Minimum Wage for Under 18: Gross Pay, Take-Home and Deductions Explained

Understanding the Minimum Wage for Under 18 in 2026/27

If you are a young worker or an employer hiring under-18s, knowing the minimum wage for under 18 is essential. From 1 April 2026, the National Minimum Wage (NMW) for workers under 18 (but above compulsory school leaving age) is £8.00 per hour. This rate applies to all hours worked, whether part-time, weekend shifts, or holiday jobs. The same £8.00 rate also applies to apprentices under 19 or those in their first year of an apprenticeship.

For comparison, the 18-20 rate is £10.85 per hour, and the National Living Wage for those aged 21 and over is £12.71 per hour. These rates are set annually by the government and are enforced by HMRC.

Gross Pay vs Take-Home Pay for Under-18s

When you hear about the minimum wage, it refers to gross pay – the amount before any deductions. Your take-home pay (net pay) is what you actually receive after Income Tax, National Insurance, pension contributions, and student loan repayments are taken off. For most under-18s working part-time, the difference between gross and net is very small because they earn below the thresholds for tax and National Insurance.

Income Tax

The standard Personal Allowance for 2026/27 is £12,570 per year. If your total annual earnings from all jobs are below this, you pay no Income Tax. For an under-18 worker earning £8.00 per hour, working 15 hours per week gives annual gross pay of about £6,240 – well under the allowance. Even 30 hours per week (£12,480) is just above the allowance, so a small amount of tax may be due, but only on the excess.

National Insurance

Employee National Insurance (NI) is calculated weekly. The primary threshold for 2026/27 is £242 per week (equivalent to £12,570 per year). If your weekly earnings are below £242, you pay no NI. At £8.00 per hour, you would need to work more than 30 hours in a week to exceed that threshold. Most under-18s work fewer hours, so NI is often zero. If you do earn above £242 per week, NI is charged at 8% on earnings between £242 and £967 per week, and 2% on anything above that.

Other Deductions

• Pension: If you are automatically enrolled into a workplace pension, you may contribute a minimum of 5% of your qualifying earnings. However, under-18s are often not auto-enrolled (the minimum age is 22 for auto-enrolment), but you can choose to opt in.
• Student Loan: Repayments only start once your annual income exceeds the threshold for your loan plan (e.g., Plan 1: £26,900, Plan 2: £29,385, Plan 5: £25,000). Most under-18s will not earn enough to trigger repayments.

Example Take-Home Calculation

Let’s look at a typical scenario: a 17-year-old working 16 hours per week at £8.00 per hour.

• Gross weekly pay: 16 × £8.00 = £128.00
• Annual gross pay: £128 × 52 = £6,656
• Income Tax: £0 (below £12,570)
• National Insurance: £0 (below £242 per week)
• Take-home pay: £128 per week, or about £555 per month

If the same worker increased to 35 hours per week (e.g., during summer holidays):

• Weekly gross: 35 × £8.00 = £280
• Annualised: £14,560 (above personal allowance)
• Income Tax: 20% on (£14,560 - £12,570) = £398 per year, or about £7.65 per week
• NI: 8% on (£280 - £242) = £3.04 per week
• Take-home: £280 - £7.65 - £3.04 = £269.31 per week

This shows that even with higher hours, deductions are modest.

Scotland’s Different Tax Bands

If you live in Scotland, the Income Tax rates are different above the Personal Allowance, but the allowance itself remains £12,570. For 2026/27, Scottish rates start at 19% (starter rate) on earnings above the allowance up to £3,967, then 20% up to £16,956, and so on. For an under-18 earner just above the allowance, the tax bill may be slightly lower or higher depending on exact income. National Insurance rules are the same across the UK.

Why the Minimum Wage for Under 18 Matters

Knowing the minimum wage for under 18 helps you understand your rights and plan your finances. If you are an employer, paying below this rate is illegal and can lead to penalties. The government provides a take-home calculator to estimate your net pay, and you can explore salary data for different age groups and sectors.

For more detailed guidance, refer to GOV.UK National Minimum Wage rates and HMRC rates and thresholds for employers 2026 to 2027.

Frequently Asked Questions

What is the minimum wage for under 18 in 2026?

From 1 April 2026, the National Minimum Wage for workers under 18 (but above compulsory school leaving age) is £8.00 per hour. Apprentices under 19 or in their first year also receive £8.00 per hour. These rates are set by the government and reviewed annually.

Do under-18s pay Income Tax and National Insurance?

Most under-18s working part-time earn below the Income Tax Personal Allowance of £12,570 per year, so they pay no tax. Similarly, if weekly earnings are below the NI primary threshold of £242, no National Insurance is due. For example, working 15 hours per week at £8.00 gives £120 per week – well under both thresholds. If earnings exceed these limits, tax and NI will be deducted at the standard rates.

How many hours can an under-18 work and still get the minimum wage?

There is no upper limit on hours for the minimum wage to apply, but employment law restricts working hours for young people. For example, school-age children (under 16) can work limited hours, while 16- and 17-year-olds can work up to 8 hours per day and 40 hours per week. The minimum wage of £8.00 per hour applies to all hours worked, regardless of whether the worker is part-time or full-time.

Final Thoughts

The minimum wage for under 18 is a straightforward £8.00 per hour for 2026/27. Because most young workers earn below the tax and NI thresholds, their take-home pay is essentially their gross pay. As you earn more or take on more hours, small deductions may apply, but the system is designed to keep more money in your pocket. Always check your payslip and use official resources like the After Tax Salary site to stay informed.