The Crunch Personal Tax Estimator will help you plan for the tax you may have to pay on your personal income from sole trader, salary from employment, dividends, and other sources.

Please note the Crunch Personal Tax Estimator is a simple UK tax calculator and will only provide an estimate of your tax liability for the tax year. It’s designed to show you the tax-efficient amount of income (for instance salary and dividends) you could take from your limited company based on the information you enter. For more information on how to set up a personal tax account with HMRC, please refer to the guide.

It can help you to plan to pay any tax due on this income. There are different tabs based on whether you're a resident of England, Wales, Scotland, or Northern Ireland.

Crunch Personal Tax Estimator

The Personal Tax Estimator is pre-populated to show default amounts for Salary (set at the relevant National Insurance threshold) and Dividends (set at the basic rate threshold) for a limited company director. You can amend these amounts if you need to based on your personal circumstances.

In addition to salary and dividend income you can also add other income to the Estimator:

• Salary from employment outside your company: Add the gross salary to the PAYE Income box, and the tax paid on this income to the PAYE Tax paid box. If you need to estimate the tax on this income you can do so by leaving all other boxes blank.
• Multiple employments: just enter the total of all the gross income amounts into the PAYE Income box and enter the total tax paid on this income to the PAYE Tax paid box.
• Benefits in Kind: add the amount of taxable benefits in kind. Remember that only certain benefits on your P11D will be taxable (such as a company car or private healthcare).
• Bank Interest: add the Gross Bank Interest and Tax paid on that interest to the relevant box.
• Sole trade Profit: This box should be used if you carry out any work as a Sole Trader, this doesn’t include any profits from your limited company (your income from company profit is usually taken as a dividend).
• Other Income: Add any other income, such as profits from property rental, or interest received without tax deducted.
• Pension Contributions: The amount you actually paid (or estimate of what you plan to pay in the tax year) into your private pension pot.
• Charitable donations: add any donations you made (or plan to make) to a registered charity.
• Student and Postgraduate Loans: If you’re making student or postgraduate loan repayments there’s an option to select this and calculate an estimate of your repayments for that year which will be due at the same time as your Self Assessment tax return.

At the bottom of the main calculation is a payment schedule, in which you can enter any payments on account made to HMRC. There’s an input box in this section for any payments on account you have paid for the tax year.

Estimating the tax you’ll pay if you’re a sole trader

If you’re a self-employed sole-trader then you’ll need to remove the default figures entered for director salary and dividends and enter your estimated sole trader profit (all your income less any allowable expenses) in order to estimate the Income Tax and National Insurance you’ll need to pay. The final figure will be calculated by HMRC based on your Self Assessment. Depending on how much you earn, you may find that you could be better off as a limited company. 

Crunch cannot be held responsible for any reliance you place on the Estimator.

If you are a Crunch client, we can provide individual advice as part of a full discussion based on your personal circumstances. Of course, we've also got an income tax calculator which uses your estimated earnings to determine how much you'd be able to save when you opt for our services, so be sure to take a look at this helpful resource.