£16 an hour is how much a year?
At 37.5 hours a week, £16 an hour is £31,200 a year before tax and £2,165 a month after tax.
- A year before tax
- £31,200
- Take-home a month
- £2,165
- Take-home a week
- £500
- Worth after tax, per hour
- £13.32
- HMRC 2026/27 rates
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£16 an hour for 37.5 hours a week is £31,200 a year. After income tax and National Insurance you take home £25,983.60 a year, £2,165.30 a month or £499.68 a week in 2026/27.
Your payslip on £16 an hour
Payments
Basic salary£2,600.00
Deductions
Income tax£310.50
National Insurance£124.20
Total deductions£434.70
Net pay£2,165.30
Of an 8 hour working day, 1 hour 20 minutes pays your income tax and National Insurance.
| Item | Year | Month | Week | Day |
|---|---|---|---|---|
| Gross pay | £31,200.00 | £2,600.00 | £600.00 | £120.00 |
| Income tax | -£3,726.00 | -£310.50 | -£71.65 | -£14.33 |
| National Insurance | -£1,490.40 | -£124.20 | -£28.66 | -£5.73 |
| Take-home pay | £25,983.60 | £2,165.30 | £499.68 | £99.94 |
£16 an hour at different weekly hours
| Hours a week | Before tax a year | After tax a year | After tax a month |
|---|---|---|---|
| 16 hours | £13,312 | £13,104.24 | £1,092.02 |
| 20 hours | £16,640 | £15,500.40 | £1,291.70 |
| 30 hours | £24,960 | £21,490.80 | £1,790.90 |
| 37.5 hours | £31,200 | £25,983.60 | £2,165.30 |
| 40 hours | £33,280 | £27,481.20 | £2,290.10 |
Where your £16 an hour goes
On £31,200 a year you pay £3,726.00 income tax and £1,490.40 National Insurance. After deductions each hour you work is worth £13.32. For the full salary breakdown see £31,000 after tax.
Other hourly rates
- £14 an hour£27,300 a year
- £15 an hour£29,250 a year
- £17 an hour£33,150 a year
- £18 an hour£35,100 a year
The same pay as £600 a week or £2,600 a month, roughly.
Back to the hourly pay table or the hourly rate calculator.
Questions people ask
How much is £16 an hour a year?
£31,200 a year before tax for a 37.5 hour week, or £33,280 for a 40 hour week, paid for all 52 weeks including paid holiday.
How much is £16 an hour a month after tax?
£2,165.30 a month at 37.5 hours a week, with the standard tax code and no student loan or pension.
Is £16 an hour above the minimum wage?
Yes. The National Living Wage for workers aged 21 and over is £12.71 an hour from April 2026, so £16 is £3.29 an hour more.