UK tax codes explained
Your tax code tells your employer how much tax to take. Here is what the numbers and letters mean, and how to check yours.
The short answer
The standard tax code for 2026/27 is 1257L. The number, 1257, is your tax-free Personal Allowance of £12,570 divided by 10. The letter L means you get the standard allowance. If your code is different, your employer or pension provider takes a different amount of tax, so it is worth checking.
What the letters mean
| Code | What it usually means |
|---|---|
| L | You get the standard Personal Allowance. |
| M | You receive Marriage Allowance from your partner. |
| N | You have transferred part of your allowance to your partner. |
| T | Your allowance includes other calculations that HMRC needs to review. |
| 0T | You have no allowance, for example from a second job. All income is taxed. |
| BR | All income is taxed at the basic rate of 20%. |
| D0 | All income is taxed at the higher rate of 40%. |
| K | You owe tax, for example on company benefits, so tax is added to your pay. |
A prefix of S means Scottish income tax rates apply, and C means Welsh rates. See GOV.UK: Tax codes.
Emergency tax codes
If you start a new job without a P45, or HMRC does not yet have your details, you may be given an emergency code such as 1257L W1 or M1. It gives you your allowance but works out tax on each pay period alone, instead of across the whole year, so you can pay too much at first. It is usually corrected within a few pay periods, and any overpaid tax comes back through your pay.
Why your code might change
- You start a second job or receive a pension. The allowance is used on the first, and the other is taxed with an 0T or BR code.
- You get a company car or private medical insurance. The value of the benefit lowers your allowance.
- You owe tax from a previous year, which HMRC may collect through your code.
- You claim Marriage Allowance. The partner who receives it gets an extra £1,260 of allowance, which can save up to £252 a year.
How to check your code
Your code is on your payslip and in your HMRC personal tax account. If it looks wrong, contact HMRC, which is the only one that can change it. See GOV.UK: Check your Income Tax. To see what the standard code means for your pay, use the take-home pay calculator.
Where to learn more
This guide is for information only and is not tax advice.