on contributions up to 100% of your annual earnings.
- If you do not pay Income Tax: the provider can still claim 20% for you, on what you pay in up to 80% of your earnings, or up to £2,880 if you have no earnings that year.
- Higher and additional rate (England, Wales, NI): you can claim more on your Self Assessment tax return — 20% up to the amount of any income you have paid 40% tax on, and 25% up to the amount of any income you have paid 45% tax on. It is not added automatically.
The 2026/27 Income Tax bands this uses
The tax year runs from 6 April 2026 to 5 April 2027. For England, Wales and Northern Ireland, GOV.UK lists:
| Band | Taxable income | Rate |
|---|---|---|
| Personal Allowance | Up to £12,570 | 0% |
| Basic rate | £12,571 to £50,270 | 20% |
| Higher rate | £50,271 to £125,140 | 40% |
| Additional rate | over £125,140 | 45% |
The Personal Allowance goes down by £1 for every £2 of income over £100,000, reaching zero at £125,140. The calculator applies that: as the allowance shrinks, the 40% band starts lower, so more of your income is taxed at 40% (the basic-rate band stays at £50,270 − £12,570 = £37,700 of income above the allowance).
The GOV.UK example, reproduced
GOV.UK's worked example (set in the 2024 to 2025 tax year):
“You earn £60,270 in the 2024 to 2025 tax year and file a Self Assessment tax return. You pay £12,000 into a relief at source pension scheme during the tax year, the scheme claims the first 20% tax relief for you. You can claim an extra 20% tax relief on £10,000 (the same amount you paid 40% tax on). You do not get additional relief on the remaining £2,000 you put in your pension.”
Using the 2026/27 bands above, earnings of £60,270 also give £60,270 − £50,270 = £10,000 taxed at 40%, so the calculator reaches the same answer. It treats the £12,000 as the total going into the pension — you pay £9,600 and the provider adds £2,400 (the calculator's default inputs):
- Extra relief: 20% × £10,000 = £2,000, claimed through Self Assessment.
- No additional relief on the remaining £2,000 (£12,000 − £10,000).
- Real cost: £9,600 − £2,000 = £7,600 for £12,000 in the pension.
If you read the £12,000 as what you pay yourself instead, £15,000 goes in — and the extra relief is still 20% of £10,000 = £2,000, because it is capped by the income you paid 40% on. Either way, the answer GOV.UK gives holds. This example is checked by an automated test (test/pension-tax-relief.test.js).
Same contribution, different earnings
You pay £8,000, so £10,000 goes into the pension in every row. Only the earnings change:
| Earnings | Income taxed at 40% | Income taxed at 45% | Extra relief | Real cost |
|---|---|---|---|---|
| £30,000 | £0 | £0 | £0 | £8,000 |
| £50,270 | £0 | £0 | £0 | £8,000 |
| £55,000 | £4,730 | £0 | £946 | £7,054 |
| £60,270 | £10,000 | £0 | £2,000 | £6,000 |
| £150,000 | £87,440 | £24,860 | £2,500 | £5,500 |
Just over the higher-rate threshold, only part of the contribution gets the extra 20%: at £55,000, only £4,730 of income is taxed at 40%, so extra relief is 20% of £4,730. Once the 40%-taxed income is larger than the gross contribution, the whole contribution qualifies.
The annual allowance check
GOV.UK: the annual allowance is £60,000 this tax year. The calculator warns when the total going into the pension is above that. It does not work out two things GOV.UK describes:
- Tapering: the allowance can be lower if your threshold income is over £200,000 and your adjusted income is over £260,000.
- Carry forward: you may be able to use unused allowance from the previous 3 tax years.
Only what you enter here is checked, so if you are near the limit, check the GOV.UK annual allowance guidance for everything that counts.
What this calculator does not cover
- Scotland. Scottish bands and extra-relief rates differ, so results here do not apply.
- Other income. It assumes your earnings are your only income and uses them as entered to place you in the bands.
- Other kinds of pension scheme. It covers relief at source only; other ways of receiving pension tax relief are not modelled.
- Your actual tax bill. It shows relief on a pension contribution, not your full Income Tax position.
The formula
- Net — what you pay, up to 80% of earnings (or £2,880 with no earnings) for relief
- Gross — what goes into the pension; basic relief = Gross − Net
- I40 — income taxed at 40%: from (Personal Allowance + £37,700) up to £125,140
- I45 — income taxed at 45%: anything above £125,140
- Real cost — Net − Extra
See the formula with your own numbers
These update live from the calculator inputs above.
Frequently asked questions
How does relief at source work?
You pay into the pension from income that has already been taxed. Your pension provider claims basic-rate tax relief of 20% and adds it to your pot. If you pay £8,000, the provider adds £2,000 and £10,000 goes in.
Do higher-rate taxpayers get the extra relief automatically?
No. In England, Wales and Northern Ireland, GOV.UK says you can claim additional relief on your Self Assessment tax return: 20% up to the amount of any income you have paid 40% tax on, and 25% up to the amount of any income you have paid 45% tax on.
What is the GOV.UK £60,270 example?
Someone earning £60,270 who pays £12,000 into a relief at source scheme can claim an extra 20% tax relief on £10,000, the same amount they paid 40% tax on. They do not get additional relief on the remaining £2,000. The calculator reproduces it with its default inputs.
Is there a limit on how much gets tax relief?
Relief applies to contributions up to 100% of your annual earnings. Separately, the annual allowance is £60,000 for this tax year; it can be lower (tapered) for some very high earners, and unused allowance from the previous 3 tax years may be carried forward.
Does this work for Scotland?
No. Scotland has different Income Tax bands and different extra-relief rates. For reference, GOV.UK lists the Scottish extra relief as 1% up to income taxed at 21%, 22% up to income taxed at 42%, 25% up to income taxed at 45% and 28% up to income taxed at 48%. This calculator does not apply them.
Method & sources
- Calculation: Gross = net ÷ 0.8 (relief at source); extra relief allocated first to income taxed at 45% (25%), then to income taxed at 40% (20%); Personal Allowance reduced £1 for every £2 over £100,000. Earnings are treated as your only income.
- Pension tax relief rules and the £60,270 example: GOV.UK — gov.uk/tax-on-your-private-pension/pension-tax-relief.
- Income Tax rates, bands and Personal Allowance, 2026 to 2027: GOV.UK — gov.uk/income-tax-rates.
- Annual allowance, taper and carry forward: GOV.UK — gov.uk/tax-on-your-private-pension/annual-allowance.
- All sources checked 18 October 2026. Verification: automated tests (
test/pension-tax-relief.test.js) including the GOV.UK example. - Reviewed: .
Educational estimate only, not personal financial or tax advice. Pension investments are capital at risk. Tax rules can change and depend on your circumstances; confirm your position with GOV.UK or HMRC.
Run your own numbers
Enter what you pay in and what you earn, and see how much relief you get automatically and how much you have to claim.
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