Tax code 1250L explained
A tax-free allowance of £12,500 a year (about £1,042 a month).
| What it sets (2026/27) | Value |
|---|---|
| Tax-free allowance | £12,500 a year |
| Standard allowance (1257L) | £12,570 a year |
| Income Tax on a £35,000 salary | £4,500/yr |
| vs the standard code | +£14/yr (+£1/mo) |
What to check
ℹ Reduced allowance. Your tax-free allowance (£12,500) is below the standard £12,570. That's usually company benefits (a car, medical cover) or an underpayment being collected. Your P2 coding notice shows the make-up — if a benefit has ended, tell HMRC so your code goes back up.
ℹ About £14/yr more tax than the standard code. At £35,000, this code takes roughly £1 a month more than 1257L would. Expected if you have benefits or an underpayment; if you don't, query it.
Build or check your tax code →See it on your own salary
The figures above use a £35,000 example. Enter your real salary to see exactly what 1250L does to your take-home — or upload a payslip and let PayGlance check the code is being applied correctly.
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