Current National Insurance Rates
For more detailed information please visit the HMRC Website. Links on this page will direct you to HMRC pages for further explanation.
| RATES – CLASS 1 EMPLOYER AND EMPLOYEE | 2020/21 | 2021/22 | 2022/23 |
|---|---|---|---|
| Thresholds (per week) | |||
| Lower earnings limit (LEL) (employees and employers) | £120 | £120 | £123 |
| Primary threshold (PT) (employees) | £183 | £184 | £242* |
| Secondary threshold (ST) (employers) | £169 | £170 | £175 |
| Upper earnings limit (UEL) (employees only) | £962 | £967 | £967 |
| Upper secondary threshold (UST) for under 21s (employers) | £962 | £967 | £967 |
| Apprentice upper secondary threshold (AUST) for under 25s (employers) | £962 | £967 | £967 |
* From 6th July 2022 – £190 from 6th April to 5th July
| RATES – CLASS 1 EMPLOYER AND EMPLOYEE | 2020/21 | 2021/22 | 2022/23 |
|---|---|---|---|
| Employee rates | |||
| Earnings below LEL | 0% | 0% | 0% |
| Earnings between LEL and PT | 0% | 0% | 0% |
| Earnings between PT and UEL | 12% | 12% | 13.25% |
| Married woman’s reduced rate, earnings between PT and UEL | 5.85% | 5.85% | 5.85% |
| Deferred rate for certain employees with more than one job | 2% | 2% | 3.25% |
| Earnings above UEL | 2% | 2% | 3.25% |
| Employer rates | |||
| Earnings below ST, UST or AUST | 0% | 0% | 0% |
| Above ST, UST or AUST | 13.8% | 13.8% | 15.05% |
| Employment allowance | |||
| Employment allowance (EA) – annual allowance, per business – offset against employer’s Class 1 NICs | £3,000 | £4,000 | £5,000 |
| Other employer rates | |||
| Class 1A – on employer-provided benefits-in-kind | 13.8% | 13.8% | 15.05% |
| Class 1B – on PAYE settlement agreements | 13.8% | 13.8% | 15.05% |
Termination payments
From April 2018, employer NICs will be due on termination payments above £30,000 that are already subject to income tax.
The first £30,000 of a termination payment will remain exempt from income tax and the full payment will be outside the scope of employee NICs.