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Updated for 2025/26

£20,996 vs £25,996 Salary Comparison

Compare a £20,996 salary against £25,996. Find out exactly how much more (or less) you will take home after tax.

Gross Difference
+£5,000
per year
Take Home Extra
+£300.00
per month
You Keep
72%
of the raise
5-Year Gain
+£18,000
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£20,996£25,996Difference
Gross Salary£20,996£25,996£5,000
Income Tax£1,685£2,685£1,000
National Insurance£674£1,074£400
Pension£0£0£0
Take-Home Pay (Yearly)
£18,637
£22,237
£3,600
Take-Home (Monthly)£1,553£1,853£300
Effective Tax Rate11.2%14.5%3.2%

£20,996

Gross£20,996
Take-Home£18,637
You Keep88.8%

£25,996

Gross£25,996
Take-Home£22,237
You Keep85.5%

Tax Band Analysis

Understanding where your money goes

£20,996

Tax BandBasic Rate
Marginal Rate20%
Income Tax£1,685.20
National Insurance£674.08
Take Home (Monthly)£1,553.06

£25,996

Tax BandBasic Rate
Marginal Rate20%
Income Tax£2,685.20
National Insurance£1,074.08
Take Home (Monthly)£1,853.06

What £300.00 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: £20,996 vs £25,996

£20,996

  • Gross Pay£20,996.00
  • Take Home (Year)£18,636.72
  • Take Home (Month)£1,553.06
  • Effective Tax Rate11.2%

£25,996

  • Gross Pay£25,996.00
  • Take Home (Year)£22,236.72
  • Take Home (Month)£1,853.06
  • Effective Tax Rate14.5%

The difference in take-home pay is £3,600 per year, which works out to £300.00 per month.