New tax changes coming into effect means your take home salary should increase

New rules coming into effect, means an increased personal allowance should see workers’ take-home pay go up.

The personal allowance is the amount of income a worker is not required to pay tax on.

Following an announcement in last year’s Autumn Budget, the personal allowance for earners in the basic rate band (those on salaries between £11,501 and £45,000) will rise to £11,850 on Friday 6 April. The threshold to be included in the higher rate band – currently those on salaries from £45,001 to £105,000 – will increase to £46,350.