WagePlan 1 Student Loan Repayment 2026-27
Plan 1 is the student loan repayment plan for older undergraduate loans and for students from Northern Ireland. If you are on Plan 1 you repay 9% of everything you earn above the £26,900 threshold, collected automatically through PAYE. The table on this page shows what that works out to at a range of salaries, so you can see the deduction at your own income level.
| Plan | Who | Rate | 2026-27 | 2025-26 |
|---|---|---|---|---|
| Plan 1 | Pre-2012 England/Wales; Northern Ireland | 9% | £26,900 | £26,065 |
| Plan 2 | 2012-2023 England/Wales | 9% | £29,385 | £28,470 |
| Plan 4 | Scotland (SAAS) | 9% | £33,795 | £32,745 |
| Plan 5 | England, courses from Aug 2023 | 9% | £25,000 | £25,000 |
| Postgraduate | Master's / doctoral | 6% | £21,000 | £21,000 |
Student loan repayment calculator
You repay a percentage of income over the plan threshold, collected through PAYE. The balance owed never changes the deduction. A postgraduate loan is charged additionally on top of any undergraduate plan. Estimates, not advice.
Who is on Plan 1
Plan 1 generally covers students in England and Wales who started their course before September 2012, and students from Northern Ireland whose loans are administered under this plan. If your undergraduate course began in that earlier period, or you studied in Northern Ireland, Plan 1 is usually the one that applies to you.
Only one undergraduate plan applies at a time, so you will not be on Plan 1 and another undergraduate plan together. A Postgraduate Loan, however, can run alongside Plan 1 and is deducted on top.
How much you repay
The threshold for Plan 1 is £26,900. You repay 9% of your income above that figure and nothing on the income below it, so someone earning just over the threshold repays only a small amount.
The deduction is taken through PAYE by your employer alongside income tax and National Insurance. The table on this page sets out the yearly and monthly repayment at different salaries, all calculated against the £26,900 threshold.
Frequently asked questions
How is my Plan 1 repayment worked out?
It is 9% of whatever you earn above £26,900. Income below the threshold is ignored, and the balance you owe does not change the amount taken.
What if I also have a Postgraduate Loan?
It stacks on top of Plan 1. You would repay 9% above £26,900 for the undergraduate loan and a further 6% above £21,000 for the Postgraduate Loan.
General information, not advice. Estimates assume the standard 1257L tax code and typical circumstances; your payslip may differ by a pound or two because HMRC payroll software truncates at each step. Verify with HMRC or an accountant for any decision. WageReckon stores no salary data - the calculators run in your browser.
Rates for the 2026-27 tax year, current as of 24 July 2026. Source: HMRC (gov.uk). Contains public sector information licensed under the Open Government Licence v3.0. Source: HMRC / gov.uk. See how we calculate.