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Guide

Student loan repayments when self-employed

Self-employed people repay student loans through Self Assessment. Repayments are 9% of income over your plan threshold, or 6% for a Postgraduate loan. For 2026/27: Plan 1 £26,900; Plan 2 £29,385; Plan 4 (Scotland) £33,795; Plan 5 £25,000; Postgraduate loan £21,000.

Step by step

  1. 1Check which student loan plan you are on. Your HMRC online account shows it
  2. 2For 2026/27, the annual thresholds are Plan 1 £26,900, Plan 2 £29,385, Plan 4 (Scotland) £33,795, Plan 5 £25,000 and Postgraduate loan £21,000
  3. 3Repay 9% of income over your plan threshold. A Postgraduate loan is 6%
  4. 4Include the repayment in your Self Assessment return. HMRC works it out from the income you declare
  5. 5The repayment is due with the 31 January balancing payment for the tax year
  6. 6Student loan repayments are not included in payments on account. Budget for the full amount by 31 January
  7. 7If you are employed as well, repayments already taken through PAYE count towards the total

Common questions

How much do self-employed people repay on a student loan?

Repayments are 9% of income over your plan threshold, or 6% for a Postgraduate loan. The 2026/27 thresholds for each plan are set out in this guide.

When is the student loan repayment due?

With the 31 January balancing payment for the tax year. Student loan repayments are not included in payments on account.

Common mistakes

  • Leaving the student loan section blank on the return
  • Assuming payments on account cover the student loan repayment
  • Using the wrong plan threshold
  • Forgetting repayments already taken through PAYE when checking the total

Related guides

Last checked against GOV.UK: 28 October 2026. Tax year 2026/27.

Not affiliated with HMRC. General information, not professional tax advice. Check GOV.UK or speak to a qualified adviser for your situation.