Minimum wage as a yearly salary at every age
The short answer: the National Living Wage is £12.71 an hour for anyone 21 or over. Full-time on 37.5 hours a week, that is £24,785 a year, or about £1,780 a month after tax and National Insurance. From 1 April 2027 it goes up to £13.21 an hour, which is £25,760 a year.
Minimum wage rates and yearly pay
The law sets hourly rates by age. There is no annual minimum. Here is what each rate comes to over a year on a 37.5-hour week:
| Age or type | Now (to 31 March 2027) | Yearly at 37.5 hrs | From 1 April 2027 | Yearly at 37.5 hrs |
|---|---|---|---|---|
| 21 and over (National Living Wage) | £12.71 | £24,785 | £13.21 | £25,760 |
| 18 to 20 | £10.85 | £21,158 | £11.27 | £21,977 |
| 16 to 17 | £8.00 | £15,600 | £8.31 | £16,205 |
| Apprentice | £8.00 | £15,600 | £8.31 | £16,205 |
The apprentice rate applies if you are under 19, or 19 and over in the first year of your apprenticeship. After that you get the rate for your age.
Weekly and monthly minimum wage by age
Full-time on 37.5 hours a week, before and after tax, at the rates that apply until 31 March 2027:
| Age or type | A week before tax | A month before tax | A month after tax |
|---|---|---|---|
| 21 and over (National Living Wage) | £476.63 | £2,065 | £1,780 |
| 18 to 20 | £406.88 | £1,763 | £1,563 |
| 16 to 17 | £300.00 | £1,300 | £1,229 |
The rates are going to come together. The Low Pay Commission plans to extend the National Living Wage to 18 to 20-year-olds over the next few years, so the 18 to 20 rate is rising faster than the adult one.
Minimum wage by hours worked
At £12.71 an hour, for someone 21 or over, with no pension or student loan:
| Hours a week | Before tax a year | Take-home a year | Take-home a month | Take-home a week |
|---|---|---|---|---|
| 16 | £10,575 | £10,575 | £881 | £203 |
| 20 | £13,218 | £13,037 | £1,086 | £251 |
| 25 | £16,523 | £15,416 | £1,285 | £296 |
| 30 | £19,828 | £17,795 | £1,483 | £342 |
| 35 | £23,132 | £20,175 | £1,681 | £388 |
| 37.5 | £24,785 | £21,364 | £1,780 | £411 |
| 40 | £26,437 | £22,554 | £1,880 | £434 |
Up to about 19 hours a week, you earn less than the £12,570 Personal Allowance, so there is no Income Tax and no National Insurance. Everything you earn is yours. Above that, you pay 20% tax and 8% National Insurance on the part over £12,570.
What comes off a full-time minimum wage salary
| Salary (37.5 hours × 52 weeks × £12.71) | £24,785 |
| Income Tax (20% above £12,570) | £2,443 |
| National Insurance (8% above £12,570) | £977 |
| Take-home | £21,364 |
If you are 22 or over you will be enrolled in a workplace pension. At the 5% minimum on qualifying earnings, that takes around £77 a month, and your employer adds 3% on top. A student loan takes more again. The take-home pay calculator includes both.
The April 2027 rise
The government accepted the Low Pay Commission's recommendations in October 2026. Every rate goes up by 3.9% from 1 April 2027. For a full-time worker on the National Living Wage, that is £975 a year more before tax. Because tax and National Insurance take 28p of every extra pound at this level, about £702 of it reaches your bank account. Check your first payslip after 1 April 2027 shows the new rate.
How minimum wage compares
- The typical full-time salary was £40,911 in April 2026, according to the ONS. A full-time minimum wage job pays about 61% of that.
- The Real Living Wage, a voluntary rate some employers sign up to, is £14.10 an hour, or £15.45 in London. Full-time, that is £27,495 a year, or £30,128 in London. It applies from age 18.
See what counts as a good salary in the UK.
Check you are being paid enough
Divide your pay for a pay period by the hours you worked in it. If the answer is below the rate for your age, you are underpaid, even by a penny. A few things catch people out:
- Salaried jobs: regular unpaid overtime can push your real hourly rate below the minimum.
- Deductions for uniforms, tools or equipment can take you below the minimum, and that is not allowed.
- Tips and service charges do not count towards it.
- Salary sacrifice cannot take your cash pay below the minimum wage.
- Travel between jobs during the working day, such as care visits, counts as working time.
Example: a salaried job with long hours
Alex is 25 and paid £26,000 a year for a contract of 37.5 hours, which is £13.33 an hour, comfortably above the minimum. But Alex regularly works 42 hours a week without overtime pay. £26,000 ÷ (42 × 52) = £11.90 an hour, below the £12.71 minimum. Alex is underpaid for every one of those weeks, and the employer must make up the difference.
If you think you are underpaid, raise it with your employer first. You can also contact Acas for free advice. Enforcement moved to the new Fair Work Agency in April 2026, and employers can be fined up to 200% of what they owe.
To turn other hourly rates into salaries, see £15 an hour as a yearly salary and how many working hours are in a year.
Related reading: the Autumn Budget 2026 explained.
Figures use the 2026/27 tax year and assume no pension, student loan or other deductions unless stated. Scottish Income Tax differs slightly.
Sources
Common questions
What is the minimum wage as a yearly salary?
At £12.71 an hour, 37.5 hours a week is £24,785 a year before tax, or about £21,364 after tax and National Insurance. On 40 hours it is £26,437.
What is the minimum wage from April 2027?
The National Living Wage rises to £13.21 an hour from 1 April 2027. The 18 to 20 rate goes to £11.27 and the rate for 16 to 17-year-olds and apprentices to £8.31.
What is minimum wage take-home pay per month?
About £1,780 a month on a 37.5-hour week at £12.71, with no pension or student loan deductions.
Is there a minimum annual salary in the UK?
No. The law only sets hourly rates. A salaried job is legal as long as your pay, divided by the hours you work, is at least the rate for your age.
Is the National Living Wage the same as the Real Living Wage?
No. The National Living Wage is the legal minimum. The Real Living Wage is a voluntary, higher rate set by the Living Wage Foundation: £14.10 an hour, or £15.45 in London, for employers to pay by 1 May 2027.
Do tips count towards the minimum wage?
No. Tips, service charges and most allowances do not count. Your basic pay must reach the minimum on its own.