UK
Sole Trader
2025/26 Tax Year
UK Self-Employed Tax Calculator
Calculate your income tax and National Insurance bill as a self-employed sole trader for the 2025/26 tax year. Includes Class 2 and Class 4 NI.
Your business details
£
£
Travel, equipment, office costs, marketing etc.
£
England, Wales & Northern Ireland · 2025/26
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Enter your income and click
Calculate my tax bill
Total tax & NI bill
£0
Net profit (after tax)
£0
Effective tax rate
0%
Full tax breakdown
Gross income
£0
Taxable profit
£0
Income tax
−£0
Class 2 NI (£3.45/week)
−£0
Class 4 NI
−£0
Net profit after tax
£0
Monthly & weekly equivalent
Monthly net income
£0
Weekly net income
£0
Monthly tax & NI to set aside
£0
Payment on account estimate
Jan payment (tax + 1st POA)
£0
July payment (2nd POA)
£0
Based on paying this year's tax bill + 100% on account for next year.
Estimates only. Verify your tax position at HMRC Self Assessment.
Self-Employed NI Rates 2025/26
| Class | Threshold | Rate |
|---|---|---|
| Class 2 | Profits above £12,570 | £3.45/week |
| Class 4 (main) | £12,570 – £50,270 | 6% |
| Class 4 (upper) | Above £50,270 | 2% |
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Frequently asked questions
Common questions about self-employed tax in the UK.
Self-employed people in the UK pay income tax on profits above the personal allowance (£12,570 in 2025/26), at the same rates as employees: 20% basic rate, 40% higher rate, 45% additional rate. They also pay Class 2 and Class 4 National Insurance contributions, which are different from employee NI.
Class 2 NI is a flat rate contribution of £3.45 per week (2025/26) paid by self-employed people with profits above £12,570 per year. It counts toward your state pension and other benefits. If your profits are below £12,570, you can choose to pay Class 2 voluntarily to protect your state pension entitlement.
Class 4 NI is paid on self-employed profits. In 2025/26: 6% on profits between £12,570 and £50,270, and 2% on profits above £50,270. Unlike Class 2, Class 4 NI does not count toward your state pension or benefits — it is purely a tax on profits.
You can deduct allowable business expenses from your income before calculating tax. Common deductions include: office costs (stationery, phone, broadband), travel expenses (fuel, train fares — not commuting), clothing (uniforms, protective gear), staff costs, stock and materials, financial costs (bank charges, insurance), marketing costs, and training costs directly related to your business.
Payments on account are advance payments toward your next tax bill, made twice a year (31 January and 31 July). Each payment is 50% of your previous year's tax bill. In your first year of self-employment, you pay your full tax bill plus 50% on top as a first payment on account — this can come as a surprise if you are unprepared.
You must register with HMRC as self-employed if your self-employment income exceeds £1,000 in a tax year (this is the trading allowance). You should register by 5 October following the end of the tax year in which you started self-employment. Registration is done through HMRC's website and is free.
Yes. Self-employed people can contribute to a personal pension (SIPP or similar) and receive tax relief. Basic rate taxpayers get 20% relief added by the government. Higher rate taxpayers can claim additional relief through Self Assessment. Pension contributions effectively reduce your tax bill significantly.
Disclaimer: This calculator is for guidance only and does not constitute tax advice.
Tax rules are complex and your individual circumstances may differ. Always verify your tax position
with HMRC
or a qualified accountant.