£16 an hour a year
On a 37.5-hour week, £16 an hour is £31,200 a year before tax and £2,165 a month after Income Tax and National Insurance.
Before tax
£31,200
a year · £2,600 a month · £600 a week
After tax
£2,165
a month · £25,984 a year · £500 a week
37.5 hours a week, paid for 52 weeks (paid holiday included). You keep about £13.32 of each hour.
£16 an hour at different hours
England, Wales and Northern Ireland rates, no pension or student loan.
| Hours a week | A year before tax | A month after tax | A week after tax |
|---|---|---|---|
| 16 | £13,312 | £1,092 | £252 |
| 20 | £16,640 | £1,292 | £298 |
| 25 | £20,800 | £1,541 | £356 |
| 30 | £24,960 | £1,791 | £413 |
| 35 | £29,120 | £2,041 | £471 |
| 37.5 | £31,200 | £2,165 | £500 |
| 40 | £33,280 | £2,290 | £528 |
| 45 | £37,440 | £2,540 | £586 |
The tax on £16 an hour, full-time
- Income Tax: £3,726 a year, £311 a month, after the £12,570 Personal Allowance.
- National Insurance: £1,490 a year, 8% of earnings above £12,570.
- In Scotland, take-home pay is £2,167 a month — £23 a year more, because Scotland sets its own Income Tax bands.
£16 and the minimum wage
£16 is £3.29 an hour more than the National Living Wage of £12.71 — 26% above it, or £6,416 a year on a 37.5-hour week.
| Legal minimum from April 2026 | An hour | A year, 37.5 h/week |
|---|---|---|
| National Living Wage (21 and over) | £12.71 | £24,785 |
| 18 to 20 | £10.85 | £21,158 |
| Under 18 and apprentices | £8.00 | £15,600 |
Source: GOV.UK, National Minimum Wage and National Living Wage rates.
How £16 an hour compares
£16 is more than about 32% of full-time employees in the UK earn an hour, excluding overtime. The full-time median is £19.67 an hour. Source: ONS Annual Survey of Hours and Earnings, 2025-provisional.
Jobs where the typical full-time hourly rate is close to £16
Median hourly pay excluding overtime, full-time employees, ONS ASHE 2025-provisional.
Questions about £16 an hour
How much is £16 an hour a year?
On a 37.5-hour week, £16 an hour is £31,200 a year before tax (37.5 hours × 52 weeks), £2,600 a month or £600 a week.
How much is £16 an hour after tax?
About £25,984 a year, £2,165 a month or £500 a week in the 2026/27 tax year, after £3,726 Income Tax and £1,490 National Insurance — £13.32 for each hour worked. That assumes full-time hours, no pension contributions and no student loan, in England, Wales or Northern Ireland.
Is £16 an hour above the minimum wage?
£16 is £3.29 an hour more than the National Living Wage of £12.71 — 26% above it, or £6,416 a year on a 37.5-hour week.
How much is £16 an hour part-time?
On 20 hours a week it comes to £16,640 a year before tax and £1,292 a month after; on 30 hours, £24,960 a year and £1,791 a month.
Is £16 an hour a good wage in the UK?
£16 is more than about 32% of full-time employees in the UK earn an hour, excluding overtime. Source: ONS Annual Survey of Hours and Earnings (2025-provisional). The full-time median is £19.67 an hour.