Work out your dividend tax, and plan what you take out.
A free calculator for dividend tax at the 2026/27 rates, plain-English guides, and step-by-step packs when you want the rules and paperwork in one place.
Free, no account or email needed. Independent, not HMRC.
Estimate how much dividend tax you may owe in 2026/27 based on your dividend income, salary or other taxable income, and the current dividend allowance.
Adjust figures — results update instantly.
No dividend tax to pay on these figures. Free next step: see how the Personal Allowance and the £500 allowance cover dividends
Checked 1 November 2026.
The calculator and guides are free. If you want the 2026/27 rules, worked examples and templates in one place, there are optional downloads.
Dividends stack on top of your salary, so the rate you pay depends on how much room is left in each tax band. Here's how much more you could take, on top of the dividends you entered, before crossing into the next rate. It updates live with the figures above.
Thresholds for 2026/27: basic-rate limit £50,270, additional-rate threshold £125,140, Personal Allowance taper from £100,000. Headroom assumes your salary fills the bands first and ignores other reliefs. A personal pension contribution under relief at source raises the basic-rate and higher-rate limits by the gross contribution (Finance Act 2004 s192(4)); a salary sacrifice or net pay contribution comes off your salary instead. Both lower the adjusted net income used for the £100,000 taper. Relief is limited to your earnings from employment, or £3,600 gross if that is more, and dividends do not count as earnings. Estimates only — not personal advice.
Add your annual salary or other income and total dividend income for the tax year. Add any pension contributions: a personal pension extends your basic-rate band, a salary sacrifice reduces your taxable pay.
Your salary fills the Personal Allowance and tax bands first. Dividends then sit on top — so a higher salary means more dividends are taxed at higher rates.
Review dividend tax at 10.75%, 35.75% and 39.35%, the £500 allowance used, net dividend income after tax, and effective dividend tax rate.
The salary of £40,000 uses most of the Personal Allowance and basic-rate band. Taxable salary: £40,000 − £12,570 = £27,430. This uses £27,430 of the £37,700 basic-rate band, leaving £10,270 unused.
After the £500 dividend allowance, taxable dividends are £9,500. All £9,500 falls within the remaining £10,270 of the basic-rate band. Dividend tax = 10.75% × £9,500 = approximately £1,021.
Net dividend income after tax: approximately £8,979. Effective dividend tax rate: approximately 10.2%. If salary were £55,000 instead, dividends would fall into the higher-rate band at 35.75%. Try adjusting the salary figure above.
It depends on your other income as well as your dividends, because dividends sit on top of your salary. This is the 2026/27 bill at common amounts, with no other income.
| Salary | £5,000 | £10,000 | £20,000 | £50,000 |
|---|---|---|---|---|
| £12,570 | £483.75 | £1,021.25 | £2,096.25 | £8,396.25 |
| £30,000 | £483.75 | £1,021.25 | £2,096.25 | £12,753.75 |
| £50,270 | £1,608.75 | £3,396.25 | £6,971.25 | £17,696.25 |
| £80,000 | £1,608.75 | £3,396.25 | £6,971.25 | £17,871.21 |
Company director? Use the director dividend calculator. In Scotland? Dividends use UK bands, not Scottish ones. Filing for an earlier year? The previous years calculator covers 2023/24 to 2025/26. Rates are unchanged by Budget 2026 for 2027/28.
In-depth guides covering every aspect of UK dividend tax — rates, allowances, scenarios and worked examples.
10.75% on dividends above the £500 allowance for income up to £50,270.
→35.75% on dividends in the higher-rate band (£50,271–£125,140).
→39.35% on dividends above the £125,140 threshold.
→ISA dividends are tax-free and do not use the £500 allowance.
→How unused Personal Allowance can shelter dividend income from tax.
→State pension, Personal Allowance and the £500 allowance in retirement.
→Limited company salary-plus-dividends structure explained with worked example.
→When to register, what to declare and records to keep.
Specialised tools for different dividend scenarios — all free, all updated for 2026/27.
Estimate dividend tax at 10.75%, 35.75% or 39.35% after the £500 allowance and Personal Allowance.
Main calculatorModel salary-plus-dividends combinations for company directors and owner-managers.
DirectorsSee how much basic-rate band remains for dividends after your salary is accounted for.
PlanningCalculate dividend tax on portfolio income from shares, funds and investment trusts.
InvestorsCheck how much of the £500 dividend allowance you have used and what remains tax-free.
AllowanceSalary and other non-dividend income fills the Personal Allowance first, then the basic-rate band. Dividends sit on top. After the £500 dividend allowance, taxable dividends are split across the remaining basic-rate band (10.75%), higher-rate band (35.75%) and additional-rate band (39.35%). The Personal Allowance tapers to zero above £125,140 of total income.
This calculator does not cover corporation tax on company profits, ISA dividends (which are tax-free), Scotland-specific income tax rates (dividend rates are the same UK-wide), or trust income.
Reviewed by the UKDividendTaxCalculator team.
Every figure is checked against current HMRC and GOV.UK guidance and reviewed for the 2026/27 tax year. The calculator was last checked on (how we check). We explain the numbers in plain English with worked examples. Editorial standards · About us