Answers · UK 2025/26
How much is my Plan 4 student loan repayment on a £40,000 salary?
On a £40,000 salary in 2026/27, a Plan 4 (Scotland) student loan repayment is £558.45 for the year (9% of the £6,205 above the £33,795 threshold), leaving take-home pay of £31,696.08 a year after Scottish Income Tax, National Insurance and the loan repayment -- about £2,641.34 a month.
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Plan 4 student loans are repaid at 9% of income above a 2026/27 threshold of £33,795. On a £40,000 salary, the amount above the threshold is £6,205, so the annual repayment is 9% of £6,205, which is £558.45, or £46.54 a month, deducted automatically through PAYE. Scottish Income Tax on £40,000: taxable income after the £12,570 Personal Allowance is £27,430, falling across the Starter, Basic and Intermediate bands, giving £5,551.07 Income Tax. National Insurance is UK-wide: 8% of £27,430 = £2,194.40. Total deductions of £8,303.92 leave take-home pay of £31,696.08 a year, around £2,641.34 a month.
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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.