Calculate your Child Benefit entitlement and the High Income Child Benefit Charge for 2026/27. See how much pension contribution reduces your adjusted net income below the threshold.
Last updated: April 2026
Your household details
Adjusted net income = gross income minus pension contributions, gift aid etc.
Child Benefit position
Net Child Benefit per year
-
-
Gross Child Benefit entitlement -
High Income Child Benefit Charge -
Charge as % of benefit -
Income to avoid all charge -
Pension contribution to eliminate charge -
The High Income Child Benefit Charge explained
Child Benefit is a universal benefit paid to households with children under 16 (or under 20 in approved education or training). In 2026/27, the rate is £27.05 per week for the first child and £17.90 per week for each additional child. However, if either parent or partner has an adjusted net income over £60,000, the High Income Child Benefit Charge (HICBC) claws back 1% of the benefit for every £200 of income above the threshold - meaning the benefit is fully clawed back once income reaches £80,000.
The reform in April 2024
Prior to April 2024, the HICBC taper started at £50,000 and was fully clawed back at £60,000. From April 2024, the thresholds were raised to £60,000–£80,000, meaning far fewer families are affected and those who are retain more of their benefit. Families with the higher earner between £50,000 and £60,000 who previously paid the charge are now fully exempt.
The pension contribution strategy
Because the charge is based on adjusted net income - which deducts pension contributions - increasing pension contributions to bring adjusted net income below £60,000 can eliminate the charge entirely. This calculator shows the pension contribution needed to achieve this. Making this pension contribution has a double benefit: you retain the full Child Benefit entitlement and you increase your pension pot with the full pension tax relief applied.
Frequently asked questions
If your adjusted net income is above £80,000 and you cannot reduce it below £80,000 through pension contributions, you will pay a charge equal to 100% of the benefit received - leaving you no better off for claiming. However, there is still a strong case for claiming and paying the charge: it builds a National Insurance credit toward the State Pension for the non-working parent, and it ensures the child is registered for a National Insurance number automatically at age 16. You can opt out of receiving payments while still making the claim to preserve the NI credits.
Adjusted net income is your total income from all sources minus certain deductions. The main deductions are: personal pension contributions (gross), Gift Aid donations (grossed up), and losses from self-employment or property income. It is not the same as your gross salary - pension salary sacrifice contributions also reduce your adjusted net income because they reduce your gross employment income before PAYE. This is why pension contributions are such an effective tool for reducing the HICBC.
The charge applies to the higher earner in the household - it is based on the individual income of the partner with the higher adjusted net income, not the combined household income. A household where both partners earn £55,000 each (total £110,000) pays no charge at all, because neither individual's income exceeds £60,000. A household with one partner earning £75,000 and the other earning nothing faces the charge on the £75,000 earner's income. This can seem unfair and has been criticised, though the 2024 reform somewhat addressed the worst inequities.