Universal Credit calculator
Build up your maximum award from the standard allowance and elements, then see the 55% taper take off part of it once you earn above the work allowance. An estimate, not an official award.
How the calculation works
Universal Credit is built in two stages. First the DWP adds up your maximum award: a standard allowance set by your age and whether you claim as a single person or a couple, then elements for children, eligible rent, limited capability for work, and caring. That total is what you could get with no earnings. This tool shows it as the maximum award figure.
Then earnings are counted. Your wage is converted to a take-home amount, and anything above your work allowance reduces the award by 55p in the pound. Other counted income, such as an occupational pension, comes off pound for pound. What remains is the estimated monthly payment. Because the taper is gradual, working more almost always leaves you with more in total, even though the payment itself falls.
Worked example
A single parent aged over 25 with two children, £750 a month rent and £1,200 a month take-home has a maximum award of about £1,783. The earnings above the work allowance trigger the taper, taking off roughly £402. That leaves an estimated £1,381 a month of Universal Credit, or about £16,573 across the year, on top of the wages.
Common questions
Is this an official Universal Credit award?
No. This is an estimate to help you understand the parts of an award. Your actual Universal Credit depends on your exact circumstances, other income that may be disregarded, and checks the DWP makes. Use an official benefits calculator or your online journal for a firm figure.
How is my maximum Universal Credit worked out?
It starts with a standard allowance set by your age and whether you are single or a couple. On top of that come elements for children, for eligible rent, for limited capability for work (the health element), and for caring. Added together these give your maximum award before any earnings are counted.
How does the taper reduce my payment?
Once your net earnings pass your work allowance, Universal Credit falls by 55p for every extra £1 you earn. The work allowance for 2026/27 is £710 a month if your award has no housing element, or £427 a month if it does. You only get a work allowance if you have children or limited capability for work.
What is the health element and why are there two rates?
The health element (LCWRA) is paid when a work capability assessment finds you have limited capability for work and work-related activity. From April 2026 most new claims get a lower rate, while people already getting it before that date, the terminally ill, and those with severe lifelong conditions keep a protected higher rate.
Does the two-child limit still apply?
The two-child limit is being removed from April 2026, so a child element can be paid for each child. This is a recent change, so if your award still shows the old rule, check your journal and an up-to-date official calculator.
What counts as other income?
Some income reduces Universal Credit pound for pound, such as certain other benefits and occupational pensions. Many things are ignored, including Personal Independence Payment, Child Benefit and wages (which go through the taper instead). Put only income that is counted in the other income box.