UK Dividend Tax Calculator

Dividend Tax Assumptions

• Salary, other income, interest, and dividends are included. Interest uses the personal savings allowance and starting rate, and it does not include NI.
• The personal allowance is based on your tax code and is applied to salary first, then other income, then interest, then dividends.
• Scottish income tax bands apply to salary and other income only. Savings and dividends use UK bands.
• Dividend allowance uses up part of your tax band, even though it is taxed at 0%.
• Employment Allowance is not applied to employer NI figures.

Dividend Tax Calculator Guidance

Use this dividend tax calculator to estimate how salary, other income, and dividends combine across UK tax bands. It helps limited company directors compare tax years from 2020 onward, showing how the personal allowance and dividend allowance affect taxable income and your take home pay.

If you are planning a dividend strategy, the results give a quick view of how basic, higher, and additional rates apply once salary uses up your tax free thresholds. You can adjust the inputs to compare tax years and see how changes in rates and allowances shift your overall liability.