Updated for 2025/26
£16,325 vs £20,825 Salary Comparison
Compare a £16,325 salary against £20,825. Find out exactly how much more (or less) you will take home after tax.
Gross Difference
+£4,500
per year
Take Home Extra
+£270.00
per month
You Keep
72%
of the raise
5-Year Gain
+£16,200
cumulative
Entry-Level Career Progression
This comparison is typical for early career moves or first promotions. At this salary range, most of your income is taxed at the basic rate (20%), so you keep a higher percentage of any raise.
- Negotiate hard - you keep ~70-80% of any increase at this level
- Consider employers offering good pension matching (often worth more than small salary differences)
- Look for roles with clear progression paths to higher bands
- Factor in benefits like free lunches, gym memberships, or transport subsidies
Compare Salaries
Enter multiple salaries to compare take-home pay for 2025/26
£
£
Comparison Results
| Metric | £16,325 | £20,825 | Difference |
|---|---|---|---|
| Gross Salary | £16,325 | £20,825 | £4,500 |
| Income Tax | £751 | £1,651 | £900 |
| National Insurance | £300 | £660 | £360 |
| Pension | £0 | £0 | £0 |
| Take-Home Pay (Yearly) | £15,274 | £18,514 | £3,240 |
| Take-Home (Monthly) | £1,273 | £1,543 | £270 |
| Effective Tax Rate | 6.4% | 11.1% | 4.7% |
£16,325
Gross£16,325
Take-Home£15,274
You Keep93.6%
£20,825
Gross£20,825
Take-Home£18,514
You Keep88.9%
Tax Band Analysis
Understanding where your money goes
£16,325
Tax BandBasic Rate
Marginal Rate20%
Income Tax£751.00
National Insurance£300.40
Take Home (Monthly)£1,272.80
£20,825
Tax BandBasic Rate
Marginal Rate20%
Income Tax£1,651.00
National Insurance£660.40
Take Home (Monthly)£1,542.80
What £270.00 Extra Buys You
Real-world value of the take-home difference
Monthly Subscriptions
Netflix, Spotify, gym - £100.00/mo
Weekend Breaks
1-2 UK getaways per month at this budget
Full Comparison: £16,325 vs £20,825
£16,325
- Gross Pay£16,325.00
- Take Home (Year)£15,273.60
- Take Home (Month)£1,272.80
- Effective Tax Rate6.4%
£20,825
- Gross Pay£20,825.00
- Take Home (Year)£18,513.60
- Take Home (Month)£1,542.80
- Effective Tax Rate11.1%
The difference in take-home pay is £3,240 per year, which works out to £270.00 per month.