Calculator · UK 2025/26
Solicitor Take-Home Calculator
Compare sole-trader / partnership / LLP / limited company on annual net take-home. Three structures modelled on 2025/26 rates.
Your inputs
On your figures, Sole Trader wins
£91,412
Annual net take-home under the winning structure.
Sole Trader
Best£91,412
net of all tax + admin
Class 4 NI + income tax on profit
Partnership / LLP
£91,412
net of all tax + admin
Same tax treatment as sole trader
Limited Company
£86,696
net of all tax + admin
Corp tax + dividend tax + admin
Notes: Indicative UK 2025/26 model. Partnership and LLP are functionally identical for tax (both tax-transparent — members taxed personally on share). Ltd-co assumes £12,570 salary + remainder as dividend, £2,500 admin cost, no Employment Allowance. Pension contribution treated as deductible from taxable income.
The headline tax efficiency of Ltd over partnership/LLP is smaller than commonly believed at 2025/26 rates. The real reasons to incorporate (retained earnings for reinvestment, multiple shareholders, share-sale-friendly future exit, BADR on shares) usually outweigh the headline tax saving — which itself is modest.
For senior solicitors making the equity-vs-fee-share decision, see the fee-share vs equity partner pillar guide.
Frequently asked
- Are partnership and LLP taxed the same?
- Yes. Both are tax-transparent for income tax — each member or partner is taxed personally on their share of profit. The LLP's separate legal personality gives the limited liability but doesn't create a separate tax person. Mechanically identical for the take-home calculation.
- When does limited company beat partnership/LLP on tax?
- At 2025/26 rates the headline tax saving is smaller than commonly believed. The real reasons to incorporate are retained earnings for reinvestment, multiple shareholders, and a share-sale-friendly structure for future exit (BADR on shares). Headline tax saving alone is rarely the deciding factor.
- What about ABS structures?
- An ABS-licensed firm can be structured as Ltd, LLP, or partnership. The tax treatment follows the entity type, not the ABS regulatory licence. We can model any combination on your specific numbers.