Band 8D positions within the NHS encompass a range of responsibilities, including Directors, Associate Directors, and Deputy Directors. These roles require individuals to possess professional registration, which incurs an additional fee. The Nursing Midwifery Council (NMC) oversees this registration process and, as of February 2015, increased the annual fee to £120.
Within the clinical domain, Band 8D positions encompass various roles, such as Mental Health Nurse Consultants, Clinical Leads, and Heads of Nursing, among others. These individuals play a critical role in ensuring the delivery of high-quality healthcare services and contributing to the overall effectiveness of the healthcare system.
Band 8D – 1st Pay Point (£83,571 per annum)
Effective from 1st April 2023, in line with the 5% NHS pay rise, the annual salary for individuals in Band 8D at the 1st pay point will amount to £83,571. This translates to a monthly income of £6,964.25 before any deductions. As part of their financial obligations, individuals at this NHS pay point will contribute £432.43 per month towards National Insurance, £940.17 per month towards NHS Pension, and £1362.30 per month towards Income Tax. Consequently, their net take-home pay will amount to £4,229.35 per month.
“As a result of the 5% NHS pay rise, the pay point for this role has been elevated from £79,592 to £83,571 per year, reflecting a significant increase of £3,979 annually (£0.332 per month). Commencing 1st April 2023, the revised net take-home pay for NHS employees in this category will amount to £4,229 per month, thereby affording an additional £165.44 per month due to the implementation of the NHS 5% pay rise.”
|Details||Amount in pounds (£)|
|Monthly Gross Salary||£6,964.25|
|Pension from Oct ’22||£940.17|
|National Insurance Deduction||£432.43|
|Monthly Net Pay after all deductions||£4,229.35|
The pension rate of 13.5% applies to individuals with annual earnings exceeding £72,031. Regarding Income Tax, a 20% rate is applicable to earnings falling within the range of £12,570 to £50,270 per year, while a 40% tax rate is levied on earnings between £50,270 and £125,140 annually. For National Insurance (NI) contributions, a rate of 12% is applied to monthly earnings
between £1,048.01 and £4,189, and a rate of 2% is applied to monthly earnings exceeding £4,189.
“The NHS net pay, which represents the take-home pay after deductions, accounts for 61% of the entire salary. In practical terms, for every £1 earned, 61 pence is retained as net pay, while 39 pence is deducted for various contributions and taxes.”
In the event that an individual within this band is promoted or moves up from a Band 8D on the 1st pay point to a Band 8D on the 2nd and final pay point, they would experience an additional monthly income of £532.47 after all deductions. This increase amounts to a total of £1067.08 over the given period.
Band 8D – 2nd & Final Pay Point (£96,376 per annum)
Commencing from 1st April 2023, with the implementation of the 5% NHS pay rise, the annual salary for individuals positioned within Band 8D on the 2nd and final pay point will amount to £96,376. This equates to a monthly income of £8,031.33 before any deductions are applied. Consequently, a person occupying this particular NHS pay point will be liable for monthly contributions of £453.77 towards National Insurance, £1,084.23 towards NHS Pension, and £1,731.51 towards Income Tax. As a result, their net take-home pay will total £4,761.83 per month, accounting for all the necessary deductions.
“Following the implementation of the 5% NHS pay rise, the pay point for Band 8D has witnessed a rise from £91,787 to £96,376 per year. This represents a substantial increase of £4,589 annually, equivalent to £0.382 per month. Effective from 1st April 2023, the revised net take-home pay for NHS employees in this category will amount to £4,762 per month, reflecting a noteworthy increase of £190.81 as a direct consequence of the NHS 5% pay rise.”
|Details||Amount in pounds (£)|
|Monthly Gross Salary||£8,031.33|
|Pension from Oct ’22||£1084.23|
|National Insurance Deduction||£453.77|
|Monthly Net Pay after all deductions||£4,761.83|
The calculations provided are based on the prevailing pension, income tax, and national insurance rates for the 2023/2024 fiscal year. For individuals earning above £72,031 annually, the pension rate is set at 13.5%. Income tax is levied at a rate of 20% on earnings falling within the £12,570 to £50,270 range, while a 40% tax rate applies to earnings between £50,270 and £125,140. In terms of national insurance contributions, a rate of 12% is applicable to earnings ranging from £1,048.01 to £4,189 per month, with a reduced rate of 2% for earnings exceeding £4,189.
“In relation to the total salary, the percentage of NHS net pay received, also known as take-home pay, is 59%. This indicates that for every £1 earned, approximately 59 pence is retained while 41 pence is deducted. It is important to consider this overall proportion when assessing the portion of earnings that individuals receive after various deductions.”
If an individual in Band 8D on the 2nd & final pay point is promoted to Band 9 on the 1st pay point, they would experience an increase in earnings of £146.17 per month after all deductions, resulting in a total increase of £292.92. This advancement reflects the upward movement in their salary, allowing them to enjoy a higher level of income.
Tax calculations take into account the deduction of Pension contributions. As a result, it is possible for an individual’s income to fall below the thresholds for the 20%, 40%, or 45% tax brackets after these contributions have been subtracted.
Please note that all calculations are based on the 2023/2024 NHS Pension, National Insurance, and Income Tax rates. While we strive for accuracy, it’s important to mention that these calculations have not been verified by the NHS and there may be slight variations. They are intended to serve as a general guide for NHS workers.
Nurses should also remember to deduct an additional £10 per month to cover their NMC registration fees.
It’s worth noting that many individuals working in the NHS have the opportunity to earn extra income by working unsocial hours, including weekends, evenings, bank holidays, and overnight shifts. The compensation for such hours is calculated on an hourly basis, with each enhancement being added to the monthly payment. This additional income can contribute to the overall remuneration of NHS employees.