Do apprentices get taxed?

If you’re looking for a way to enhance your skills and further your career, an apprenticeship could be the ideal path for you. These work-based, government-funded training programmes are available to people aged 16 and over. Offering a combination of study and employment, they give you on-the-job experience and allow you to earn money as you learn.

You can take your pick from a whole range of apprenticeships, including programmes that train you to become a mortgage adviser or financial services administrator. Before you apply for these training options though, it’s important that you understand exactly what they involve, including the pay you can expect to receive.

Here, we outline how much apprentices are paid, how much they are taxed and whether they have to pay National Insurance.

How much do apprentices earn?

The amount you earn as an apprentice will depend on a number of factors, including your age, existing qualifications and experience, as well as the type of programme you apply for. However, there is a minimum wage set out for all those enrolled on apprenticeships. 

From 1 April 2026, if you’re aged under 19, or you’re 19 or over and in the first year of your apprenticeship, you’ll earn a minimum of £8.00 per hour. Once you’ve completed your first year and you’re 19 or over, you’re entitled to the standard National Minimum Wage for your age. From April 2026 this is £10.85 per hour for those aged 18 to 20, and £12.71 per hour (the National Living Wage) for those aged 21 and over.

It’s worth remembering that these are legal minimums, not caps. Many employers choose to pay more, so always check your apprenticeship agreement for the rate you’ve been offered. You’re also entitled to be paid for the time you spend training or studying, not just the hours you spend working.

Do apprentices have to pay tax?

It’s often assumed that apprentices don’t have to pay tax, but this is incorrect. As an apprentice, you will in fact be expected to pay income tax in the same way as everyone else. It’s important to bear in mind though that depending on your per-hour earnings and the number of hours you work each week, you may not meet the threshold beyond which income tax is owed.For the 2026/27 tax year, if you earn less than £12,570 a year you won’t be required to pay income tax. This figure is known as your personal allowance. Any earnings above it are taxed at the appropriate rate.

As an apprentice, you will normally pay income tax through the Pay As You Earn (PAYE) system, meaning that any money owed will be taken directly from your pay. You therefore won’t have to fill in a Self Assessment tax return.

Do apprentices pay National Insurance?

You will have to pay National Insurance as an apprentice if you earn more than the specified thresholdFor the 2026/27 tax year, this threshold (known as the primary threshold) stands at £242 a week. As an apprentice, it’s likely you’ll pay Class 1 National Insurance, which is charged at 8 per cent of your earnings between £242 and £967 per week. Earnings above £967 a week are charged an extra two per cent.

It’s also worth noting that employers don’t pay employer’s National Insurance on apprentices aged under 25 who earn below £967 a week – though this doesn’t change what comes out of your own pay.

What can an apprentice claim on tax?

You might be wondering if you’ll be able to claim tax relief on expenses you incur in connection with your apprenticeship. It’s important to note that the only instances in which you may be eligible to make a claim are if you use your own money to buy things that you need for your role and if you only use these things for your role. You can’t claim tax relief if your employer gives you all the money back or offers you an alternative.

There are strict eligibility criteria in place concerning these claims. To find out more about them, it’s best to visit the GOV.UK website.

Will an apprenticeship affect my student loan or benefits?

Because apprenticeships pay a wage, it’s natural to wonder how they interact with other money matters. Apprentices don’t take out student loans in the way university students do – your training is funded by the government and your employer, so there are no tuition fees for you to repay. If you already have a student loan from previous study, repayments only begin once your income passes the relevant repayment threshold, so most apprentices on the minimum wage won’t be making repayments. If you’re currently receiving benefits, starting an apprenticeship can affect your entitlement, as your wage counts as income – it’s worth checking your specific situation on GOV.UK or with an adviser before you start.

Key apprenticeship pay and tax figures at a glance

For the 2026/27 tax year:

• Apprentice minimum wage (under 19, or first-year and 19+): £8.00 per hour
• National Minimum Wage, ages 18–20: £10.85 per hour
• National Living Wage, ages 21+: £12.71 per hour
• Income tax personal allowance: £12,570 a year
• National Insurance primary threshold: £242 a week
• Class 1 National Insurance rate: 8 per cent (between £242 and £967 a week)

Final thoughts 

Having a clear understanding of the pay and tax rules that are in place for apprenticeships will help ensure you know what to expect in terms of your finances when you start one of these training programmes, so it’s well worth doing your research. Rates and thresholds are reviewed each year, usually taking effect from April, so it’s always sensible to check the latest figures on GOV.UK before you commit.