Tax code · 2026/27

SK250 means £2,500 is added to your taxable pay

Tax code SK250 is a K code. Instead of a tax-free allowance you get £2,500 a year added to your taxable income, £208 a month, so you pay tax on more than your salary. K codes are used when taxable benefits, untaxed income or tax owed from an earlier year are worth more than your personal allowance.

What does each part of SK250 mean?

The number after the K is multiplied by 10 to give the amount added to your taxable pay each year: 250 × 10 = £2,500.
Common causes are company cars or medical insurance, state pension paid without tax deducted, or tax owed from an earlier year being collected through PAYE.
HMRC caps the deduction so no more than half of your pay in any period is taken as tax under a K code.
The S prefix means you are a Scottish taxpayer, so Scottish income tax rates and bands apply to your earnings and pension income.

How much tax do you pay with code SK250?

The table shows income tax and take-home pay in 2026/27 for four salaries with code SK250, compared with the standard code S1257L. National Insurance is not affected by your tax code.

Salary	Tax with SK250	Tax on standard code	Take-home with SK250	Per month
£25,000	£5,566	£2,446	£18,440	£1,537
£35,000	£9,011	£4,501	£24,194	£2,016
£50,000	£15,311	£8,982	£31,694	£2,641
£75,000	£26,264	£19,482	£45,226	£3,769

On £35,000 the effective rate with SK250 is 30.9%, against 18% on the standard code, a difference of £4,510 a year. Use the take-home pay calculator with your own salary, pension and student loan.

Frequently asked questions

Is tax code SK250 correct for me?

SK250 is correct if you have taxable benefits or untaxed income worth more than your personal allowance, or HMRC is collecting an underpayment. Compare the deductions in your Personal Tax Account with what you actually receive.

How much tax do I pay on £35,000 with tax code SK250?

On £35,000 with code SK250 income tax is £9,011 a year in 2026/27, leaving take-home pay of £24,194 (£2,016 a month) after National Insurance of £1,794. On the standard code it would be £4,501.

How do I change tax code SK250?

You cannot change it yourself; only HMRC can issue a new code. Update your details in your HMRC Personal Tax Account or call 0300 200 3300 with your National Insurance number and details of your income and benefits. HMRC sends the new code to your employer and any tax overpaid in the year is refunded through your pay.

What does the S prefix mean?

The S prefix means HMRC has recorded your main home as being in Scotland, so Scottish income tax rates and bands apply. This is decided by where you live, not where you work.