National insurance contributions (NICs)
2019/20 Class 1 (employed) rates
|Earnings per week||%||Earnings per week||%|
|Up to £166||0||Up to £166||0|
|£166.01 – £962||12||Over £166||13.8|
Entitlement to contribution-based benefits for employees retained for earnings between £118.01 and £166 per week.
The employer rate is 0% for employees under 21 and apprentices under 25 on earnings up to £962 per week.
|Class 1A (employers)||On employee taxable benefits||13.8%|
|Class 1B (employers)||On PAYE Settlement Agreements||13.8%|
|Class 2 (self-employed)||Flat rate per week||£3.00|
|Small profits threshold||£6,365 per annum|
|Class 3 (voluntary)||Flat rate per week||£15.00|
|Class 4 (self-employed)||
On profits between £8,632 – £50,000
|Excess over £50,000||2%|
In a change to the government’s previous plans, Class 2 NICs are no longer set to be abolished from April 2019.