Answers · UK 2025/26
How much is my Plan 2 student loan repayment on a £35,000 salary?
On a £35,000 salary in 2026/27, a Plan 2 student loan repayment is £505.35 for the year (9% of the £5,615 above the £29,385 threshold), leaving take-home pay of £28,214.25 a year after Income Tax, National Insurance and the loan repayment -- about £2,351.19 a month.
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Plan 2 student loans are repaid at 9% of income above a 2026/27 threshold of £29,385. On a £35,000 salary, the amount above the threshold is £5,615, so the annual repayment is 9% of £5,615, which is £505.35, or £42.11 a month, deducted automatically through PAYE. The underlying Income Tax on £35,000 is £4,486 (20% of the £22,430 taxable after the £12,570 Personal Allowance) and National Insurance is £1,794.40 (8% of the same £22,430), so total deductions are £6,785.75, leaving take-home pay of £28,214.25 a year, around £2,351.19 a month. The Plan 2 threshold of £29,385 is uprated periodically, and its history of larger jumps (compared with Plan 5's frozen threshold) means Plan 2 borrowers on modest salaries can see their repayment fall or disappear entirely in years when the threshold rises faster than their pay.
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This answer is informational only and does not constitute financial, tax or legal advice. Figures are for the 2025/26 UK tax year. See our methodology and sources.