Need Help Understanding UK Salary Structure: Can You Share a Detailed Breakdown?

Dear All,

I work for a UK-based company and I would like to have the UK salary structure/components in a complete break-up. Kindly forward the same to my email address [Login to view].

Many Thanks,
AK

Hello,

There is no structure in the UK like in India. Your basic pay is taxable and NIable (social insurance). You pay tax and NI on the basic pay. There are no exemptions from tax for most of the allowances. The amount you contribute towards your pension is tax-free, but this contribution is available to you only after retirement. You pay 40% tax on anything above £31,000, and any bonus is also taxable at 40%.

Hope this helps.