In this guide

What is National Insurance?

National Insurance contributions help build entitlement to certain state benefits and the State Pension. The class and amount depend on the person’s work and earnings.

Employee National Insurance

Most employees pay Class 1 contributions at 8% on earnings between £242 and £967 a week, then 2% on earnings above £967. The monthly equivalents are £1,048 and £4,189. The exact result depends on the category letter and payroll period.

Employer National Insurance

For most employers, secondary Class 1 National Insurance is normally 15% on earnings above £96 a week or £417 a month. Different thresholds and reliefs apply to some employees, including eligible Freeport and Investment Zone employees.

Self-employed National Insurance

For 2026 to 2027, self-employed people pay Class 4 at 6% on profits over £12,570 up to £50,270, then 2% above £50,270. Voluntary Class 2 is £3.65 a week where applicable.

Responsibilities

  • Use the correct employee category and payroll information.
  • Apply current thresholds and rates for the tax year.
  • Report contributions through the appropriate process.
  • Keep payroll and profit records that support the calculation.

Official sources

Rates and deadlines can change. Use these links to check a rate, deadline or eligibility rule.

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