Apprenticeship Levy Calculator

Contents

Apprenticeship Levy Calculator Quick Guide

Work out your apprenticeship levy in seconds. Enter your annual pay bill and our free calculator shows what you contribute each year, how much is sitting in your account unspent, and how many apprenticeships that funding could cover. No sign-up, no spreadsheet.

If you employ in the UK with a pay bill over £3 million, you pay 0.5% of it into your apprenticeship levy account, minus a £15,000 allowance. The maths is simple, but the planning isn’t, especially now that from August 2026 your funds expire in 12 months instead of 24. This tool turns your numbers into a plan you can act on before any of it lapses.

How is the apprenticeship levy calculated?

Your levy is 0.5% of your annual pay bill, minus the £15,000 allowance every employer gets. The levy allowance cancels out the first £3 million of pay bill, so only employers above that threshold actually pay.

£3m pay bill → £0

£5m pay bill → £10,000 a year

£10m pay bill → £35,000 a year
Our calculator does this instantly and then shows what you can do with the funds.

Why Levy planning is important

The Apprenticeship Levy is a government scheme that requires eligible employers to contribute towards apprenticeship funding.

If your organisation pays into the Levy, you can use those funds to invest in apprenticeship training for your workforce.

Many organisations do not fully use the funds available to them.

Without a clear plan, Levy contributions can expire or be used in ways that do not align with business priorities. Effective planning ensures that your investment delivers real value.

Understanding your Levy position

Before you can plan effectively, you need to understand:

• How much Levy you have available
• When funds will expire
• What training options are eligible
• How your workforce needs align with those options

This forms the foundation of a strong Levy strategy.

How the tend Levy calculator works

The tend Levy calculator is designed to simplify this planning process.

By capturing key details about your organisation and workforce, the calculator builds a clear picture of how your Levy funds can be used.

It translates complex levy funding rules into practical recommendations.

Building a structured training plan

The output focuses on turning your Levy budget into a plan you can act on for upskilling and training your apprentices.

You will see:

• Recommended apprenticeship pathways
• How to allocate Levy funds effectively
• Priority areas based on workforce needs
• A clear view of timing and utilisation

This helps ensure your Levy is used strategically rather than reactively.

Maximising the value of your Levy

Good Levy planning is not just about spending funds before they expire.

It is about aligning training to business goals, improving performance and supporting long term workforce development.

When done well, the Levy becomes a tool for growth rather than an obligation.

Avoiding wasted funding

Unspent Levy funds are lost after a set period.

A structured approach helps you:

• Track when funds are due to expire
• Prioritise high impact training
• Avoid last minute decisions that deliver limited value

Getting started with tend

The tend Levy planner gives you a clear, guided way to understand and use your funding.

It helps you move from uncertainty to a structured plan, so your Levy works for your organisation rather than against it.

To learn more, read our full employer’s guide to the apprenticeship levy and to use your levy funding towards healthcare apprenticeships are most suitable for your care organisation and staffing requirements.