Student-loan repayments
If you have a student loan, a repayment is collected through PAYE once your income passes your plan’s threshold — a percentage of the income above it. A Postgraduate Loan is repaid at the same time as, and in addition to, any undergraduate plan. This page explains the plans, thresholds and rates.
A slice of income above a threshold
If you have a student loan, a repayment is collected through PAYE once your income passes your plan’s threshold — a fixed percentage of the income above it, never of your whole salary. Undergraduate Plans 1, 2, 4 and 5 each repay 9%; the Postgraduate Loan repays 6%.
Two rules matter. If you hold more than one undergraduate plan, only a single 9% deduction is taken, over the lowest of their thresholds. A Postgraduate Loan, though, is repaid concurrently and in addition to any undergraduate plan.
Plan thresholds and rates
The yearly income threshold and repayment rate for each plan.
| Plan | Yearly threshold | Rate |
|---|---|---|
| Plan 1 | £26,900 | 9% |
| Plan 2 | £29,385 | 9% |
| Plan 4 (Scotland) | £33,795 | 9% |
| Plan 5 | £25,000 | 9% |
| Postgraduate Loan | £21,000 | 6% |
The calculator approximates your repayment income by your gross pay — a real assessment uses your payrolled earnings, so it may differ slightly. The figures on this page come from GOV.UK and HMRC and are cited where they are used. If a threshold changed recently it may not be reflected here yet — for an official amount, check the cited source or ask HMRC.