Student Loan Repayments UK
How much comes out of your pay for each student loan plan in 2026/27, with the repayment thresholds and worked examples at common salaries.
Repayment thresholds 2026/27
You repay a percentage of what you earn above the threshold for your plan.
| Plan | Who it usually applies to | Yearly threshold | Monthly threshold | Rate |
|---|---|---|---|---|
| Plan 1 | Generally: started in England or Wales before September 2012, or studied in Northern Ireland | £26,900 | £2,242 | 9% |
| Plan 2 | Generally: started in England or Wales from September 2012 to July 2023 | £29,385 | £2,449 | 9% |
| Plan 4 | Studied in Scotland | £33,795 | £2,816 | 9% |
| Plan 5 | Generally: started in England from August 2023 | £25,000 | £2,083 | 9% |
| Postgraduate loan | Master’s or doctoral loan, on top of any plan above | £21,000 | £1,750 | 6% |
What you repay at different salaries
Yearly repayment for each plan, worked out as 9% of pay above the threshold (6% for the postgraduate loan). Divide by 12 for a monthly figure.
| Salary | Plan 1 | Plan 2 | Plan 4 | Plan 5 | Postgraduate |
|---|---|---|---|---|---|
| £25,000 | £0 | £0 | £0 | £0 | £240 |
| £30,000 | £279 | £55 | £0 | £450 | £540 |
| £35,000 | £729 | £505 | £108 | £900 | £840 |
| £40,000 | £1,179 | £955 | £558 | £1,350 | £1,140 |
| £50,000 | £2,079 | £1,855 | £1,458 | £2,250 | £1,740 |
| £60,000 | £2,979 | £2,755 | £2,358 | £3,150 | £2,340 |
| £80,000 | £4,779 | £4,555 | £4,158 | £4,950 | £3,540 |
Worked example. On £40,000 with a Plan 2 loan you repay 9% of £10,615 (the pay above £29,385), which is £955 a year. Take-home falls from £32,320 to £31,364, or £2,614 a month. Add a postgraduate loan as well and the yearly repayment rises to £2,095.
How repayments work
- Through payroll. Your employer deducts repayments with your tax and National Insurance and sends them to HMRC. If you are self-employed you repay through Self Assessment.
- Percentage of the excess. Only the pay above the threshold counts, so you never repay more than 9% of the extra.
- Several loans at once. A plan and a postgraduate loan are both deducted, each against its own threshold.
- Separate from tax. Repayments are not tax. They come out after Income Tax and National Insurance, and they do not change your tax band.
Use the take-home pay calculator to see your own figure with a pension, bonus and Scottish tax included.
Frequently asked questions
How much of my salary goes on student loan repayments?
You repay 9% of the amount you earn above your plan threshold, plus 6% of earnings above £21,000 if you also have a postgraduate loan. On a £40,000 salary a Plan 2 loan takes £955 a year (£80 a month).
Which student loan plan am I on?
It depends on where and when you started your course. Check your online account with the Student Loans Company or look at GOV.UK’s student loan guidance if you are unsure. You can be on more than one plan and you can also have a postgraduate loan.
Do I repay if I earn less than the threshold?
No. You repay nothing in any pay period where you earn below the threshold for your plan.
Are repayments worked out yearly or every pay period?
Your employer works them out each pay period from your pay in that period, not from your annual salary. A large bonus in one month can therefore mean a bigger deduction that month. Our calculator uses annual figures, so a real payslip can differ slightly for irregular pay.
Does a pension contribution reduce my student loan repayment?
It depends on how the pension is paid. Repayments are based on pay that is subject to National Insurance, so salary sacrifice lowers them, while a net pay arrangement does not. Try both in the take-home pay calculator.
Where do the thresholds come from?
From GOV.UK’s “Rates and thresholds for employers 2026/27”. They are reviewed each April, so check GOV.UK for changes. Our methodology lists all sources.
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Disclaimer: This calculator gives estimates for general planning. Your real deductions depend on your tax code, pay period, employer pension scheme, benefits in kind (P11D) and student loan timing. See our methodology.