Take Home Pay
Take Home Pay
Estimate the gross and net cost of purchasing extra annual leave.
Est. net cost of bought leave
£0
Figures use NHS Employers AfC 2026/27 scales, HMRC tax/NI/student loan rules and NHS Pension tiers from 1 April 2026. Estimate only — your payslip is authoritative.
Sixty free tools covering Agenda for Change pay, the NHS Pension Scheme, tax, leave, absence and leaving the NHS — updated for 2026/27. Start from a pillar hub, then drill into the cluster that matches your question.
Calculate the exact monthly cost of buying extra annual leave through your NHS trust's salary sacrifice scheme. Enter your pay band, contracted hours, and the number of days you want to purchase. The calculator instantly shows your gross deduction, Income Tax saving, National Insurance saving, pension impact, and true net monthly cost — updated for the confirmed 2026/27 Agenda for Change pay scales.
12 A leave purchase scheme is a form of salary sacrifice. The employee agrees to reduce their gross salary by an amount equal to the value of the extra days, and the employer adds the equivalent days to the worker's annual leave balance. 10 With the buying and selling of annual leave scheme, you can purchase up to one contractual week of additional annual leave via salary sacrifice and pay directly through your salary over a 12-month period.
Because the deduction comes out of your gross pay — before Income Tax and National Insurance are calculated — you do not pay the full face-value cost of the leave. The scheme is tax-efficient by design. 9When employees buy annual leave, this is processed as a salary sacrifice. Salary sacrifice is a tax-efficient way of receiving staff benefits. Essentially, the employee gives up part of their taxable salary in return for another benefit — in this case, extra holiday. Because the employee sacrifices gross salary, the tax, National Insurance contributions, and pension contributions that are usually applied are reduced.
Detail | Value |
Maximum purchasable leave | 1 contractual week per leave year |
1 contractual week (AfC staff) | 37.5 hours |
Leave year | 1 April to 31 March |
Payment method | Salary sacrifice (gross pay reduction) |
Deduction spread | 12 monthly instalments (some trusts use 6) |
Income Tax saving | Yes — calculated on reduced gross pay |
National Insurance saving | Yes — calculated on reduced gross pay |
Pension accrual | Protected — based on full pre-sacrifice salary |
Can you cancel after approval? | No |
NMW floor 2026/27 | £12.71 per hour |
Pay scales in force | 2026/27 AfC — effective 1 April 2026 |
9 Eligibility for buying annual leave is not guaranteed and will be subject to financial eligibility criteria governed by the National Minimum Wage.
Beyond the NMW floor, the standard eligibility criteria across most NHS trusts are:
You hold a substantive NHS contract. The scheme is available to staff employed on Agenda for Change terms, VSM contracts, and most medical and dental contracts. Bank-only workers and those on fixed-term contracts ending before March should confirm eligibility with their trust HR department.
Your post-sacrifice salary stays at or above the National Minimum Wage. 14Salary sacrifice arrangements have the potential to reduce earnings to below the National Minimum Wage. Employers are required to pay close attention to the pay an individual receives once the salary sacrifice arrangements have deducted, to ensure that they remain compliant and do not breach the NMW regulations. The NMW rate from April 2026 is £12.71 per hour. The calculator checks this automatically before confirming any output.
Your line manager approves the request. Approval confirms that staffing levels allow the additional absence to be taken during the leave year.
You apply within your trust's open window. 9The opportunity to buy and sell annual leave will only arise once a year. Applications submitted after the deadline are not accepted.
Staff on maternity leave during the application window must be aware that 11salary sacrifice can significantly impact NHS Maternity Pay. Occupational Maternity Pay is calculated based on your average weekly earnings during a specific reference period. If you are in the middle of a salary sacrifice during this period, your average weekly earnings will be lower, which will reduce the full pay and half pay amounts you receive while on leave. Confirm the position with your trust payroll team before applying.
The gross cost of purchasing one contractual week of annual leave is calculated as follows:
text
Gross annual cost = Annual basic salary ÷ 52.143
Gross monthly deduction = Gross annual cost ÷ 12 (or ÷ 6 for a 6-month instalment plan)
52.143 is the precise number of weeks in a calendar year (365.00 ÷ 7 = 52.143). This is the standard divisor used by NHS payroll systems.
You do not lose the full gross amount from your take-home pay. The salary sacrifice mechanism means you save both Income Tax and National Insurance on the sacrificed amount.
Net monthly cost = Gross monthly deduction − Income Tax saving − NI saving
12 A higher-rate taxpayer buying 5 days sacrifices 5 days of gross salary but loses only approximately 2.9 days of net salary after tax savings. 12 The economics favour high earners more than low earners.
Line | Working | Amount |
Annual salary | — | £32,073 |
Weekly salary (÷ 52.143) | £32,073 ÷ 52.143 | £615.20 |
Gross annual cost (1 week) | — | £615.20 |
Gross monthly deduction (÷ 12) | £615.20 ÷ 12 | £51.27 |
Income Tax saving (20%) | £51.27 × 0.20 | −£10.25 |
Employee NI saving (8%) | £51.27 × 0.08 | −£4.10 |
Net monthly cost | £51.27 − £10.25 − £4.10 | £36.92 |
Net annual cost | £36.92 × 12 | £443.04 |
A full-time Band 5 staff member at entry point buys an entire additional week of annual leave for £36.92 per month — equivalent to £1.23 per calendar day.
Line | Working | Amount |
Annual salary | — | £48,117 |
Weekly salary (÷ 52.143) | £48,117 ÷ 52.143 | £922.73 |
Gross monthly deduction (÷ 12) | £922.73 ÷ 12 | £76.89 |
Income Tax saving (20%) | £76.89 × 0.20 | −£15.38 |
Employee NI saving (8%) | £76.89 × 0.08 | −£6.15 |
Net monthly cost | — | £55.36 |
Line | Working | Amount |
Annual salary | — | £56,515 |
Weekly salary (÷ 52.143) | £56,515 ÷ 52.143 | £1,083.79 |
Gross monthly deduction (÷ 12) | £1,083.79 ÷ 12 | £90.32 |
Income Tax saving (40% — above £50,270 threshold) | £90.32 × 0.40 | −£36.13 |
Employee NI saving (2% — above £50,270 threshold) | £90.32 × 0.02 | −£1.81 |
Net monthly cost | — | £52.38 |
Key insight: The Band 7 top-of-band employee pays £52.38/month net — less than the Band 6 top-of-band employee at £55.36/month — despite earning a higher salary. The 40% higher-rate tax saving creates a greater discount on the gross cost. This counter-intuitive result is exactly what this calculator reveals.
Line | Working | Amount |
FTE fraction | 22.5 ÷ 37.5 | 0.60 |
Pro-rata annual salary | £32,073 × 0.60 | £19,243.80 |
1 contractual week (= 22.5 hours) | £19,243.80 ÷ 52.143 | £369.12 |
Gross monthly deduction (÷ 12) | £369.12 ÷ 12 | £30.76 |
Income Tax saving (20%) | £30.76 × 0.20 | −£6.15 |
Employee NI saving (8%) | £30.76 × 0.08 | −£2.46 |
Net monthly cost | — | £22.15 |
NMW floor check: Post-sacrifice annual pay = £19,243.80 − £369.12 = £18,874.68. At 22.5 hours/week: hourly rate = £18,874.68 ÷ (52.143 × 22.5) = £16.09/hour. NMW threshold = £12.71/hour. ✅ PASS — eligible to proceed.
1 The 2026/27 Agenda for Change pay scales are the published figures for England, effective from 1 April 2026. 3 The UK Government confirmed a 3.3% consolidated NHS pay rise for Agenda for Change staff in England for the 2026/27 pay year.
Band & Point | Annual Salary | Gross Monthly Deduction | Net Cost — Basic Rate (28%) | Net Cost — Higher Rate (42%) |
Band 2 | £25,272 | £48.47 | £34.90 | N/A |
Band 3 Entry | £26,530 | £50.88 | £36.63 | N/A |
Band 3 Top | £28,325 | £54.32 | £39.11 | N/A |
Band 4 Entry | £28,979 | £55.58 | £40.02 | N/A |
Band 4 Top | £31,578 | £60.56 | £43.60 | N/A |
Band 5 Entry | £32,073 | £61.51 | £44.29 | N/A |
Band 5 Top | £39,043 | £74.88 | £53.91 | N/A |
Band 6 Entry | £39,959 | £76.64 | £55.18 | N/A |
Band 6 Top | £48,117 | £92.27 | £66.43 | N/A |
Band 7 Entry | £49,387 | £94.71 | £68.19 | N/A |
Band 7 Mid | £53,128 | £101.89 | N/A | £59.10 |
Band 7 Top | £56,515 | £108.38 | N/A | £62.86 |
Band 8a Entry | £58,972 | £113.09 | N/A | £65.59 |
Band 8a Top | £68,525 | £131.41 | N/A | £76.22 |
Band 8b Entry | £70,426 | £135.05 | N/A | £78.33 |
Band 8b Top | £81,600 | £156.48 | N/A | £90.76 |
Band 8c Entry | £83,862 | £160.81 | N/A | £93.27 |
Band 8c Top | £96,338 | £184.73 | N/A | £107.14 |
Band 9 Entry | £99,893 | £191.55 | N/A | £111.10 |
Band 9 Top | £114,949 | £220.43 | N/A | £127.85 |
Basic rate saving = 20% tax + 8% NI = 28% total. Higher rate saving = 40% tax + 2% NI = 42% total. The threshold between basic and higher rate is £50,270 for England, Wales, and Northern Ireland. Scotland applies different rates — use the calculator with Scotland selected for precise Scottish figures.
These are reference estimates. Your exact figure depends on your precise salary, region, student loan, and any other active salary sacrifice arrangements. Always verify with your trust payroll team.
This is the most common concern NHS staff raise — and the answer is reassuring for most trusts.
Under most NHS trust schemes, pension contributions for both the employer and employee continue to be based on the substantive salary before any salary sacrifice reduction is applied. Your pension accrual is therefore unaffected by the purchase.
In the 2015 NHS CARE Pension Scheme, benefits accrue at 1/54th of your pensionable pay per year. If your pensionable pay is calculated on your full pre-sacrifice salary, the leave purchase creates zero reduction in your pension benefit.
This is a critical distinction from other salary sacrifice schemes. 14A salary sacrifice arrangement is an agreement between an employer and an employee to reduce an employee's entitlement to cash pay in return for a non-cash benefit. In arrangements such as car leasing or cycle to work, the pensionable pay figure is typically reduced to the post-sacrifice salary — permanently reducing CARE accrual for that year. The NHS buying annual leave scheme is explicitly structured to avoid this outcome at most trusts.
Important: 13NHS pension salary sacrifice reduces the basic salary that your pension is based on at some trusts. The trust and its officers do not give pension advice. You are strongly advised to consider the impact of the reduced salary due to salary sacrifice and seek independent financial advice if you are unsure about the potential impact.
Confirm with your trust HR or payroll team exactly how pensionable pay is defined under your specific trust's buying annual leave scheme before applying. 11It is vital to check your trust's specific policy. Most NHS trusts use your un-sacrificed salary to calculate death in service benefits, life assurance, and redundancy payments. However, this is not a universal rule.
Buying annual leave through salary sacrifice generates both Income Tax and National Insurance savings because 3the exact amount received in take-home pay will vary depending on tax, National Insurance, NHS pension contributions, and any salary sacrifice arrangements.
Tax Band | Applies To (England/Wales/NI) | Tax Rate | Saving per £100 Gross Cost |
Personal Allowance | Up to £12,570 | 0% | £0.00 |
Basic Rate | £12,571 to £50,270 | 20% | £20.00 |
Higher Rate | £50,271 to £125,140 | 40% | £40.00 |
Additional Rate | Above £125,140 | 45% | £45.00 |
Scotland operates a six-band system with different thresholds. Scottish NHS staff will see the correct rates applied automatically when they select Scotland in the calculator.
Earnings Band | Employee NI Rate | Saving per £100 Gross Cost |
Up to £12,570 | 0% | £0.00 |
£12,571 to £50,270 | 8% | £8.00 |
Above £50,270 | 2% | £2.00 |
Salary sacrifice reduces your gross pay, which is the figure used to calculate student loan repayments. All current repayment plans will see a small reduction in monthly repayment amount:
Plan | 2026/27 Threshold | Repayment Rate |
Plan 1 | £24,990 | 9% above threshold |
Plan 2 | £27,295 | 9% above threshold |
Plan 4 (Scotland) | £31,395 | 9% above threshold |
Plan 5 | £25,000 | 9% above threshold |
Postgraduate Loan | £21,000 | 6% above threshold |
The calculator computes your student loan saving automatically.
Your Tax Situation | Income Tax Saving | NI Saving | Total Saving | Net Cost as % of Gross |
Basic rate taxpayer, no student loan | 20% | 8% | 28% | 72% of gross |
Higher rate taxpayer, no student loan | 40% | 2% | 42% | 58% of gross |
Basic rate, Plan 2 student loan | 20% + 9% | 8% | 37% | 63% of gross |
Additional rate taxpayer | 45% | 2% | 47% | 53% of gross |
Knowing your baseline entitlement helps you judge the value of purchasing additional days:
NHS Service Length | Annual Leave | Bank Holidays | Total (Full-Time) |
On appointment (0–4 years) | 27 days | 8 days | 35 days |
After 5 years | 29 days | 8 days | 37 days |
After 10 years | 33 days | 8 days | 41 days |
Buying one additional contractual week (5 days) on top of the standard entitlement gives:
10 With the buying and selling of annual leave scheme, you can purchase up to one contractual week of additional annual leave via salary sacrifice and pay directly through your salary over a 12-month period. Alternatively, you can sell up to a contractual week's holiday in exchange for extra income.
Feature | Buying Leave | Selling Leave |
Direction | Pay sacrifice → gain extra days off | Lose days off → gain extra pay |
Tax treatment | Pre-tax deduction (salary sacrifice) | Extra pay is fully taxable income |
Tax impact | You save tax and NI | You pay tax and NI on extra income |
Maximum per year | 1 contractual week | 1 contractual week (trust-dependent) |
Statutory minimum protection | Must keep above your statutory entitlement | 12You can never sell the 5.6-week statutory minimum |
Pension impact | Protected at most trusts | Extra pay may be pensionable — confirm with trust |
Reversible after approval | No | No |
Step 1 — Check your trust's application window
9 The opportunity to buy and sell annual leave will only arise once a year. All applications and all relevant documentation must be received by the appointed allocated person for your area by the deadline. York and Scarborough Teaching Hospitals NHS Foundation Trust, for example, set a 31 January deadline for 2025/26 applications. Check your own trust's HR portal for the current year's deadline.
Step 2 — Use this calculator first
Run your numbers before committing. The calculator shows your net monthly cost, pension position, NMW floor check, and take-home pay impact. Do not apply without knowing the net cost — the gross deduction figure alone will overstate what you actually lose.
Step 3 — Speak to your line manager
10 Have a discussion with your line manager prior to applying where possible. Planning ahead gives your line manager plenty of time to consider your application.
Step 4 — Complete the buying annual leave application form
10 When the application period is open, complete the form and hand it to your line manager before the deadline. Most trusts require the form to include your current full-time annual salary and the number of days or weeks you wish to purchase.
Step 5 — Submit before the deadline
10 It is your responsibility to check with your line manager that your form has been forwarded to the allocated person for your area during the allocated timeframe. Late applications are not accepted by any trust.
Step 6 — Await confirmation from payroll
Payroll confirms your monthly deduction amount and the dates deductions begin. Deductions are spread across 12 monthly salary payments (or 6 at some trusts) starting from April.
Step 7 — Book and take the purchased leave
Agree dates with your line manager in the normal way. The purchased leave must be taken within the same leave year — it cannot be carried forward.
Annual leave that is purchased must be used within the leave year in which it is bought. It cannot be banked, carried over, or transferred to the next April–March cycle.
9 Once the application has been approved, staff cannot change their mind and are committed to the change for the leave year. There is no withdrawal mechanism after the trust has processed your request.
A part-time employee buys leave based on their contracted weekly hours. One week of purchased leave equals the number of hours they are contracted to work in one normal week — not 37.5 hours. The cost is also pro-rated to their actual salary.
3 The uplift is effective from 1 April 2026 and is expected to be reflected in NHS staff salaries from the April payroll, subject to normal payroll processing. If a pay award is confirmed after your deductions have already started, payroll will recalculate your monthly deduction based on the new higher salary. Any underpaid amount from prior months will typically be collected as a one-off lump sum in the same pay period the award is implemented.
9 If an individual terminates their employment mid-year, payroll must be informed of the outstanding or overtaken annual leave via the termination form. Payroll then makes the normal month's salary sacrifice deduction in the terminating month. Any outstanding balance for purchased but untaken leave is deducted from the final salary payment.
13 You will not be able to take part in the salary sacrifice scheme if your hourly rate falls below the National Living Wage in place when the deductions are to be taken. This takes into account any other salary sacrifice schemes you have in place. 13 There is no opt-out of the National Living Wage.
11 Occupational Maternity Pay is calculated based on your average weekly earnings during a specific reference period. If you are in the middle of a salary sacrifice during this period, your average weekly earnings will be lower, which will reduce the full pay and half pay amounts you receive while on leave. If you are planning a pregnancy, take advice from your trust HR team before committing to a buying annual leave purchase.
12 Leave purchase schemes are common in the Civil Service, the NHS, and large private sector employers. The majority of NHS trusts in England, Scotland, Wales, and Northern Ireland operate a buying annual leave scheme, but participation is not mandated at a national level. Each trust sets its own:
12 The schemes are typically administered through HR portals with an annual enrolment window, usually March–April for an April–March leave year.
If your trust does not currently advertise the scheme, contact your HR Business Partner or raise it through your Staff Side representative or union.
Yes. Most NHS trusts offer a buying annual leave scheme. 10You can purchase up to one contractual week of additional annual leave via salary sacrifice and pay directly through your salary over a 12-month period.
You can buy up to one contractual week per leave year. For Agenda for Change staff on a full-time 37.5-hour contract, one contractual week equals 37.5 hours (5 working days). Part-time staff buy based on their own contracted weekly hours.
Gross annual cost = your annual basic salary ÷ 52.143. Gross monthly deduction = gross annual cost ÷ 12 (or ÷ 6 depending on your trust's scheme).
12 You can save 28–42% on the gross cost depending on your tax band. A basic-rate taxpayer saves 28% (20% tax + 8% NI). A higher-rate taxpayer saves 42% (40% tax + 2% NI).
At most NHS trusts, pension contributions continue to be based on your full pre-sacrifice salary, meaning pension accrual is unaffected. However, 11it is vital to check your trust's specific policy as this is not universal across all trusts.
Yes, slightly. Your student loan is calculated on your reduced gross pay, so your monthly repayment decreases by a small amount. The calculator shows the exact saving based on your loan plan.
No. 9Once the application has been approved, staff cannot change their mind and are committed to the change for the leave year.
It varies by trust. Most windows open in January or August. 9The opportunity to buy and sell annual leave will only arise once a year. Check your trust's intranet or HR portal for exact dates.
Yes. The cost and the hours gained are both pro-rated to your contracted hours. One purchased week equals your contracted weekly hours, not 37.5 hours.
Yes. 14Salary sacrifice arrangements have the potential to reduce earnings to below the National Minimum Wage. The NMW for 2026/27 is £12.71 per hour. 14Employers are required to ensure that the pay an individual receives once the salary sacrifice arrangements have been deducted remains compliant and does not breach NMW regulations. The calculator flags any breach automatically.
9 If an individual terminates their employment mid-year, payroll must be informed of the outstanding or overtaken annual leave via the termination form. Any outstanding balance is settled through the final salary payment.
3 The UK Government confirmed a 3.3% consolidated NHS pay rise for Agenda for Change staff in England for 2026/27, effective from 1 April 2026. If a pay award is confirmed after deductions have begun, your monthly deduction will increase to reflect the higher salary, and any shortfall from previous months will be collected as a one-off payment.
This is determined by your line manager and your trust's leave policy. You are not required to take all purchased leave in one continuous block provided dates are agreed with your manager within the leave year.
Yes, subject to restrictions. For medical consultants and SAS grades, purchased leave cannot normally be taken during on-call or hot weeks and must be arranged during elective weeks.
Yes. 1The 2026/27 Agenda for Change pay year runs from 1 April 2026 to 31 March 2027. The leave year follows the same April to March cycle at the majority of NHS trusts.
Raise it with your HR Business Partner or Staff Side representative. There is no national mandate requiring trusts to offer the scheme — participation is a local decision.
Buying annual leave costs you a net 58–72% of the gross value (depending on tax band) and is spread over 12 months. Unpaid leave costs you 100% of the gross value in the month it is taken, with no spreading of the deduction and no tax saving on the forgone pay. Buying annual leave is almost always the more cost-effective route for staff whose trust offers the scheme.
Agenda for Change (AfC) — 1The national pay system covering more than a million NHS staff — nurses, healthcare assistants, paramedics, allied health professionals, administrative and support staff. It does not cover doctors and dentists, who are paid on separate contracts.
Salary Sacrifice — 14An agreement between an employer and an employee to reduce an employee's entitlement to cash pay in return for a non-cash benefit.
Gross Pay — Your full salary before any deductions for Income Tax, National Insurance, pension, or salary sacrifice.
Net Pay (Take-Home Pay) — The amount deposited in your bank account after all deductions are applied.
PAYE — Pay As You Earn. The HMRC system through which Income Tax is deducted from your salary by your employer before payment.
National Insurance (NI) — Mandatory employee contributions. For 2026/27 the employee rate is 8% on earnings between £12,570 and £50,270, and 2% on earnings above £50,270.
NHS 2015 CARE Pension Scheme — The current NHS defined benefit pension scheme, accumulating benefits at 1/54th of pensionable pay for each year of membership.
Pensionable Pay — The salary figure used to calculate NHS pension contributions and benefits. Under the buying annual leave scheme at most trusts, this remains your full pre-sacrifice salary.
FTE (Full-Time Equivalent) — Your contracted hours expressed as a fraction of 37.5. A 30-hour-per-week worker has an FTE of 0.80.
NMW (National Minimum Wage) — The legal minimum hourly pay rate. £12.71 per hour from April 2026.
ESR (Electronic Staff Record) — The NHS payroll and HR system through which salary changes, deductions, and pay awards are processed.
Leave Year — The NHS annual leave cycle, running from 1 April to 31 March.
Contractual Week — The number of hours in a normal working week as defined in your individual contract. For full-time AfC staff this is 37.5 hours.
Spine Point — A specific pay step within an Agenda for Change pay band. Staff progress through spine points annually, subject to satisfactory appraisal.
In-depth guides on Agenda for Change pay scales, nurse and doctor salaries, payslips, bank shifts, regional pay rises and NHS Pension options — written for 2026/27. Use guides for explanation, then jump to the matching calculator for numbers.
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Annual leave, maternity, sick pay, Bradford These links connect neighbouring calculators and guides in the same topical cluster so you can move from explanation to calculation without leaving the niche graph.