The UK Personal Allowance 2018/19

(Last updated 28/03/18)

£11,850

Personal Allowance

For every £2 earned over £100,000, the Personal Allowance goes down by £1.

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What is the Personal Allowance?

The Personal Allowance is the amount of income each individual is entitled to receive free of tax each year. Find out more about the Personal Allowance on our accounting glossary.

Example: How Frances uses her Personal Allowance to calculate her taxable profit

Frances is a self-employed photographer who is completing her Self Assessment return for 2017/18. She needs to know two things in order to work out how much of her profit she has to pay Income Tax on:

  • Her total profit for the year: £30,432
  • The Personal Allowance: £11,850

Her taxable profit is:

£30,432 - £11,850 = £18,582 taxable profit

Frances will only pay Income Tax on £18,582 of her earnings.

Previous Personal Allowance

Personal Allowance for people born after 6th April 1948

2018-19 £11,850
2017-18 £11,500
2016-17 £11,000
2015-16 £10,600
2014-15 £10,000
2013-14 £9,440
2012-13 £8,105

Previous income limits

2017-18 £100,000
2016-17 £100,000
2015-16 £100,000
2014-15 £100,000
2013-14 £100,000
2012-13 £100,000

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