UK tax year
UK Income Tax and take-home pay in 2007/08
The 2007/08 tax year ran from 6 April 2007 to 5 April 2008. Below are that year's Personal Allowance, Income Tax bands, National Insurance and student loan thresholds, with take-home pay on common salaries.
Work out your take-home pay for 2007/08In 2007/08 non-savings taxable income had a 10% starting rate on the first £2,230 and a 22% basic rate up to £34,600.
Income Tax bands in 2007/08 (England, Wales and Northern Ireland)
The Personal Allowance was £5,225. The bands below are of taxable income, after the Personal Allowance, as HMRC states them. With the standard allowance the higher rate started on a salary over £39,825.
| Band | Rate | Taxable income |
|---|---|---|
| Starting rate | 10% | £0 to £2,230 |
| Basic rate | 22% | £2,231 to £34,600 |
| Higher rate | 40% | over £34,600 |
National Insurance in 2007/08
- Employees (Class 1): 11% between £5,225 and £34,840 a year, and 1% above.
- Employers: 12.8% above £5,225 a year.
- Self-employed (Class 4): 8% on profits between £5,225 and £34,840, and 1% above. Most also paid Class 2, a flat weekly amount.
Student loans in 2007/08
- Plan 1: 9% of income over £15,000.
Take-home pay in 2007/08
For an employee in England, Wales or Northern Ireland on the standard tax code, with no pension, student loan or other deductions.
| Salary | Income Tax | Employee NI | Take-home a year | A month |
|---|---|---|---|---|
| £20,000 | £2,983 | £1,625 | £15,392 | £1,283 |
| £30,000 | £5,183 | £2,725 | £22,092 | £1,841 |
| £40,000 | £7,414 | £3,309 | £29,276 | £2,440 |
| £50,000 | £11,414 | £3,409 | £35,176 | £2,931 |
| £60,000 | £15,414 | £3,509 | £41,076 | £3,423 |
| £80,000 | £23,414 | £3,709 | £52,876 | £4,406 |
| £100,000 | £31,414 | £3,909 | £64,676 | £5,390 |
| £150,000 | £51,414 | £4,409 | £94,176 | £7,848 |
Questions
What was the Personal Allowance in 2007/08?
£5,225.
Where did the higher rate start in 2007/08?
With the standard Personal Allowance, the higher rate (40%) started on income over £39,825, that is taxable income over £34,600.
How much National Insurance did employees pay in 2007/08?
11% on earnings between £5,225 and £34,840 a year, and 1% above £34,840.
Disclaimer
This tool is for general guidance only. It does not replace official deadlines, Companies House records, HMRC guidance, or professional advice. Always confirm your own dates and figures with the official sources.