National Insurance Contributions
National Insurance Contributions (Table D)
| Class 1 (Employees) | Employee | Employer |
|---|---|---|
| Main NIC rate | 12% | 13.8% |
| No NIC on first | £183pw | £169pw |
| Main rate* charged up to | £962pw | no limit |
| 2% rate on earnings above | £962pw | N/A |
| Employment allowance per qualifying business | N/A | £4,000 |
*Nil rate of employer NIC for employees under the age of 21 and apprentices under 25, up to £962pw.
Employer contributions (at 13.8%) are also due on most taxable benefits (Class 1A) and on tax paid on an employee’s behalf under a PAYE settlement agreement (Class 1B).
Class 2 (Self employed)
| Flat rate per week | £3.05 |
| Small profits threshold | £6,475 |
Class 3 (Voluntary)
| Flat rate per week | £15.30 |
Class 4 (Self employed)
| On profits £9,500 – £50,000 | 9.0% |
| On profits over £50,000 | 2.0% |