Sole Trader vs Limited Company Tax Calculator UK (2026/27)

Compare your net take-home pay as a self-employed UK Sole Trader (Income Tax + 6%/2% Class 4 NI) against operating via a Limited Company using a £12,570 director salary and post-Corporation-Tax dividends.

Pre-Tax Net Operating Profit Sole Trader Net Take-Home Limited Company Net Take-Home
£35,000 Profit £29,136 / year £30,085 / year (+£949 Ltd saving)
£50,000 Profit £39,336 / year £41,515 / year (+£2,179 Ltd saving)
£75,000 Profit £54,322 / year £57,890 / year (+£3,568 Ltd saving)
£100,000 Profit £68,822 / year £71,240 / year (+£2,418 Ltd saving)

Frequently Asked Questions (2026/27 & 2027/28 UK Rules)

How does Corporation Tax Marginal Relief work between £50,000 and £250,000?

UK Limited Companies pay 19% Corporation Tax on profits up to £50,000 and 25% above £250,000, with Marginal Relief applying an effective 26.5% marginal rate on profits between £50,000 and £250,000.

Authoritative UK Calculators & 2027/28 Early Access