United Kingdom (Europe) and United States (North America) operate very different payroll systems, which makes a direct salary comparison interesting. On a £65,000 gross, the effective tax burden in United Kingdom is roughly 5.9% higher than in United States — driven by differences in National vs FICA, bracket structure, and personal allowance.
Same nominal gross applied to both tax systems. Currencies aren't FX-converted — compare structures, not purchasing power.
The UK runs a three-band PAYE income tax with a generous £12,570 personal allowance, alongside Class 1 National Insurance contributions of 8% on earnings between the primary threshold and the upper limit, then 2% above. Scotland uses different bands. The personal allowance tapers above £100,000, creating a 60% effective marginal rate in that range.
The US uses a seven-bracket federal income tax on top of a 7.65% FICA payroll tax (Social Security + Medicare). State income taxes — ranging from 0% in places like Texas and Florida to over 13% in California — are not included in this estimate. Most workers also see additional deductions for 401(k), health insurance, and HSA contributions.
Pre-calculated breakdowns at common pay levels in United Kingdom — open either side for the full page.
Last updated: 2026. Estimates only — see the disclaimer above.