£10.50 an hour is how much a year?

£10.50 an hour by hours worked per week

Yearly figures assume you are paid for 52 weeks, including paid holiday.

Minimum wage check

£10.50 is £2.21 an hour below the National Living Wage of £12.71, so from April 2026 an employer cannot pay it to anyone aged 21 or over. It is still legal for under-18s and apprentices, whose minimum is £8.

Part-time hours and tax

At 16 hours a week you would earn £8,736 a year, which is below the £12,570 Personal Allowance and the National Insurance threshold, so you pay no Income Tax or NI. Tax only starts once your annual pay goes over £12,570.

Compared with typical UK pay

A 37.5-hour week at £10.50 pays £393.75 before tax. The ONS put median full-time pay at £766.60 a week in April 2025, so this is 49% below the middle of the range.

Student loan repayments

A 37.5-hour week at this rate comes to £20,475, below the £29,385 Plan 2 threshold, so you would not repay anything on a Plan 2 student loan. It is under the threshold for every other plan too: Plan 1 (£26,900), Plan 4 (£33,795), Plan 5 (£25,000) and a Postgraduate Loan (£21,000).

Overtime at time and a half

If your employer pays time and a half, overtime is worth £15.75 an hour before tax. Ten extra hours at that rate adds £157.50 to your gross pay, and you keep £113.40 of it after tax and NI on a full-time salary.

In Scotland

On a 37.5-hour week, a Scottish taxpayer on £10.50 an hour takes home £39.67 more a year (£18,301 in total), because Scotland has different Income Tax bands.

Hours a week before the 40% band

At £10.50 an hour a 37.5-hour week pays £20,475 a year, £29,795 short of the £50,270 higher-rate threshold. It would take more than 60 hours a week to get there, so at this rate the whole of your pay stays below that line.

The next rate up

Moving up to £10.75 an hour adds £40.63 a month before tax and £29.25 after it on a 37.5-hour week. You keep 72% of that change because the whole difference falls in the basic-rate band, where tax and NI take 28p of each pound.

Guides and definitions

• High Income Child Benefit Charge: how it is worked out and cut (Guide)
• How to read your payslip: every line explained, with an example (Guide)
• National Insurance rates 2026/27: what you pay and how it works (Guide)
• Emergency tax code (An emergency tax code, marked W1, M1 or X, taxes each payday on its own, as if you were paid that amount every period of the year.)
• Marginal tax rate (Your marginal tax rate is the share of your next pound or dollar of income that goes in tax and deductions.)
• P60 (A P60 is the yearly summary of your pay and tax from one employer, due by 31 May if you work there on 5 April.)
• Personal Allowance (The Personal Allowance is the income you can earn each UK tax year before Income Tax starts: £12,570 for 2026/27.)
• Tax code (A UK tax code tells your employer or pension provider how much tax-free pay to give you; 1257L, meaning £12,570, is the most common.)

Salary after tax table · Take-home pay calculator

Nearby hourly rates

• £8 an hour (£1,229 a month after tax)
• £10 an hour (£1,463 a month after tax)
• £10.25 an hour (£1,493 a month after tax)
• £10.75 an hour (£1,551 a month after tax)
• £10.85 an hour (£1,563 a month after tax)
• £11 an hour (£1,580 a month after tax)

Full breakdown for £20,000 after tax · Salary after tax table · Take-home pay calculator

Common questions