Ways you can receive your wages
How you receive your wages may vary, depending on your employer.
The most common methods of payment are:
- Bank transfer (BACS);
- Cash-in-hand; and
- Cheque.
Please note that it’s illegal for your employer to pay you your wages ‘cash in hand’ without deducting tax and National Insurance contributions.
How often will I be paid?
Usually, people in the UK are paid every month, but depending on your role and the sector you work in, you could be paid daily, weekly, or every fortnight.
When is payday in the UK?
Your payday will depend on your employer.
Many employers pay their staff on the last working day or the final Friday of the month, while others will choose a specific date.
Your pay date should be stated in your employment contract.
What time will I get paid in the UK?
‘What time do wages go into the bank in the UK?’ is a frequently asked question.
If you receive your wages directly into your bank account via BACS payment, this will usually be processed overnight and will be available in the early hours of the morning.
The time it takes for the money to clear and become available in your account will depend on the policies and procedures of your bank.
What if my payday falls on a Saturday or Sunday?
If you’re paid on a set date each month and it happens to fall on a weekend or bank holiday, your employer should pay you on the business day before this.
Good to know: a ‘business’ or ‘working’ day is Monday to Friday and usually excludes bank holidays.
For example, you are usually paid on the 28th day of each month. This date falls on a Sunday, so you should receive your wages on Friday 26th instead.
What happens if my employer doesn’t pay me on time?
If your wages haven’t been paid on the day that you were expecting them, you should speak to your employer. There could be issues with the payroll system that they may or may not be aware of, and this will need to be investigated.
If your wages have been paid but you’ve spotted a mistake, you should also report this to your employer as soon as possible.
If you have bills or Direct Debits that are due to leave your account on your payday, but you haven’t received your wages, or the full amount you were expecting, it might be an idea to contact your credit or utility provider(s) to let them know. This could help you avoid possible fees and charges as well as protect your credit score.
If you think that your employer is deliberately withholding your wages or paying you the wrong amount, you should speak to your Human Resources (HR) department. Alternatively, you can contact the Advisory, Conciliation and Arbitration Service (Acas) for advice. If your employer does not pay you on your pay date, it is a breach of contract.
What’s the difference between gross pay and net pay?
Gross pay is your overall monthly earnings, while net pay is the amount you take home after tax, National Insurance, and any other deductions, like pension contributions.
Understanding wage deductions in the UK
- Tax
How much tax is deducted from a salary in the UK? Everyone in the UK has a tax-free personal allowance of £12,570 for the tax year 2025-2026. You’ll pay tax on any money you earn over this amount. The amount of tax you’ll pay depends on how much money you earn.
Good to know: unlike a calendar year, the tax year runs from April to April. The 2025-2026 tax year starts on April 6, 2025, and ends on April 5, 2026. - National insurance (NI) contributions
If you’re over the age of 16 and you earn a minimum of £242 a week from one job, you’ll pay National Insurance contributions; this will be taken directly from your ‘gross pay’. Self-employed people also have to pay National Insurance on earnings over £12,570 a year.
The amount of National Insurance you’ll pay depends on how much you earn. - Workplace pension
Your employer must offer you a workplace pension – it’s the law. If you decide to make payments into your workplace pension, you’ll pay a percentage of your gross pay. Typically, the minimum monthly pension contribution is 8% of your wage, and this is split between you, your employer, and the government. The government will contribute 1%, which is made up of tax relief. Your employer must contribute at least 3% and you will pay the rest. Both you and your employer can choose to increase your contributions. Please note that these amounts may vary between employers. You do not have to pay into a workplace pension. - Student loan
If you take out a student loan, you’ll only make repayments if you earn over a certain amount; this is called the ‘earning threshold’. Your earning threshold will depend on the type of student loan you have, and your repayments will be taken out of your wages automatically. - Salary sacrifice
A salary sacrifice is when an employee agrees to have a part of their salary deducted in exchange for a benefit; for example, a company car, health insurance, or membership of a cycle to work scheme. If you have agreed to a salary sacrifice, your remaining earnings cannot drop below the National Minimum Wage.
What are the legal working hours in the UK?
In the UK, you cannot work more than an average of 48 hours per week. This figure is calculated over a 17-week period.
You can work over 48 hours some weeks, but your average working hours over 17 weeks cannot be over 48.
There are some exceptions to these restrictions, but this will depend on the industry you work in. For example, if you’re in the emergency services or armed forces, you might have to work more than 48 hours a week.
If you’re under 18 years of age, different rules apply, and your working week should not be over 40 hours (or 8 hours a day).
Summary
Understanding how you get paid in the UK and the deductions that may be taken from your income is important. This way, you can not only deal with any problems that may arise, but you can also calculate your take-home pay. Knowing exactly what money you have coming in every month can help you create a budget that works for you.
If you’re struggling with money
Below, we’ve listed several charities in the UK that can provide free, confidential advice to anyone currently worried about money or debt.