2023 – 2024

Class 1 (earnings related)
Employees
Weekly EarningsRate
Up to £242 Nill
£242.01 – £967 12%
Over £9672%
Employers
Weekly EarningsRate
Up to £175Nill
Over £17513.8%
Employment Allowance
 £5,000 per employer (where employer NIC bill does not exceed £100,000)
Class 1A13.8% on employee taxable benefits
Class 1B (employers)13.8% on PAYE Settlement Agreements
Class 2 (self-employed)nil on profits between £6,725 and £12,570 plus £3.45 per week where profits over £12,570
Class 3 (voluntary contributions)flat rate per week £17.45
Class 4 (self-employed)9% on profits between £12,570 and £50,270 plus 2% on profits over £50,270

2022 – 2023

Class 1 (earnings related)
Employees
Weekly EarningsRate
First £242 0%
£242,01 – £967 13%
Over £967 3.25%
Lower earnings limit per week £190
Employers
Weekly EarningsRate
First £175 0%
Over £170 15.05%
Employment Allowance
 £5,000 per employer (where employer NIC bill does not exceed £100,000)
Class 1A£15.05
Class 2 (self-employed)£3.15 per week Small profit threshold £6,725
Class 3 (voluntary contributions)15.85%
Class 4 (self-employed)10.25% Profits for £11,908 – £50270

2021 – 2022

Class 1 (earnings related)
Employees
Weekly EarningsRate
First £184 0%
£184,01 – £967 12%
Over £967 2%
Lower earnings limit per week £120
Employers
Weekly EarningsRate
First £170 0%
Over £170 13.8%
Employment Allowance
 £4,000 per employer (where employer NIC bill does not exceed £100,000)
Class 1A & Class 1B£3.05 per week Small profit threshold
£6,515
Class 2 (self-employed)£15.40 per week
Class 3 (voluntary contributions)9% Profits between £9,568 – £50,270
Class 4 (self-employed)2% Profits over £50,270

If you are looking at National Insurance Contributions or planning your finances, please feel free to contact us. We can discuss your specific circumstances to help you plan tax efficiently.

2020 - 2021

Class 1 (not contracted out)EmployerEmployee
Payable on weekly earnings of  
Up to £120 (Lower Earnings Limit)NilNil
£120 - £183* (Primary Threshold) (see note)
NilNil
£183 - £962 (Upper Earnings Limit)13.8%12%
Over £96213.8%2%
Employment allowance** (per employer, per year)£4,000Nil
Over State Retirement Age, the employee contribution is generally Nil
Class 1A (on relevant benefits)13.8%Nil
Class 1B (on PAYE settlement arrangement)13.8%Nil
Class 2 (Self-employed)£3.05 per week
Limit of net earnings for class 2 exception£6,465 per annum
Class 3 (Voluntary)£15.30 per week
Class 4*** (Self-employed on profits)
£9,500 - £50,0009%
Excess over £50,0002%

*Secondary Threshold (ST) Employers start paying National Insurance from £169.

** With effect from 6th April 2016, companies are no longer able to reclaim the Employment Allowance where the director is the sole employee.

***Exemption applies if State Retirement Age was reached by 6 April 2018.

2019 - 2020

Class 1 (not contracted out)EmployerEmployee
Payable on weekly earnings of  
Up to £118 (Lower Earnings Limit)NilNil
£118 - £166 (Primary Threshold)NilNil
£166 - £962 (Upper Earnings Limit)13.8%12%
Over £96213.8%2%
Employment allowance** (per employer, per year)£3,000Nil
Over State Retirement Age, the employee contribution is generally Nil
Class 1A (on relevant benefits)13.8%Nil
Class 1B (on PAYE settlement arrangement)13.8%Nil
Class 2 (Self-employed)£3.00 per week
Limit of net earnings for class 2 exception£6,365 per annum
Class 3 (Voluntary)£15.00 per week
Class 4* (Self-employed on profits)
£8,632 - £50,0009%
Excess over £50,0002%
*Exemption applies if State Retirement Age was reached by 6 April 2018.
** With effect from 6th April 2016, companies are no longer able to reclaim the Employment Allowance where the director is the sole employee.

2018-19

Class 1 (not contracted out)EmployerEmployee
Payable on weekly earnings of  
Up to £116 (Lower Earnings Limit)NilNil
£116 - £162 (Primary Threshold)NilNil
£162 - £892 (Upper Earnings Limit)13.8%12%
Over £89213.8%2%
Employment allowance** (per employer, per year)£3,000Nil
Over State Retirement Age, the employee contribution is generally Nil
Class 1A (on relevant benefits)13.8%Nil
Class 1B (on PAYE settlement arrangement)13.8%Nil
Class 2 (Self-employed)£2.95 per week
Limit of net earnings for class 2 exception£6,205 per annum
Class 3 (Voluntary)£14.65 per week
Class 4* (Self-employed on profits)
£8,424 - £46,3509%
Excess over £46,3502%
*Exemption applies if State Retirement Age was reached by 6 April 2018.
** With effect from 6th April 2016, companies are no longer able to reclaim the Employment Allowance where the director is the sole employee.

With effect from 6th April 2015, no employer’s National insurance contributions are due for employees aged under 21 on earnings up to the Upper Secondary Threshold. From 6th April 2016, no employer’s National insurance contributions are due for apprentices up to 25, up to the Upper Secondary Threshold.

Please contact us for further information.