2026/27 tax year

£12 an hour is how much a year? Salary and take-home pay

£12 an hour is £23,400 a year on a 37.5 hour week, or £1,950 a month and £450.00 a week before tax. After income tax and National Insurance in 2026/27 that is £20,368 a year, £1,697 a month, which works out at £10.44 for every hour worked.

How much is £12 an hour at different weekly hours?

Hours a week	Per week	Per month	Per year	Take-home per year	Take-home per month
20 hours	£240.00	£1,040	£12,480	£12,480	£1,040
25 hours	£300.00	£1,300	£15,600	£14,752	£1,229
30 hours	£360.00	£1,560	£18,720	£16,998	£1,417
35 hours	£420.00	£1,820	£21,840	£19,244	£1,604
37.5 hours	£450.00	£1,950	£23,400	£20,368	£1,697
40 hours	£480.00	£2,080	£24,960	£21,491	£1,791
45 hours	£540.00	£2,340	£28,080	£23,737	£1,978

Take-home pay breakdown by period for 2026/27
Item	Yearly	Monthly	Weekly	Daily	Hourly
Gross pay	£23,400.00	£1,950.00	£450.00	£90.00	£12.00
Income tax	−£2,166.00	−£180.50	−£41.65	−£8.33	−£1.11
National Insurance	−£866.40	−£72.20	−£16.66	−£3.33	−£0.44
Take-home pay	£20,367.60	£1,697.30	£391.68	£78.34	£10.44

Where your gross pay goes

Take-home £20,368(87%)Income tax £2,166(9%)National Insurance £866(4%)

Effective tax rate: 13%
Marginal rate: 28%
Personal allowance: £12,570
Tax code: 1257L

Effective rate is income tax, NI and loan repayments as a share of gross pay. Marginal rate is what you lose from the next £1 earned. Employer NI on this salary is £2,760 a year on top.

Income tax by band
Band	Rate	Taxable	Tax
Basic rate	20%	£10,830	£2,166.00
Total income tax		£10,830	£2,166.00

Add pension, student loan or different hours: Open £12/hour in the calculator

Is £12 an hour a good wage?

At £12 the rate is below the £12.71 National Living Wage for workers aged 21 and over, so it is only lawful for younger workers or apprentices. On a 40 hour week the same rate pays £24,960 a year and £1,791 a month after tax, while a 30 hour week gives £18,720 gross.

How much tax do you pay on £12 an hour?

Deductions on the 37.5 hour salary of £23,400 are £2,166 income tax and £866 National Insurance, an effective rate of 13%. The £12,570 personal allowance covers the first part of the year's pay, and the remaining £10,830 is taxed at 20%.

What difference does £1 an hour make?

Every extra pound an hour on a 37.5 hour week adds £1,950 a year to gross pay and about £1,404 to take-home at this level. A £13 rate would be £25,350 a year; £11 would be £21,450.

Frequently asked questions

How much is £12 an hour per year?

£12 an hour is £23,400 a year on 37.5 hours a week, £24,960 on 40 hours and £21,840 on 35 hours, assuming 52 paid weeks. Multiply the rate by weekly hours and then by 52.

How much is £12 an hour per month after tax?

On a 37.5 hour week, £12 an hour gives £1,950 a month before tax and £1,697 after income tax and National Insurance in 2026/27, using the standard tax code.

How much is £12 an hour per week?

£12 an hour is £450.00 a week for 37.5 hours, £480.00 for 40 hours and £240.00 for a 20 hour part-time week, all before tax.

Is £12 an hour above minimum wage?

Not for adults. The National Living Wage for workers aged 21 and over is £12.71 an hour from 2026-04-01, so £12 is only lawful for 18 to 20 year olds (£10.85) or younger workers and apprentices (£8.00).