National Insurance Contributions

 

Class 1 (not contracted out)

Employer

Employee

Payable on weekly earnings of

 

 

Below £112 (lower earnings limit)

Nil

£112 – £155 (primary threshold)

*0%

Up to £156 (Secondary theshold)

 

Above £156

 

Nil

 

13.8%

£155.01 –  £815 (upper earnings limit)

 

£156.01 – £815( upper secondary threshold – under 21s)

 

12%

 

0%

Above £815

**2%

*No NICs are catually payable but notational Class 1 NIC is deemed to have been paid; this protects certain basic state benefit entitlements.
**Over state retirement age, the employee contribution is generally nil.

 

Employment allowance                                                      Up to £2,000 (per year)

Class 1A

On relevant benefits

13.8%

 

Class 2

Self employed

£2.80 per week

 

 

Limit of net earnings for exception

£5,965 per annum

 

Class 3

Voluntary

£14.10 per week

 

 

Class 4*

Self employed on profits

 

 

 

 

£8,060 – £42,385

*9%

 

 

 

Excess over £42,385

*2%

 

 

*Exemption applies if state retirement age was reached by 6 April 2015