Methodology - Jersey (2026)

Educational model - not a Revenue Jersey assessment, not a tax return, not tax advice.

Employee

Jersey income tax is the lower of two computations: a flat 20% on all income, or 26% on income above the exemption threshold (the marginal relief calculation). The taxpayer pays whichever is lower.
2026 exemption threshold: GBP 21,250 for a single person. From 2026 Jersey applies independent taxation, so the former married joint exemption is replaced by each spouse using their own single threshold.
Social Security (Class 1): the employee contributes 6% of earnings up to the Standard Earnings Limit of GBP 6,062 a month.
Employer cost: the employer contributes 6.5% up to the Standard Earnings Limit, plus 2.5% on earnings between the Standard Earnings Limit and the Upper Earnings Limit of GBP 27,632 a month.
Out of scope: the long-term care contribution beyond the model's note, child and other allowances, mortgage and pension reliefs, and the prior-year-basis transition arrangements.

Net profit = revenue - expenses, taxed under the same lower-of 20% flat versus 26% marginal calculation, using the 2026 single exemption of GBP 21,250 under independent taxation.
Social Security (Class 2): the self-employed contribution is 12.5% up to the Standard Earnings Limit, plus 2.5% on earnings between the Standard Earnings Limit and the Upper Earnings Limit.
Out of scope: the long-term care contribution beyond the model's note, capital allowances, loss relief, pension reliefs, and GST registration.