How we calculate
This page lists every rate and assumption the calculators use, so you can check them. Figures are for the 2026/27 tax year (6 April 2026 to 5 April 2027) in England, Wales and Northern Ireland, and were last checked on 30 October 2026.
The calculation
- Weekly earnings = everything the app pays you, plus tips and bonuses.
- Weekly costs = fuel or charging + wear and servicing + insurance + platform charges + phone and other costs.
- After costs = earnings − costs.
- Tax to set aside = the estimated yearly income tax and Class 4 National Insurance on your profit, divided by the weeks you work.
- You keep per hour = (after costs − tax) ÷ hours worked, where hours include waiting and unpaid time.
Fuel cost per mile = fuel price per litre × 4.54609 litres per gallon ÷ miles per gallon.
Tax and National Insurance rates
| Item | 2026/27 |
|---|---|
| Personal allowance (reduced by £1 for every £2 of income over £100,000) | £12,570 |
| Basic rate, 20%, on the first £37,700 of taxable income | 20% |
| Higher rate, up to £125,140 of income | 40% |
| Additional rate, above £125,140 | 45% |
| Class 4 National Insurance on profits between £12,570 and £50,270 | 6% |
| Class 4 National Insurance on profits above £50,270 | 2% |
| Trading allowance (instead of actual expenses) | £1,000 |
| Simplified mileage, cars and vans, first 10,000 business miles | 55p |
| Simplified mileage, cars and vans, after 10,000 miles | 25p |
| Simplified mileage, motorcycles and scooters | 24p |
| National Living Wage, age 21 and over, from 1 April 2026 | £12.71 |
| National Living Wage from 1 April 2027 (Budget, 28 October 2026) | £13.21 |
Class 2 National Insurance is no longer payable by most self-employed people; it is treated as paid when profits are above the small profits threshold, so the calculator does not add it.
How the tax estimate picks a method
You can deduct either your actual business costs, HMRC’s simplified mileage rate (cars, vans and motorcycles only) plus your other costs, or the £1,000 trading allowance instead of all costs. The calculator works out all the options that apply to your vehicle and uses the one that leaves the least tax. If you have income from a job, it is taxed first, and the tax shown is only the extra caused by your gig profit.
The estimate does not include student loan repayments, Scottish income tax bands, payments on account, VAT, Universal Credit or capital allowances. If any of those apply to you, your real figure will be different.
Our vehicle cost estimates
These are the starting values in each calculator. They are our own estimates, not official figures, and you should replace them with your own costs.
| Vehicle | Fuel economy | Charging | Wear and servicing | Insurance a week |
|---|---|---|---|---|
| Bicycle | – | – | 3p a mile | £0 |
| E-bike | – | 1p a mile | 4p a mile | £0 |
| Scooter / moped | 90 mpg | – | 6p a mile | £15 |
| Petrol car | 45 mpg | – | 8p a mile | £20 |
| Electric car | – | 8p a mile | 7p a mile | £22 |
| Van | 38 mpg | – | 10p a mile | £25 |
The default fuel price is 174p a litre, close to the UK petrol average in October 2026. Wear covers tyres, brakes, chains, clutch and servicing, but not the loss in your vehicle’s value.
How content is written
Guides are drafted with the help of AI writing tools and then checked line by line by Owais Farooq. Every number on a page is either calculated by the same code that runs the calculator, or taken from a source linked on that page.
Sources
- GOV.UK: Income Tax rates and Personal Allowances
- GOV.UK: Self-employed National Insurance rates
- GOV.UK: Tax-free allowances on property and trading income
- GOV.UK: Simplified expenses for vehicles
- ICAEW: Approved mileage rate increased to 55p
- GOV.UK: National Living Wage increases to £12.71 per hour
- NHS Employers: Autumn Budget 2026
- Fuel Finder UK: weekly fuel prices, October 2026