{"id":19263,"date":"2023-10-09T17:20:38","date_gmt":"2023-10-09T16:20:38","guid":{"rendered":"https:\/\/taxfix.com\/en-uk\/?p=19263"},"modified":"2025-09-05T15:25:41","modified_gmt":"2025-09-05T14:25:41","slug":"are-footballers-paye","status":"publish","type":"post","link":"https:\/\/taxfix.com\/en-uk\/blog\/are-footballers-paye\/","title":{"rendered":"Wait, are footballers PAYE? \ud83e\udd2f"},"content":{"rendered":"\n<p>Camaraderie, that\u2019s what sports are all about, right? And as much as we\u2019d like to talk about that heartwarming topic all day, we\u2019re tax experts, so it\u2019s only right we talk about cold, hard tax\u2026 stuff. One question that always crosses our mind as *insert famous footballer here* scores yet again is do footballers pay tax? Better yet, are footballers PAYE? <\/p>\n\n\n\n<p>You must be DYING to know the answer. So let\u2019s delve into what we know!<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What is PAYE?<\/h2>\n\n\n\n<p><a href=\"https:\/\/taxfix.com\/en-uk\/glossary\/paye\/\">PAYE<\/a> stands for pay as you earn. It&#8217;s the system employees pay taxes through. The two main taxes you pay through PAYE are <a href=\"https:\/\/taxfix.com\/en-uk\/glossary\/income-tax\/\">Income Tax<\/a> and <a href=\"https:\/\/taxfix.com\/en-uk\/glossary\/national-insurance\/\">National Insurance<\/a> contributions. And before you ask, yes &#8211; they\u2019re compulsory taxes.&nbsp;<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio\"><div class=\"wp-block-embed__wrapper\">\n<div class=\"embed-container\"><iframe loading=\"lazy\" title=\"Tax in 10(ish) seconds - what is your employment status?\" width=\"500\" height=\"281\" src=\"https:\/\/www.youtube.com\/embed\/i0hMhE-T9Xs?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe><\/div>\n<\/div><\/figure>\n\n\n\n<p>You&#8217;re PAYE if a company employs you and sends you a payslip every month. This means you\u2019re on a specific <a href=\"https:\/\/taxfix.com\/en-uk\/the-tax-basics\/what-does-the-tax-code-mean\/\">tax code<\/a> and paying tax based on how much income you make.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Are footballers PAYE?<\/h2>\n\n\n\n<p>Yep, they are. <\/p>\n\n\n\n<p>The club you play for employs you. You have written contracts drawn up, just like at any other regular employee job.<\/p>\n\n\n\n<p>You&#8217;re paid through PAYE, with Income Tax and NI automatically deducted. This leaves almost no room for any <em>foul<\/em> play (get it?).&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Do HMRC know how much I make?<\/h2>\n\n\n\n<p>HMRC are aware of all the income you\u2019re making playing football, and taxing you accordingly. As many footballers are PAYE high earners and earn (way) more than \u00a3150,000 per year, you\u2019re in the <a href=\"https:\/\/taxfix.com\/en-uk\/glossary\/additional-rate-tax\/\">highest tax bracket<\/a>. This means you pay 45% Income Tax on any earnings above this amount.<\/p>\n\n\n\n<p>Remember, you only pay the higher tax rates once you pass each of the thresholds, shown in the table below.<\/p>\n\n\n<\/div> <!-- .c-body -->\n\n<div class=\"b-highlight-mini m-neutral m-align-left\">\n    <div class=\"b-block-body\">\n        <p><span style=\"font-weight: 400;\">The <\/span><b>income tax<\/b><span style=\"font-weight: 400;\"> rates in the 2025\/26 tax year \ud83d\udc47<\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td><strong>Income<\/strong><\/td>\n<td><strong>Tax rate<\/strong><\/td>\n<td><strong>Tax band<\/strong><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Up to \u00a312,570<\/span><\/td>\n<td><span style=\"font-weight: 400;\">0%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Personal allowance<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">\u00a312,571 to \u00a350,270<\/span><\/td>\n<td><span style=\"font-weight: 400;\">20%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Basic rate<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">\u00a350,271 to \u00a3125,140<\/span><\/td>\n<td><span style=\"font-weight: 400;\">40%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Higher rate<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">over \u00a3125,141<\/span><\/td>\n<td><span style=\"font-weight: 400;\">45%<\/span><\/td>\n<td><span style=\"font-weight: 400;\">Additional rate<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n\n    <\/div>\n<\/div> <!-- .b-highlight-mini -->\n\n<div class=\"c-body\">\n\n\n\n\n\n<h2 class=\"wp-block-heading\">So footballers do pay tax?<\/h2>\n\n\n\n<p>All football players who are under contract with a club are considered employed. You therefore pay tax through your club, straight to HMRC. <\/p>\n\n\n\n<p>Tax is deducted before you even receive your salary each month, just like when you work an office job.&nbsp;<\/p>\n\n\n\n<p>But &#8211; plot twist &#8211; you\u2019re only PAYE for the income you earn through your football club payments.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What if I\u2019m on the bench?<\/h2>\n\n\n\n<p>Good question. Simple answer &#8211; it doesn\u2019t matter. <\/p>\n\n\n\n<p>Whether you\u2019re on the field or on the bench, either as a sub or injured, you get the same pay. It is on a person-by-person basis though, so your contract could say that you only get paid when you play. But most don&#8217;t.&nbsp;<\/p>\n\n\n\n<p>Of course, you don\u2019t get any bonuses for goals, wins, etc. if you\u2019re not on the field.&nbsp;<\/p>\n\n\n<\/div> <!-- .c-body -->\n\n<div class=\"b-highlight-mini m-nude m-align-left\">\n    <div class=\"b-block-body\">\n        <h2>Footballer\u2019s salary example \ud83e\udd11<\/h2>\n<p>The <a href=\"https:\/\/www.statista.com\/statistics\/547090\/average-annual-first-team-player-salary-in-football-clubs-english-premier-league-uk\/\" target=\"_blank\" rel=\"noopener\">average weekly salary for a Premier League football player<\/a> is a massive \u00a360,000. This equates to a monthly salary of \u00a3240,000 and a yearly salary of \u00a32,880,000.<\/p>\n<p><!-- \/wp:paragraph --> <!-- wp:paragraph --><\/p>\n<p>\u200b\u200b\ud83d\udc40 yikes.<\/p>\n<p><!-- \/wp:paragraph --> <!-- wp:paragraph --><\/p>\n<p>So, should we switch our keyboards for footballs?<\/p>\n<p>It\u2019s definitely the kind of salary that\u2019s unfathomable for most. Shall we look at the tax breakdown?<\/p>\n<p>On this salary, the first \u00a350,270 is taxed at 20%, the rest up to \u00a3125,140 is taxed at 40%, and everything above \u00a3125,141 is taxed at 45%.<\/p>\n<p>This means that you\u2019re left with around \u00a31,516,900 after both Income Tax and NIC.<\/p>\n<p>Not. Too. Shabby.<\/p>\n\n    <\/div>\n<\/div> <!-- .b-highlight-mini -->\n\n<div class=\"c-body\">\n\n\n\n\n<h2 class=\"wp-block-heading\">What about image rights?<\/h2>\n\n\n\n<p>What are image rights? Basically, it\u2019s your image &#8211; your name, nickname, kit number, likeness, photographs, autographs, initials and lots, lots more.&nbsp;<\/p>\n\n\n\n<p>In layman\u2019s terms, anything that is used by companies relating to you as a footballer by way of endorsement deals etc. is paid to the imaging rights company directly.&nbsp;<\/p>\n\n\n\n<p>Image rights are a big part of a footballer\u2019s income stream. Currently, image rights are only taxed at 19% corporation tax (instead of the 45% rate of Income Tax). Therefore, they&#8217;re a tax-efficient way to make money. HMRC are accepting of properly structured image right contracts, however can sometimes decide that certain profits are subject to Income Tax as opposed to <a href=\"https:\/\/taxfix.com\/en-uk\/glossary\/company-tax\/\">corporation tax<\/a>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What about other ads, sponsorships, or endorsements?<\/h2>\n\n\n\n<p>Now, this income is considered self-employed income. Although you could be representing the club or town you play for, you don&#8217;t report this income through PAYE. So, all you self-employed folks reading this, we know you\u2019re screaming at your laptops and phones, \u201cRed card!! You need to report your untaxed income to HMRC!!\u201d. You do.&nbsp;<\/p>\n\n\n\n<p>Although, there\u2019s no way to find out if you are. Hopefully you follow the rules off the field, because we know that on the field things can get a little\u2026 heated.&nbsp;<\/p>\n\n\n\n<p>Footballers usually have several streams of income. It&#8217;s not all declared to HMRC. Especially if it\u2019s not part of your salary. Therefore, you have to file a <a href=\"https:\/\/taxfix.com\/en-uk\/glossary\/self-assessment\/\">Self Assessment<\/a> to declare your untaxed income to HMRC.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Camaraderie, that\u2019s what sports are all about, right? And as much as we\u2019d like to talk about that heartwarming topic all day, we\u2019re tax experts, so it\u2019s only right we talk about cold, hard tax\u2026 stuff. One question that always crosses our mind as *insert famous footballer here* scores yet again is do footballers pay [&hellip;]<\/p>\n","protected":false},"author":18,"featured_media":41420,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[299,301],"tags":[414,357],"class_list":["post-19263","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog","category-tax-basics","tag-employment-status","tag-high-earner"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.8 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Wait, are footballers PAYE? \ud83e\udd2f &#8211; Taxfix (formerly TaxScouts)<\/title>\n<meta name=\"description\" content=\"Yep, footballers are PAYE. But, specifically what kind of tax do footballers pay and exactly how much? 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