How much do I earn as a Doctor in the UK (Full breakdown of my salary 2024)

Summary

In this informative video, junior doctor Abhinav Kumar from the UK offers an in-depth look at the salary structure for Foundation Year 2 doctors, highlighting the basic pay, additional hours, night shifts, and weekend work. He explains the concept of banding, which distributes extra pay for anti-social hours evenly across the year, and breaks down his own pay slip to illustrate the impact of taxes, national insurance, and pension contributions on take-home pay. Abhinav emphasizes the benefits of the NHS pension and provides a realistic view of a junior doctor's monthly income, encouraging those considering a medical career in the UK.

Takeaways

• 🇬🇧 The speaker, Abhinav Kumar, is a junior doctor in the UK, having graduated from medical school in India in 2020.
• 💼 He discusses the salary structure for junior doctors in the UK, emphasizing the importance of understanding the different components of the pay.
• 💰 As a Foundation Year 2 (FY2) doctor, his starting salary is £34,000, which is subject to adjustments based on various factors including banding.
• 🕒 The 'basic' salary is calculated on the assumption of working 40 hours a week within normal business hours, with additional pay for anti-social hours.
• 🌙 Night shifts are compensated at a higher rate, typically around 33% more than the basic pay for hours worked outside of standard business hours.
• 📈 Salary increases are tied to 'nodal points' rather than just seniority, with different increments as one progresses from F2 to CT1, CT2, etc.
• 📊 The speaker's pay slip for a full month of work includes basic pay, additional hours, night work, and weekend work, totaling a pre-tax income of £48,632.91.
• 💸 Taxes and deductions include Pay As You Earn (PAYE) tax, National Insurance, pension contributions, and a one-time CRB Enhanced Check fee.
• 📉 After taxes and deductions, the net income for the month was £2,914.86, which is a significant increase from the basic salary alone due to additional work hours.
• 🏦 The NHS pension is highly recommended, as it offers long-term benefits, even though it means less take-home pay in the short term.
• 📈 The total annual take-home salary, including additional pay for extra hours, night shifts, and weekends, is estimated to be around £35,000.

Q & A

What is the main topic of the video transcript?

The main topic of the video transcript is about explaining the salary structure of a junior doctor in the UK, including various components like basic pay, additional hours, night shifts, and weekends.

Who is the speaker of the video transcript?

The speaker of the video transcript is Abhinav Kumar, a junior doctor working in the UK and an international medical graduate from India.

What is the basic annual salary of an FY2 doctor in the UK according to the transcript?

The basic annual salary of an FY2 doctor in the UK, as mentioned in the transcript, is £34,000.

What is meant by 'banding' in the context of the video?

In the context of the video, 'banding' refers to the method of calculating and distributing extra pay for hours worked outside of routine business hours, ensuring a consistent monthly salary despite variable work hours.

How is the basic pay of a junior doctor calculated?

The basic pay of a junior doctor is calculated based on the assumption of working 40 hours a week for 4.34 weeks in a month, which equals 173.81 hours, multiplied by the hourly rate.

What is the significance of the nodal points in determining a junior doctor's salary?

The nodal points are significant in determining a junior doctor's salary as they represent different stages or increments in their career path, with each nodal point corresponding to a specific salary level.

What is the additional pay for working anti-social hours, such as nights?

The additional pay for working anti-social hours, such as nights, is typically around 33% of the basic pay for those hours worked outside of the standard business day.

How does the European Working Time Directive (EWTD) affect the working hours of a junior doctor?

The European Working Time Directive (EWTD) sets a limit on the number of hours a junior doctor can work per week, with a standard of 40 hours, and also dictates the conditions for additional hours worked beyond this limit.

What is the role of Pay As You Earn (PAYE) in the taxation of a junior doctor's salary?

Pay As You Earn (PAYE) is the system where a portion of the salary is withheld by the employer and paid as taxes to the government on a monthly basis, based on the individual's income and tax bracket.

What are the main deductions from a junior doctor's salary as described in the transcript?

The main deductions from a junior doctor's salary, as described in the transcript, include Pay As You Earn taxes, National Insurance, pension contributions, and the cost of the CRB Enhanced Check.

What is the purpose of the NHS pension and why is it beneficial for junior doctors to contribute to it?

The NHS pension is a retirement savings plan provided to NHS employees, which is considered one of the best pension plans. It is beneficial for junior doctors to contribute to it because it offers long-term financial security and potential tax savings.

How does the speaker calculate the net effective income after taxes and deductions?

The speaker calculates the net effective income by subtracting taxes, National Insurance, pension contributions, and other deductions from the total pre-tax salary.

What is the estimated annual take-home salary for the speaker after taxes and deductions?

The estimated annual take-home salary for the speaker after taxes and deductions is around £35,000.