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UK Child Benefit Tax Charge Calculator

Calculate High Income Child Benefit Charge (HICBC) between £60,000 and £80,000 with pension salary sacrifice clawback mitigation.

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1How to Use UK Child Benefit Tax Charge Calculator

The High Income Child Benefit Charge (HICBC) claws back Child Benefit payments when the highest earner in a household has an adjusted net income exceeding £60,000, phasing out entirely at £80,000.

  1. Step 1.Enter the highest earner annual adjusted net income in GBP (£).
  2. Step 2.Select the number of qualifying children in the household.
  3. Step 3.View the total annual Child Benefit received, the tax charge, and retained benefit.
  4. Step 4.Discover the exact pension contribution needed to bring income back to £60k.

2Formulas, Methodology & Key Features

HICBC Statutory Clawback Formula

Child Benefit pays £25.60/wk for the eldest child and £16.95/wk for subsequent children. The clawback rate is 1% for every £200 earned above £60,000:

Annual Benefit = (£25.60 × 52) + (£16.95 × 52 × (Children - 1)) Clawback % = Min(100%, (Adjusted Net Income - £60,000) / £200 × 1%)

3HICBC Clawback Matrix for Families (£)

Net Income (£)1 Child (Charge)2 Children (Charge)3 Children (Charge)Pension to Keep 100%
£62,000£133 (10%)£221 (10%)£310 (10%)£2,000
£70,000£666 (50%)£1,107 (50%)£1,547 (50%)£10,000
£78,000£1,198 (90%)£1,992 (90%)£2,785 (90%)£18,000
£85,000£1,331 (100%)£2,213 (100%)£3,094 (100%)£25,000

?Frequently Asked Questions (FAQ)

Common questions answered about UK Child Benefit Tax Charge Calculator.

The starting threshold is £60,000 (raised from £50,000), and the benefit is completely taxed away once income reaches £80,000.