Working from Home Calculator

Q: Can I claim working from home tax relief?

If your employer requires you to work from home (even part-time), you can claim tax relief on additional household costs. Since 6 April 2022, the COVID blanket easement ended — you must be required to work from home, not just choose to. Self-employed workers can claim proportional household costs as a business expense regardless.

Q: How much is the flat rate for working from home?

The HMRC flat rate is £6 per week (£312/year for 52 weeks). The actual tax saving depends on your rate: £62.40/year for basic rate (20%) taxpayers, £124.80 for higher rate (40%), or £140.40 for additional rate (45%). No receipts are needed for the flat rate claim.

Q: Should I claim actual costs or the flat rate?

If your allowable actual costs exceed £312/year (the maximum flat rate), claiming actual costs saves more. However, you must keep records and receipts. The flat rate requires no evidence. You cannot combine both methods — choose one or the other.

Q: Can self-employed people claim working from home expenses?

Yes. Self-employed individuals can claim a proportion of household costs as business expenses on their Self Assessment return, or use HMRC simplified expenses flat rates (£10/month for 25-50 hours, £18 for 51-100, £26 for 101+ hours worked from home).

Q: How do I claim working from home tax relief?

Three ways: (1) Include in your Self Assessment tax return. (2) Submit form P87 to HMRC if not in Self Assessment and claiming under £2,500. (3) Apply online at gov.uk for a tax code adjustment so relief is applied automatically through payslips. Claims can be backdated up to 4 years.

Calculate your working from home tax relief for 2025/26. Claim the HMRC flat rate of £6/week or calculate actual costs. Check eligibility under post-COVID rules and see how much you can save.

Claim the HMRC flat rate of £6/week without receipts

Your income tax band

Determines your tax relief rate

Weeks worked from home per year

weeks

Typically 48 weeks (allowing 4 weeks holiday)

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Important: 2025/26 is the LAST year for direct WFH tax relief claims. The Autumn Budget 2025 confirmed that the £6/week flat rate relief for employees is abolished from 6 April 2026. From 2026/27, only employer reimbursements of home-office costs will be tax-free — you will no longer be able to claim relief directly via Self Assessment or P87. If you are eligible for 2025/26, claim now before 5 April 2026.

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How to Use This Calculator

Flat Rate Claim tab

Select your income tax band and enter the number of weeks you worked from home during the tax year. The calculator applies the HMRC flat rate of £6/week and shows your tax relief based on your marginal rate. No receipts needed — this is the simplest way to claim.

Actual Costs tab

Enter your monthly household costs for heating, electricity, and broadband, then set the work-use proportion (the percentage attributable to working from home). The calculator computes your annual allowable deduction and compares it with the flat rate to recommend whichever gives you more relief.

Am I Eligible? tab

Answer three questions about your employment status, whether your employer requires you to work from home, and whether office space is available. The calculator gives you a clear yes/no answer with an explanation of the post-COVID rules and how to claim.

Share your result

Every input is encoded in the URL. Click Share to send your exact scenario to a colleague, accountant, or save it for later.

The Formula

Working from home tax relief reduces your taxable income, not your tax bill directly:

Flat rate method:
Allowable amount = Weeks worked from home × £6
Tax relief = Allowable amount × Your marginal tax rate

Actual costs method:
Annual household costs = (Heating + Electricity + Broadband) × 12
Allowable amount = Annual costs × Work-use proportion %
Tax relief = Allowable amount × Your marginal tax rate

Self-employed simplified expenses:
25–50 hours/month = £10/month
51–100 hours/month = £18/month
101+ hours/month = £26/month

The relief works by reducing your taxable income. For example, if you claim £288 at the 40% rate, HMRC reduces your taxable income by £288, saving you £115.20 in tax. This is applied either via a tax code adjustment (immediate, spread across payslips) or as a lump sum refund through Self Assessment or P87.

Example

Lucy — Higher rate taxpayer, works from home 3 days/week as required by employer

Lucy is a marketing manager earning £65,000. Her employer requires her to work from home 3 days per week. She works from home for 48 weeks of the year (4 weeks holiday).

Flat Rate Claim tab

Tax bandHigher rate (40%)

Weeks worked from home48

Annual allowable amount£288

Tax relief£115.20

Lucy claims £288 (48 × £6). At the 40% higher rate, this saves her £115.20 per year. She claims via the HMRC online portal and gets a tax code adjustment so the relief is spread across her payslips.

Actual Costs tab

Lucy also checks whether actual costs would give her more. Her monthly bills: heating £120, electricity £90, broadband £45. She estimates 20% work use.

Annual household costs£3,060

Work-use proportion20%

Annual allowable cost£612

Tax relief (actual costs)£244.80

Actual costs give Lucy £244.80 — more than double the flat rate. However, she needs to keep receipts and records. She decides to claim actual costs via Self Assessment.

FAQ

Can I claim working from home tax relief? ▼

If you are employed and your employer requires you to work from home (even part of the time), you can claim tax relief on additional household costs. Since 6 April 2022, the COVID blanket easement ended — you must genuinely be required to work from home by your employer, not simply choose to. Self-employed workers can claim proportional household costs as a business expense regardless. You can claim for the current tax year and up to 4 previous tax years if you missed them.

How much is the flat rate for working from home? ▼

The HMRC flat rate is £6 per week (or £26 per month). This means up to £312 per year if you work from home every week. The actual tax saving depends on your rate: £62.40/year for basic rate (20%) taxpayers, £124.80 for higher rate (40%), or £140.40 for additional rate (45%). You do not need receipts to claim the flat rate — it is the simplest method.

Should I claim actual costs or the flat rate? ▼

Use the Actual Costs tab to compare. If your allowable actual costs exceed £312/year (the flat rate maximum), claiming actual costs saves you more. However, you must keep records and receipts. The flat rate requires no evidence and is quick to claim. You cannot combine both methods — choose one or the other. For most people with modest bills, the flat rate is simpler and sufficient.

Can self-employed people claim working from home expenses? ▼

Yes. Self-employed individuals can claim a proportion of household costs as allowable business expenses on their Self Assessment return. You can use HMRC’s simplified expenses flat rates (£10/month for 25-50 hours, £18 for 51-100, £26 for 101+) or calculate actual costs based on the proportion of your home used for business. Unlike employed workers, you do not need your “employer” to require it — you simply need to use part of your home for business.

How do I claim working from home tax relief? ▼

There are three ways to claim: (1) Self Assessment — include the amount in the employment expenses section of your tax return. (2) Form P87 — if you are not in Self Assessment and your claim is under £2,500, submit a P87 form to HMRC. (3) Online — apply at gov.uk/tax-relief-for-employees to get a tax code adjustment so relief is applied automatically through your payslips. Claims can be backdated up to 4 years.

Is working from home tax relief being abolished? ▼

Yes. The Autumn Budget 2025 confirmed that the £6/week flat rate relief for employed workers claiming directly via Self Assessment or P87 is abolished from 6 April 2026. Tax year 2025/26 is the last year you can claim this relief. From 2026/27, only employer reimbursements of home-working costs will be tax-free (up to £6/week without evidence). If your employer does not reimburse you, you will no longer be able to claim the deduction yourself. Self-employed workers are not affected — they can continue to deduct proportional home costs as a business expense.

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