How Do I Know Which Student Loan Plan I'm On?
If you have a UK student loan, one of the most common questions is, "Which repayment plan am I on?"
Knowing your plan is important because each one has different repayment thresholds, meaning the amount deducted from your salary can vary significantly.
Whether you're using a salary calculator, checking your payslip or starting a new job, understanding your student loan plan helps you estimate your take-home pay more accurately.
Why your student loan plan matters
Your repayment plan determines:
When you start repaying your loan.
How much of your salary is subject to repayments.
The repayment threshold before deductions begin.
When any remaining balance may be written off.
If you're on the wrong plan in a salary calculator, your estimated take-home pay could be inaccurate.
The easiest ways to check your student loan plan
There are several ways to find out which repayment plan you're on.
1. Check your Student Loans Company account
The quickest and most reliable method is to sign in to your Student Loans Company (SLC) account.
Your online account shows:
Your repayment plan.
Outstanding balance.
Repayments made.
Interest charged.
Annual statements.
If you still have access to your account, this is usually the easiest place to check.
2. Look at your repayment letters or statements
When your loan entered repayment, you should have received confirmation from the Student Loans Company.
Your repayment plan is often included in these letters or annual statements.
3. Ask your employer's payroll department
If repayments are already being deducted through PAYE, your payroll department may be able to tell you which plan they have recorded.
4. Check your payslip
Some employers include your student loan repayment type on your payslip.
Although not all payslips display the plan number, they can confirm that deductions are being made.
Which student loan plans exist?
There are currently several repayment plans used across the UK.
Plan 1
Generally applies to students who:
Started undergraduate courses before September 2012 in England or Wales.
Received student finance from Northern Ireland.
Started studying in Scotland before the introduction of Plan 4.
Plan 2
Usually applies to students who:
Started undergraduate courses in England or Wales from September 2012 until July 2023.
Plan 4
Typically applies to students who received student finance from Scotland.
Although similar to Plan 1, it has different repayment thresholds.
Plan 5
Plan 5 applies to many students who started undergraduate courses in England from August 2023 onwards.
It introduced different repayment rules, including a lower repayment threshold and a longer repayment period compared with Plan 2.
Postgraduate Loan
A postgraduate loan is separate from undergraduate loans.
If you have one, repayments are calculated independently and may be deducted alongside repayments for another student loan plan.
What determines which plan you're on?
Your repayment plan isn't based on your current salary.
Instead, it's mainly determined by:
Which UK nation provided your student finance.
When your course started.
Whether your loan was undergraduate or postgraduate.
These factors are set when your loan is issued and generally don't change.
Can you have more than one student loan?
Yes.
Many graduates repay:
An undergraduate loan.
A postgraduate loan.
If you have both, separate repayment calculations may apply, resulting in higher deductions from your salary once your income exceeds the relevant thresholds.
How do student loan repayments affect take-home pay?
Student loan repayments are deducted through PAYE alongside Income Tax and National Insurance.
Unlike pension contributions, they do not reduce your taxable income.
Instead, they're calculated after tax and simply reduce the amount of money you receive in your pay packet.
The higher your salary rises above your repayment threshold, the larger your monthly deductions become.
Do student loan repayments stop automatically?
Yes.
Once your loan has been fully repaid, deductions should stop.
However, it's a good idea to monitor your balance as you approach the end of repayment, as overpayments can sometimes occur before payroll records are updated.
Calculate your take-home pay with student loan deductions
If you're estimating your monthly salary, choosing the correct student loan plan is essential.
Our salary calculator lets you compare your take-home pay with different student loan plans so you can see exactly how repayments affect your income after tax.