An Engineering Director earning the median salary of £105K in the UK takes home approximately £70,457/year (£5,871/month) after Income Tax and National Insurance, using 2026/27 rates.
The table above uses the Engineering Director median. Enter your own gross salary below for a precise figure.
2026/27 tax year
Personal Allowance: £12,570. Basic rate (20%) up to £50,270. Higher rate (40%) up to £125,140. Additional rate (45%) above.
Common salaries:
Annual take-home pay
£70,457
Per month
£5,871
Per week
£1,355
Effective tax rate
32.9%
Personal Allowance
£10,070
How your £105,000 is split
£70,457
67.1%
£30,432
29.0%
£4,111
3.9%
| Gross salary | £105,000 |
| Personal Allowance (tax-free) | £10,070 |
| Income Tax | -£30,432 |
| National Insurance (Class 1) | -£4,111 |
| Total deductions | -£34,543 |
| Net take-home (annual) | £70,457 |
Calculations use 2026/27 UK tax rates. Assumes England/Wales/Northern Ireland Income Tax rates (Scottish rates differ). Includes standard Personal Allowance tapering above £100,000, and applies any pension salary sacrifice entered above before calculating tax. Does not account for Gift Aid, student loan repayments, Marriage Allowance, or other reliefs. For precise advice consult a tax professional or HMRC.
Permanent median
£105,000
£70,457 take-home
Contract median
£700/day
≈ £154,000 gross a year
At a median £700/day, contract work grosses about £154,000 a year over 220 billable days, 47% more than the £105,000 permanent median. That premium has to pay for what an employer would otherwise cover: paid holiday and sick days, pension contributions, and the gaps between contracts. Whether a contract falls inside or outside IR35 also changes how much of it you keep.
Contract and permanent benchmarks come from separate samples, so treat the gap as a guide rather than a like-for-like quote. See Engineering Director contract rates and contractor take-home →
An Engineering Director earning the median salary of £105K in the UK takes home approximately £70,457 per year (£5,871 per month) after Income Tax and National Insurance, using 2026/27 HMRC rates.
On a median Engineering Director salary of £105K, the effective tax rate (Income Tax and NI combined) is 32.9%, leaving £70,457 as take-home pay. This assumes standard Personal Allowance and England/Wales Income Tax rates.
On a £105K salary, an Engineering Director pays approximately £30,432 in Income Tax per year. This uses the 2026/27 Personal Allowance of £12,570, a basic rate of 20% up to £50,270, and 40% above.
On a £105K salary, employee Class 1 National Insurance amounts to approximately £4,111 per year. The 2026/27 rates are 8% on earnings between £12,570 and £50,270, and 2% above.
The standard Personal Allowance for 2026/27 is £12,570, which is tax-free. For salaries above £100,000, the allowance tapers by £1 for every £2 earned, disappearing entirely at £125,140. At £105K, this tapering reduces the Personal Allowance.
At a median £700/day, contract work grosses about £154,000 a year over 220 billable days, 47% more than the £105,000 permanent median. That premium has to pay for what an employer would otherwise cover: paid holiday and sick days, pension contributions, and the gaps between contracts. Whether a contract falls inside or outside IR35 also changes how much of it you keep. Contract and permanent benchmarks come from separate samples, so treat the gap as a guide.
Engineering Director Salary Benchmarks
Full range, city comparisons, seniority bands
Compare a job offer
See how pay, benefits, and costs change the picture
Engineering Director contractor rates
Compare permanent pay with current contract market rates
Remote vs Hybrid
Is the commute worth it?
Engineering Director Salary in Scotland
Take-home under Scottish income tax (19%–48%)