National insurance contributions
National insurance contributions and rates in 2013/14
| Class 1 (not contracted out) | Employer | Employee |
| Lower earnings limit | £109 | |
| Payable on weekly earnings | ||
| £109.01-£148 | n/a | 0% |
| £148.01 - £149 | 13.8% | 0% |
| £149.01 - £797 | 13.8% | 12% |
| Over £797 | 13.8% | 2% |
| Payable on monthly earnings | ||
| £473.91 - £641 | n/a | 0% |
| £641.01 - £646 | 13.8% | 0% |
| £646.01 - £3,337 | 13.8% | 12% |
| Over £3,337 | 13.8% | 2% |
| Over state retirement age | 13.8% | n/a |
| Class 1A (on relevant benefits) | 13.8% | n/a |
| Class 1B (on PAYE settlement arrangement) | 13.8% | |
| Class 2 (self employed) | £2.70 per week | |
| Class 2 contributions - share fishermen | £3.35 per week | |
| Class 2 contributions - volunteer development workers | £5.45 per week | |
| Limit of net earnings for exception | £5,725 per annum | |
| Contributions cease at state retirement age | ||
| Class 3 (voluntary) | £13.55 per week | |
| Class 4* (Self employed on profits) | ||
| £7,755 to £41,450 | 9% | |
| Excess over £41,450 | 2% | |
| *Exemption applies if state retirement age was reached by 6 April 2013. | ||
| Maximum contributions | ||
| Class 1 | £4,121.28 + 2% of earnings over £41,450 pa. | |
| Class 2 and Class 4 | £3,032.55 + 2% of profits over £41,450 pa. | |
Notes
- For children under 16, and employees over state pension age there are no national insurance contributions payable, but employers' contributions remain payable.
Did you know?
That the Treasury is expecting to raise £106.7 billion (2012/13 £103.8 billion) from national insurance contributions. In the current year this represents almost 80 per cent of the receipts from PAYE.
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