Student Loan Repayments 2026/27: What You Pay on Plan 1, 2, 4 and 5
You repay 9% of income above your plan's threshold (Plan 2: £29,385, Plan 5: £25,000). Monthly amounts by salary, and when paying extra isn't worth it.
By the MoneyBackKit UK team · Updated 19 October 2026 · 5 min read
Your student loan repayment has nothing to do with how much you borrowed. It's 9% of what you earn above a yearly threshold, taken from your pay each month. The threshold depends on your plan, which depends on when and where you started university, so two people on the same salary can pay very different amounts.
Thresholds for 2026/27
| Plan | Who it's for | You repay 9% above |
|---|---|---|
| Plan 1 | England/Wales before Sept 2012, or Northern Ireland | £26,900 a year |
| Plan 2 | England/Wales, Sept 2012 to July 2023 | £29,385 a year |
| Plan 4 | Scotland | £33,795 a year |
| Plan 5 | England, from August 2023 | £25,000 a year |
| Postgraduate Loan | Master's or doctoral loan | £21,000 a year (6%, on top) |
What you pay each month
| Salary | Plan 1 | Plan 2 | Plan 4 | Plan 5 |
|---|---|---|---|---|
| £25,000 | £0 | £0 | £0 | £0 |
| £30,000 | £23 | £4 | £0 | £37 |
| £35,000 | £60 | £42 | £9 | £74 |
| £40,000 | £98 | £79 | £46 | £112 |
| £50,000 | £173 | £154 | £121 | £187 |
| £60,000 | £248 | £229 | £196 | £262 |
On £35,000 a Plan 2 graduate pays £42 a month (£504 a year). A Plan 5 graduate on the same salary pays £74 a month, because the Plan 5 threshold is lower. Add a Postgraduate Loan and the Plan 2 graduate pays £111 a month in total.
Plan 2: monthly repayment by salary
Things people get wrong
- A pay rise doesn't make it bite all at once. Only the part above the threshold is charged. A £1,000 rise adds about £7.50 a month.
- Paying extra isn't always smart. Plan 2 loans are written off 30 years after you're due to start repaying, and Plan 5 after 40. Many people on Plan 2 never clear the balance, so extra payments would be money they never needed to pay.
- Below the threshold you pay nothing, and nothing is added to what you owe except interest.
- Self-employed? You repay through your Self Assessment tax return, using the same yearly threshold.