PaychecklyHow to Read Your UK Payslip
A payslip packs a dozen cryptic numbers into a small space. Here's what every line means, which ones to check, and how to spot when something's wrong — for the 2026/27 tax year.
The three numbers that matter most
- Gross pay — your total earnings for the period before any deductions.
- Deductions — everything taken off: Income Tax, National Insurance, pension, student loan.
- Net pay — what actually hits your bank account. Also called "take-home pay."
If you only check one thing, check that net pay matches what you expect. Run your salary through the calculator — if your payslip is noticeably lower, something's off (often an emergency tax code).
Every line, explained
| Label | What it means |
|---|---|
| Tax code | Tells your employer how much tax-free allowance to apply. 1257L is standard. Anything unusual? See our tax code guides. |
| NI number | Your unique National Insurance number (e.g. QQ123456C) — identifies your tax and benefits record. |
| PAYE / Income Tax | Income Tax deducted at source under Pay As You Earn. Based on your tax code and the tax bands. |
| National Insurance | NI contributions — 8% then 2% of earnings above the threshold. See the NI guide. |
| Pension | Your workplace pension contribution. May be shown as a percentage; reduces taxable pay if it's salary sacrifice. |
| Student loan | Repayment if you earn above your plan's threshold. See student loan plans. |
| YTD figures | "Year to date" — running totals since 6 April. Used to keep cumulative tax correct across the year. |
| Payment method / period | How and for what period you're paid (e.g. monthly, BACS). |
Five checks to run on every payslip
- Is the tax code right?
1257Lfor most people with one job. AW1,M1,0TorBRsuffix may mean you're overpaying — see emergency tax. - Does net pay match the calculator? A big gap signals a wrong code, missing allowance, or unexpected deduction.
- Is your pension being deducted at the rate you chose — and is your employer contributing too?
- Student loan — only deducted if you're over the threshold and on the correct plan. Wrong plan = wrong deduction.
- YTD building correctly? The running totals should grow steadily each period; a sudden jump can flag a correction.
What to do if something looks wrong
Start with your employer's payroll team for deduction errors. For tax code issues, check your Personal Tax Account on gov.uk or call HMRC on 0300 200 3300. Most errors — especially emergency tax — correct themselves once HMRC issues the right code, with any overpayment refunded through PAYE.
Check your payslip against the calculator ›General information for the 2026/27 tax year, not financial advice. Payslip layouts vary between employers and payroll providers, but the core fields are required by law. Always raise discrepancies with your employer and HMRC.