National insurance contributions

Class 1 (employees) not contracted out of state second pension (S2P)
2013/14 2012/13
Employee: Employee:
No NICs where earnings are up to £149 pw No NICs where earnings are up to £146 pw
12% NICs on £149.01-£797 pw 12% NICs on £146.01-£817 pw
2% NICs over £797 pw 2% NICs over £817 pw
Employer: Employer:
No NICs on the first £148 pw No NICs on the first £144 pw
13.8% NICs over £148 pw 13.8% NICs over £144 pw
   
Earnings limit or threshold 2013/14 2012/13
   Weekly   Monthly   Annual 
 Weekly 
 Monthly 
 Annual 
£ £ £ £ £ £
Lower earnings limit 109 473 5,668 107 464 5,564
Secondary earnings threshold 148 641 7,696 144 624 7,488
Primary earnings threshold 149 646 7,755 146 634 7,605
Upper accrual point 770 3,337 40,040 770 3,337 40,040
Upper earnings limit 797 3,454 41,450 817 3,540 42,475
             
Contracted-out S2P rebate 2013/14 2012/13
Reduction on band earnings* £109.01-£770 pw £107.01-£770 pw
Employer rate reduction 3.4% 3.4%
Employee rate reduction

1.4%

1.4%
     
* Salary-related schemes only.  
     
Class 1A (employers) 2013/14 2012/13
Most taxable employee benefits 13.8%  13.8%
     
Class 2 (self-employed) 2013/14 2012/13
Flat rate £2.70 pw
£140.40 pa
£2.65 pw
£137.80 pa
Small earnings exception £5,725 pa £5,595 pa
     
Class 4 (self-employed) 2013/14 2012/13
On profits £7,755-£41,450 pa
9%
£7,605-£42,475 pa
9%
  Over £41,450 pa
2%
Over £42,475 pa
2%
     
Class 3 (voluntary) 2013/14 2012/13
Flat rate £13.55 pw
£704.60 pa
£13.25 pw
£689.00 pa

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