National Insurance Contributions
Class 1 employee | Employee | Employer | |||||||
NICs rate | 12% | 13.8% | |||||||
No NICs for employees generally on the first: | £166 pw | £166 pw | |||||||
No NICs for younger employees* on the first: | £166 pw | £962 pw | |||||||
NICs rate charged up to | £962 pw | No limit | |||||||
2% NICs on earnings over | £962 pw | N/A | |||||||
Certain married women | 5.85% | 13.8% | |||||||
* Employees generally under 21 years and apprentices under 25 years |
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Employment Allowance | |||||||||
Per business. Not available if the sole employee a director | £3,000 | £3,000 |
Limits and thresholds | |||||||||
Weekly | Monthly | Annual | |||||||
Lower earnings limit | £118 | £512 | £6,136 | ||||||
Primary threshold | £166 | £719 | £8,632 | ||||||
Secondary threshold | £166 | £719 | £8,632 | ||||||
Upper earnings limit (and upper secondary thresholds*) | £962 | £4,167 | £50,000 | ||||||
* Employees generally under 21 years and apprentices under 25 years |
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Class 1A Employer | |||||||||
On car and fuel benefits and most other taxable benefits provided to employees and directors | 13.8% | ||||||||
Self-employed | |||||||||
Class 2 | |||||||||
Flat rate | £3.00 pw £156.00 pa | ||||||||
Small profits threshold: no compulsory NICs if profits do not exceed |
£6,365 pa |
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Class 4 | |||||||||
On profits | £8,632 – £50,000 pa: 9% Over £50,000 pa: 2% |
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Voluntary | |||||||||
Class 3 Flat rate | £15.00 pw £780.00 pa | ||||||||