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Avoid the HICBC with salary sacrifice

Sacrifice £7,000 into your pension to keep your full Child Benefit of £2,251.60 per year →

Child Benefit on a £67,000 Salary

On a £67,000 salary in the 2025/26 tax year, Child Benefit for 2 children is £2,251.60 per year. The HICBC charge is £788.06, leaving net benefit of £1,463.54 per year (£121.96 per month).

On a £67,000 salary in the 2025/26 tax year, the High Income Child Benefit Charge claws back 35% of your Child Benefit. For two children, you receive £2,251.60 but pay back £788.06 as HICBC, keeping £1,463.54 per year (65% of the full amount). That works out to £121.96 per month.

HICBC breakdown at £67,000

The table below shows your Child Benefit, HICBC charge, and net benefit at £67,000 for different numbers of children.

ChildrenAnnual benefitHICBC chargeNet benefitMonthly net
1£1,354.60£474.11£880.49£73.37
2£2,251.60£788.06£1,463.54£121.96
3£3,148.60£1,102.01£2,046.59£170.55
At £67,000, the HICBC claws back 35.0% of your benefit. For every £200 of income above £60,000, you lose 1% of your Child Benefit.

How to reduce the HICBC on £67,000

The most effective way to eliminate the HICBC is salary sacrifice into a workplace pension. On a £67,000 salary, sacrificing £7,000 into your pension brings your adjusted net income to £60,000 — below the HICBC threshold.

This means you keep the full £2,251.60 of Child Benefit for 2 children, while also saving income tax and National Insurance on the sacrificed amount. Use the salary sacrifice calculator to see the full impact. See also your full tax breakdown on £67,000.

Other ways to reduce your adjusted net income for HICBC purposes:

  • Personal pension contributions — relief at source reduces adjusted net income
  • Gift Aid donations — grossed up amount is deducted from income
  • Trading losses — can be set against employment income
  • Employment expenses — allowable expenses reduce adjusted net income

Compare Child Benefit at nearby salaries

  • £62,000: HICBC claws back 10% — keep £2,026.44 (2 children)
  • £65,000: HICBC claws back 25% — keep £1,688.70 (2 children)
  • £69,000: HICBC claws back 45% — keep £1,238.38 (2 children)
  • £72,000: HICBC claws back 60% — keep £900.64 (2 children)

Related calculations for £67,000

Frequently asked questions

How much Child Benefit do I keep on a £67,000 salary?

On a £67,000 salary with 2 children, HICBC claws back 35% of your £2,251.60 benefit. You keep £1,463.54 per year (£121.96 per month).

What is the HICBC threshold in 2025/26?

The HICBC threshold is £60,000 of adjusted net income. The charge tapers from £60,000 to £80,000, with full clawback at £80,000. This threshold was raised from £50,000 in April 2024.

Should I still claim Child Benefit on £67,000?

Yes. You still receive a net benefit of £1,463.54 for 2 children. Plus, claiming protects your NI record for State Pension purposes.

How much do I need to salary sacrifice to avoid HICBC on £67,000?

You need to sacrifice £7,000 into your pension to bring your adjusted net income to £60,000. This eliminates the HICBC entirely, and you also save income tax and National Insurance on the sacrificed amount. Use the salary sacrifice calculator for a full breakdown.

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