National insurance contributions

 

Class 1 Employees

2022/23

2021/22

Employee

Employer

Employee

Employer

NICs rate

13.25%

15.05%

12%

13.8%

No NICs for employees generally on the first

£190 pw

£175 pw

£184 pw

£170 pw

No NICs1 for:
younger/veteran employees on first
freeport employees on first


£190 pw
£190 pw


£967 pw
£481 pw


£184 pw
N/A


£967 pw
N/A

NICs rate charged up to

£967 pw

No limit

£967 pw

No limit

NICs on earnings over
(3.25% 2022/23; 2% 2021/22)

£967 pw

N/A

£967 pw

N/A

1 Employees generally under 21 years and apprentices under 25 years. Veterans in first 12 months of civilian employment. Employees at freeports in Great Britain in the first three years of employment starting from 6 April 2022.

Employment allowance

2022/23

2021/22

Per business

£4,000

£4,000

Not available if the sole employee is a director or employer’s NICs for 2021/22 £100,000 or more.

 

Earnings limits and thresholds

2022/23

2021/22

Weekly

Annual

Weekly

Annual

Lower earnings limit

£123

£6,396

£120

£6,240

Primary threshold

£190

£9,880

£184

£9,568

Secondary threshold

£175

£9,100

£170

£8,840

Upper earnings limit
(and upper secondary thresholds)

£967

£50,270

£967

£50,270

 

Class 1A Employers

2022/23

2021/22

Most taxable employee benefits

15.05%

13.8%

Class 2 Self-employed

2022/23

2021/22

Flat rate

£3.15 pw  £163.80 pa

£3.05 pw  £158.60 pa

Small profits threshold:
No compulsory NICs if profits do not exceed


£6,725 pa


£6,515 pa

Class 4 Self-employed

2022/23

2021/22

On profits

£9,880–£50,270 pa 10.25%

£9,568–£50,270 pa 9%

 

Over £50,270 pa 3.25%

Over £50,270 pa 2%

Voluntary

2022/23

2021/22

Class 3 flat rate

£15.85 pw  £824.20 pa

£15.40 pw  £800.80 pa

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