Example
Pay rise from £40,000 to £45,000
A worked example showing how a headline raise turns into a smaller but clearer monthly gain.
Scenario
A rise from £40,000 to £45,000 is a useful benchmark because it is large enough to feel meaningful but small enough to highlight marginal tax effects clearly.
What to compare
Look at both the annual increase and the monthly difference to judge whether the raise changes your day-to-day budget.