How much can I borrow on a mortgage?

Most UK lenders offer 4–4.5x your annual salary, with some going up to 5.5x for high earners.

What is the personal allowance?

The personal allowance for 2026/27 is £12,570 — the amount you can earn before paying income tax.

What is the ISA allowance?

The ISA allowance for 2026/27 is £20,000 per tax year, which can be split across different ISA types.

How much can I borrow on a £60,000 salary?

Most UK lenders will offer 4–4.5x your annual salary. On a £60,000 salary, that means you could borrow between £240,000 and £270,000. Some lenders offer up to 5.5x for professionals. Your actual offer depends on your credit score, existing debts, and deposit size.

What is the stamp duty on a £350,000 house?

For a standard purchase in 2026/27: £0 on first £250,000, then 5% on the remaining £100,000 = £5,000 total. First-time buyers pay £0 on the first £425,000, so would pay nothing on a £350,000 property.

Should I get a fixed or variable rate mortgage?

Fixed rate gives you certainty — your payments won't change for 2–5 years. Variable/tracker rates can be cheaper if rates fall but you take the risk of rises. In the current environment with Bank Rate at 5%, many experts suggest fixing to protect against uncertainty.

What is the personal allowance for 2026/27?

The personal allowance for 2026/27 is £12,570 — this is the amount you can earn before paying income tax. It has been frozen since 2021 and is set to remain frozen until 2028. If you earn over £100,000, your allowance is tapered by £1 for every £2 over £100,000.

How do I calculate my take-home pay?

Your take-home pay = Gross salary - Income Tax - National Insurance - Pension contributions. For example, on a £40,000 salary: ~£7,486 income tax + ~£2,188 NI = ~£9,674 deductions, leaving ~£30,326 take-home (before pension). Use our calculator for exact figures.

What are the National Insurance rates in 2026/27?

Employee NI: 8% on earnings between £12,570 and £50,270 per year, then 2% on earnings above £50,270. Employer NI: 13.8% above £5,000 from April 2025.

What is the ISA allowance for 2026/27?

The ISA allowance for 2026/27 is £20,000 per tax year. You can split this across different ISA types: Cash ISA, Stocks & Shares ISA, Innovative Finance ISA. The Lifetime ISA has a separate £4,000 limit (which counts toward the £20,000 total) and receives a 25% government bonus.

Where is the best place to put savings in 2026?

The best easy-access rate in June 2026 is ~4.84% AER (Chip). For tax-free savings, a Cash ISA pays up to 5.10% AER. If you're a higher-rate taxpayer, your Personal Savings Allowance is only £500, so an ISA is often the better choice.

What is a Lifetime ISA (LISA)?

A LISA lets you save up to £4,000/year and the government adds a 25% bonus (£1,000 max per year). You can use it to buy your first home (under £450,000 purchase price) or for retirement after age 60. You must open one before age 40.

How much should I have in my pension at 40?

A common rule of thumb is to have roughly 3x your annual salary saved by age 40. So on a £40,000 salary, aim for £120,000. However this varies hugely depending on when you want to retire and your lifestyle goals. Use our pension calculator for a personalised target.

What is the 2026/27 pension annual allowance?

The pension annual allowance is £60,000 per year (or 100% of your earnings if lower). This is the maximum you can contribute to pensions and still receive tax relief. Money Purchase Annual Allowance (MPAA) is £10,000 if you've started drawing your pension.

When do I start repaying my student loan?

For Plan 2 loans: repayments start when you earn over £27,295/year (2026/27). You pay 9% of earnings above this threshold. For Plan 5 (started uni from 2023): threshold is £25,000. Repayments are taken via payroll automatically.

WiseYields

UK Money FAQs

Plain-English answers to the UK's most-searched personal finance questions.

Need help?

Edit with