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Family & Benefits · 2025/26 thresholds

High Income Child Benefit Charge

If you or your partner earn over £60,000, HMRC starts clawing back Child Benefit. By £80,000 it’s all gone. The charge is on the higher earner — even if the other parent claims.

£

Gross income less pension contributions and gift aid.

HICBC clawback

£1,126

50% of your annual benefit clawed back

Net retained

  • Annual Child Benefit
    £2,252
  • HICBC charge
    −£1,126
  • You keep
    £1,126

How we calculated your result

1% of total annual Child Benefit lost for every £200 of income above £60,000. Smoothly tapered: 50% at £70k, 100% at £80k. Paid via Self Assessment.

Official UK rules in simple English

  • Threshold raised to £60,000 from April 2024 (was £50,000).
  • Full charge at £80,000 (was £60,000).
  • Adjusted net income = gross income − pension contributions − Gift Aid.
  • Reported via Self Assessment; SA registration required if earning above the threshold and receiving Child Benefit.

Common pitfalls to watch out for

  • ⚠ Pension contributions reduce the income that counts

    Salary-sacrifice or relief-at-source pension contributions reduce adjusted net income — and can bring you back below £60k.

  • ⚠ Bonus pushed you over? It's by tax year

    Even one big month in March can land you above the threshold for the year. Pension top-up before 5 April can rescue you.

  • ⚠ Opt out of payment but keep the claim

    Tick the box to stop receiving payments while keeping the claim active — earns NI credits without triggering HICBC paperwork.

Frequently asked questions

What if both partners earn over £60k?
The higher earner pays the charge. If both equal, either can — agree between yourselves.
Does my partner's income matter to HICBC?
Only when comparing ‘who’s the higher earner’. Otherwise no — it’s strictly individual.
Is it really worth claiming if I'll lose it all?
Yes — for NI credits towards State Pension. Just opt out of payment to avoid the SA hassle.

Based on 2024+ thresholds. Adjusted net income is your responsibility — check with HMRC if unsure.

Related calculators

More tools in Family & Benefits.