Dividend Tax Calculator
Free & Accurate UK 2025/26
Calculate your dividend tax for 2025/26 instantly. Includes the £500 dividend allowance and optimal salary/dividend split for limited company directors. Enter numbers with or without commas — both accepted.
| Gross dividends | — |
| Dividend allowance (tax-free) | − £500 |
| Dividend tax at 8.75% (basic) | — |
| Dividend tax at 33.75% (higher) | — |
| Dividend tax at 39.35% (additional) | — |
| Net salary received | — |
| Total net take-home | — |
Free Dividend Tax Calculator — 2025/26 UK Rates
Our free dividend tax calculator is the most accurate tool for UK limited company directors in 2025/26. It automatically applies the £500 dividend allowance, then calculates tax at the correct rate (8.75%, 33.75%, or 39.35%) based on your total income including salary. Use this dividend tax calculator UK to find the optimal salary and dividend split before taking money from your company.
Dividend Tax Rates 2025/26
| Tax Band | Dividend Rate | On dividends above |
|---|---|---|
| Dividend allowance | 0% | First £500 |
| Basic rate band | 8.75% | Within basic rate band |
| Higher rate band | 33.75% | £50,270–£125,140 |
| Additional rate | 39.35% | Above £125,140 |
📊 How to use this dividend tax calculator
Enter your director salary (usually £12,570), the dividends you plan to take, and any other income. The dividend tax calculator works out how much of your basic rate band is used by your salary, then applies the correct dividend tax rate to the remainder. This UK dividend tax calculator shows your true net take-home after all personal taxes.
Optimal Director Salary in 2025/26
Most directors pay themselves £12,570 — the personal allowance. This means no income tax on the salary, the salary deducts from corporation tax, and your NI record is preserved. Employer NI of £1,135 applies on salary above £5,000 secondary threshold. Use our limited company tax calculator to see the complete picture including corporation tax. For the most tax-efficient extraction strategy, our sole trader vs limited company calculator shows the full comparison.