Student Loan Repayment Calculator UK 2026-27
You repay 9% of what you earn above the threshold — never 9% of everything.
Work out your 2026-27 student loan repayments across Plans 1, 2, 4 and 5 plus the Postgraduate Loan — including combined repayments, write-off terms, and the April 2026 milestone: Plan 5 borrowers repaying for the first time.
April 2026 thresholds, checked July 2026. Repayments pause automatically below your threshold.
Income-based, not balance-based
The 9% rule
UK student loans repay 9% of income above your plan's threshold (6% for postgraduate loans) — collected through payroll like tax. Your balance and interest rate don't change the monthly amount at all; only your income does. £40,000 on Plan 2 repays £955 a year whether you owe £5,000 or £70,000.
It pauses automatically
Earn below the threshold — career break, part-time year, redundancy — and repayments stop by themselves. There's nothing to apply for and no default possible.
Thresholds, rates and write-off terms
| Plan | Who | Threshold | Written off |
|---|---|---|---|
| Plan 1 | Pre-2012 starters | £26,900 | 25 years |
| Plan 2 | England/Wales 2012–2023 | £29,385 | 30 years |
| Plan 4 | Scottish students | £33,795 | 30 years |
| Plan 5 | England from 2023 | £25,000 | 40 years |
| Postgraduate | Masters/doctoral | £21,000 (6%) | 30 years |
Plan 2's threshold is frozen at £29,385 for three years from April 2027 — fiscal drag will pull more graduates into repayment as wages rise.
The first Plan 5 cohort is now repaying
Students who started English courses from autumn 2023 made their first repayments in April 2026. Plan 5 differs from Plan 2 in both directions: a lower threshold (£25,000 — repayments start earlier and cost more at the same salary) but a simpler interest rate (RPI only, no income-based surcharge) and a longer 40-year term before write-off.
At £30,000, Plan 5 repays £450 a year where Plan 2 repays £55 — the graduate-tax burden has shifted down the income scale and stretched over a working lifetime.
Why most graduates shouldn't clear the balance
Because unpaid balances are cancelled at write-off, overpaying only helps if you'd have repaid in full anyway. Most Plan 2 borrowers won't — for them every voluntary £1 goes to a balance that was going to be written off. Treat it as a time-limited graduate tax, not a debt to attack.
Overpaying can make sense for consistently high earners (roughly £60,000+ early in the term) who will clear the loan years before write-off — the saved interest becomes real. Run the numbers before sending a penny, and never at the expense of pension matching or high-interest debt. Note salary sacrifice legitimately reduces repayments — see the take-home pay calculator.
❓ Frequently asked Frequently asked questions
How much do I repay on my student loan?
9% of income above your plan's threshold (6% postgraduate). On £40,000 with Plan 2: £955 a year — never 9% of your whole salary.
When do Plan 5 repayments start?
April 2026 — the 2023 starters are the first cohort: 9% above £25,000 over a 40-year term.
Can I repay two loans at once?
Yes — a Postgraduate Loan repays concurrently: 6% above £21,000 on top of your plan's 9%. At £40,000 with Plan 2 + PGL that's £2,095 a year.
When is my loan written off?
Plan 1: 25 years. Plan 2, Plan 4 and Postgraduate: 30 years. Plan 5: 40 years. The remaining balance is cancelled with no consequences.
Should I overpay?
Usually not — unless you're a high earner certain to repay in full before write-off, voluntary payments go toward a balance that would have been cancelled.
Does salary sacrifice reduce repayments?
Yes — repayments follow NI-able pay, so £5,000 sacrificed into a pension saves £450 a year in loan repayments on top of the tax and NI savings.
Where these figures come from
Thresholds and rules come from GOV.UK and the Student Loans Company — the sources of record.
- Repayment thresholds and rates — GOV.UK — Repaying your student loan.
- Which plan you're on — GOV.UK — Repayment plans.
- Terms and conditions (write-off) — GOV.UK — Student loans: terms and conditions.
- Your balance — GOV.UK — Manage your student loan.
Last checked: July 2026. Thresholds are the confirmed April 2026 values for all five plans.
Select the question that matches where you are right now.
Your result is the payroll deduction you'll actually see this year — driven entirely by income, not by what you owe.
Budget on the monthly figure, and check your payslip's "SL" line matches. Overpaid after a mid-year salary drop? You can reclaim from SLC.
Not a payoff schedule — clearing the balance depends on interest and future income. For most borrowers the balance is irrelevant; the write-off date matters more.
Confirmed April 2026 thresholds. All calculations run in your browser.
Three things set your repayment: the plan, this year's income, and any second loan.
Same salary, different plans: £30,000 costs £55 on Plan 2 but £450 on Plan 5. Check your plan before assuming.
Bonuses count in the year paid — a £10,000 bonus adds £900 of repayments even if your salary is modest.
Postgraduate + undergraduate = 15% marginal above both thresholds. Stacked with tax and NI, a Plan 2 + PGL graduate at £45,000 keeps just 57p of each extra £1.
You can't change the rules, but you can manage the edges.
Salary sacrifice reduces repayments and builds wealth; voluntary loan payments usually vanish into a written-off balance.
Employers occasionally apply the wrong plan — a Plan 5 deduction on a Plan 2 loan overcharges you every month.
If total annual income ended below the threshold but payroll deducted anyway, SLC refunds on request.
The loan is one slice of your payslip — see the whole picture.