Quick answer: UK gig workers should set aside approximately 25–30% of gross income for tax. On £25,000 profit, that is £6,250–£7,500. After mileage and expense deductions, the actual tax bill is typically £3,000–£4,500 — but saving 25–30% ensures you are never caught short.
Quick guide
| Annual gig profit | Set aside per month | Why |
|---|---|---|
| Under £12,570 | £0 | Below personal allowance — no tax |
| £12,570 – £20,000 | ~18–20% | Basic rate tax + 6% NI |
| £20,000 – £35,000 | ~22–25% | Full basic rate band |
| £35,000 – £50,270 | ~26–28% | Higher portion of basic rate |
| Above £50,270 | ~40%+ | Higher rate tax applies |
Best practice
Every time a platform pays you, transfer the set-aside percentage immediately to a separate savings account. This prevents you from accidentally spending your tax money and ensures you have the full amount ready for the 31 January deadline.
Use our free calculator to get the exact monthly amount based on your specific income and expenses rather than estimating from the table above.
Estimates based on HMRC 2025/26 rates. General guidance only — not financial, tax, or legal advice.
Your actual liability may differ. Consult a qualified accountant for personalised advice. Verify rates at gov.uk.