How the charge works
In 2026/27, Child Benefit is £27.05 a week for your eldest or only child and £17.90 a week for each other child. Over a year, that's about £1,406 for one child, £2,337 for two and £3,268 for three.
The charge is 1% of your Child Benefit for every £200 of ANI over £60,000. The percentage is rounded down to a whole number, and so is the charge.
| ANI of the higher earner | Share paid back | Charge with 2 children |
|---|---|---|
| £60,000 or less | 0% | £0 |
| £65,000 | 25% | £584 |
| £70,000 | 50% | £1,168 |
| £75,000 | 75% | £1,752 |
| £80,000 or more | 100% | £2,337 |
It's based on ANI, not salary, so pension contributions and Gift Aid bring it down, and bonuses, taxable benefits and savings income push it up.
A worked example
A parent earns £70,000 and has two children. They're £10,000 over £60,000, so they pay back 50% of their £2,337 of Child Benefit: a charge of £1,168. The family keeps £1,169.
Inside this band, every extra £1 of salary loses 40p in income tax, 2p in National Insurance and nearly 12p in Child Benefit. That's an effective rate of about 54%. With one child it's about 49%, and with three children about 58%.
Using a pension to clear the charge
The same parent could pay £10,000 into their pension through salary sacrifice. That brings their ANI to £60,000, so the charge disappears.
- Tax relief: £4,000, at 40%.
- National Insurance saved: £200.
- Charge no longer paid: £1,168.
- Cost to them: £5,800 before the charge, or £4,632 once the charge they no longer pay is counted.
So £10,000 goes into their pension for £4,632. Through a workplace pension without salary sacrifice, it costs £4,832 because there's no National Insurance saving. You don't have to clear the whole charge: each £200 you pay in takes 1% off it.
When your partner earns more
The charge falls on whoever has the higher ANI, whichever of you claims the Child Benefit. If you earn £58,000 and your partner earns £72,000, your partner pays 60% of £2,337, a charge of £1,402. A £12,000 pension contribution through their salary sacrifice would clear it. It would cost them £6,960 before the charge, or £5,558 after.
If you both earn over £60,000, you both need to get to £60,000 or less to clear the charge.
Over £80,000
At £80,000 or more, you pay back all your Child Benefit. To clear the charge with a pension, you'd need to get all the way down to £60,000. A parent on £85,000 with three children would pay a £3,268 charge. Clearing it would take £25,000 in their pension, costing £14,500 before the charge and £11,232 after.
If that's more than you want to put away, you can opt out of the payments instead. Don't cancel your claim: staying registered keeps National Insurance credits for a parent who isn't working and gets your child their National Insurance number.
Over £100,000, you also lose free childcare hours and Tax-Free Childcare, which usually matters far more. Check the £100,000 limit.
Paying the charge
If you're employed, you can pay the charge through your tax code (PAYE) instead of filing a Self Assessment tax return. You need Self Assessment if you already file one, for example because you're self-employed.
If a pay rise is coming, check what you'd keep after the charge.
Questions about this calculator
Is the £60,000 based on household income?
No. It's based on each person's adjusted net income. A couple on £55,000 each pays no charge, while a family where one parent earns £80,000 and the other earns nothing pays it all back.
Should we stop claiming Child Benefit?
Don't cancel your claim. If you'd rather not pay the charge, opt out of the payments instead. You stay registered, so a parent who isn't working still gets National Insurance credits towards their State Pension, and your child gets their National Insurance number automatically.
What if we both earn over £60,000?
The parent with the higher adjusted net income pays the charge. If they bring their income down below the other parent's, the charge moves to the other parent. To clear it completely, you both need to be at £60,000 or less.
Does a pension contribution reduce the charge?
Yes. Pension contributions through salary sacrifice, a workplace pension or a personal pension all lower your adjusted net income, which is what the charge is based on. Gift Aid donations count too.
Sources
Rules checked on 23 October 2026
Read alongside
- Pay rise and bonus check
See what a rise or bonus leaves you with after tax, Child Benefit and any childcare you'd lose.
- How to calculate adjusted net income for childcare
Your adjusted net income (ANI) is the figure used for the childcare income limit. Salary is only the starting point: pensions, bonuses, benefits and other income can change the answer.
- Salary sacrifice vs relief at source for childcare
Salary sacrifice and a personal pension or SIPP can both lower your adjusted net income (ANI). Compare the same gross pension amount, then look at the cash you need and when relief arrives.