Sole Trader Tax Calculator
Find out exactly how much you can keep. Enter your freelance income and calculate your HMRC tax bill in real-time.
Your Details
Everything your clients paid you, before costs.
Software, travel, equipment directly related to work.
Entering this accurately models if your side hustle pushes you into the higher 40% tax bracket.
Tax Breakdown
Your Total Tax Bill
£2,712
Safe to Spend
£20,288
Effective Rate
11.8%
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How is my tax calculated?
As a sole trader in the UK, your tax bill is calculated based on your total Profit (Revenue minus Allowable Expenses). You are subjected to two primary taxes: Income Tax and National Insurance (NI).
What is "The Missing Class 2 NI"?
2026/27 Tax & NI Bands
- Personal Allowance: 0% Income Tax on the first £12,570 of total earnings.
- Basic Rate: 20% Income Tax on profits between £12,571 and £50,270.
- Higher Rate: 40% Income Tax on profits between £50,271 and £125,140.
- Additional Rate: 45% Income Tax on all profits above £125,140.
- Class 4 National Insurance: 6% on profits between £12,570 and £50,270, plus 2% on profits exceeding £50,270.