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National Insurance Contributions PDF Print

National Insurance Contributions

Class 1 Employee (primary)
Payable on weekly earnings of  
Below £112 (lower earnings limit) 0%
£112 - £155 (primary threshold) 0%*
£155.01 - £827 (upper earnings limit) 12%**
Above £827 2%**
* No NICs are actually payable but notional Class 1 NIC is deemed to have been paid; this protects certain state benefit entitlements.

** Over state pension age, the employee contribution is generally nil
  Employer (secondary)
Up to £156 (secondary threshold) Nil
Above £156 13.8%
£156.01 - £827 (upper secondary threshold - under 21s) 0%
£156.01 - £827 (apprentice upper secondary threshold for under 25s) 0%
   
Employment Allowance Up to £3,000 (per year)
   
Class 1A (on relevant benefits) 13.8%
   
Class 1B (on PAYE settlement arrangement) 13.8%
   
Class 2 (Self employed) £2.80 per week
Small profits threshold £5,965 per annum
   
Class 3 (Voluntary) £14.10 per week
   
Class 3A  
Voluntary contributions may be available to 5 April 2017 in order to obtain extra additional State Pension (maximum £25 a week) - variable contribution rates according to age.
   
Class 4* (Self employed on annual profits)  
£8,060 - £43,000 9%
Excess over £43,000 2%
*Exemption applies if state pension age was reached by 6 April 2016.
 

A&A Tax Consultants