Simple Assessment (PA302) Calculator UK 2026/27
If HMRC sends you a PA302 Simple Assessment letter, this calculator estimates the income tax you actually owe for 2026/27 using state pension, employment income, and savings interest, less PAYE already deducted. Applies the £12,570 personal allowance, 20%/40%/45% income tax bands, and personal savings allowance. Free, private, runs entirely in your browser.
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Source: HMRC — Simple Assessment + Income tax rates & allowances 2026/27 (gov.uk). Last updated: May 3, 2026.
What Is a PA302 Simple Assessment?
A PA302 is the Simple Assessment letter HMRC sends to UK taxpayers — most often pensioners — who owe income tax that PAYE could not collect during the year. Common triggers are receiving the full state pension (paid gross, not via PAYE) plus a separate workplace or private pension that did not deduct enough tax to cover the tax on the state pension portion. HMRC calculates the underpayment for you, lists the figures on the PA302, and asks you to pay by 31 January following the tax year. You do not need to file a Self Assessment return if you receive a PA302. Source: HMRC — Simple Assessment. Last updated: May 3, 2026.
This calculator estimates what your PA302 should show for tax year 2026/27. Enter your state pension, employment or private pension income, savings interest, and the PAYE tax already deducted. The tool applies the 2026/27 personal allowance (£12,570 — still frozen under the 2024 Autumn Budget), the income tax bands, and the personal savings allowance, then subtracts PAYE already deducted to give the balance owed.
2026/27 UK Income Tax Bands and Allowances
For tax year 2026/27 (6 April 2026 to 5 April 2027), HMRC applies the following bands to total taxable income (England, Wales, Northern Ireland — Scotland has separate Scottish rates):
- Personal allowance: £12,570 — first portion of income tax-free. Tapers by £1 for every £2 of income above £100,000, fully removed at £125,140.
- Basic rate: 20% on income from £12,571 to £50,270.
- Higher rate: 40% on income from £50,271 to £125,140.
- Additional rate: 45% on income above £125,140.
- Personal savings allowance: first £1,000 of savings interest tax-free for basic-rate taxpayers, £500 for higher-rate, £0 for additional-rate.
- Starting rate for savings: 0% on the first £5,000 of savings interest if non-savings income is below £17,570 — common for pensioners with low employment income but a sizeable savings pot.
Personal allowance, higher rate threshold, and additional rate threshold are all frozen until April 2028 under the 2024 Autumn Budget — no inflation indexing. This means more pensioners drift into PA302 territory each year as state pension uplifts (triple lock) push them above the personal allowance.
Why Pensioners Get PA302 Letters
The state pension is paid gross by the Department for Work and Pensions (DWP) — no tax is withheld. If you also receive a workplace or private pension, your tax code on that pension is reduced to collect tax on the state pension via PAYE. But this works perfectly only if HMRC has accurate figures and your other pension is large enough to absorb the full tax owed. When the state pension rises mid-year (e.g. April triple-lock uplift), or you have multiple pensions, or your tax code is out of date, PAYE can under-collect.
The 2026/27 full new state pension is approximately £12,016 per year (£231.05 per week × 52 weeks, after the April 2026 triple-lock uplift). At £12,570 personal allowance, almost all of the new state pension is "used up" by the personal allowance — leaving only £554 of allowance for any other income. Anyone with employment, private pension, or savings income on top will owe tax that PAYE may not capture, triggering a PA302.
How to Pay a PA302 and What If You Disagree
You can pay your PA302 by direct bank transfer using the HMRC sort code 08 32 10 and account 12001020 with reference HMRC + your taxpayer reference, by debit card on gov.uk, or by cheque. The deadline is usually 31 January following the tax year (so 31 January 2028 for 2026/27). HMRC can also collect the amount via your PAYE tax code over the next year if it is under £3,000 — tick that option on the PA302 reply form.
If you disagree with the PA302 figures, you have 60 days from the letter date to query them. Common errors: wrong state pension figure (HMRC sometimes uses 53-week years), missed savings interest, or PAYE tax not yet allocated. Use this calculator to verify your own numbers, then contact HMRC if they differ. If you have multiple income sources or business income, HMRC may switch you to Self Assessment (SA316) instead of Simple Assessment. Last updated: May 3, 2026.