Subscribe to our e-news

Register now to receive regular e-news bulletins designed for business owners and individuals.

Please enter your email address below:

Related News

Making Tax Digital for Business update

Extensive changes to how taxpayers record and report income to HMRC are being introduced under a project entitled Making Tax Digital for Bus...

Read more >
15 Apr 2017
 

VAT Flat Rate Scheme - Limited cost trader

Changes are being made to the Flat Rate Scheme (FRS) which take effect from 1 April 2017. These changes may mean that the FRS is less attrac...

Read more >
10 Apr 2017
 

Construction Industry - Subcontractor verification

HMRC have confirmed in the latest Employer Bulletin that changes will be made to the verification of subcontractors in the construction Indu...

Read more >
12 Mar 2017
 

Related Blogs

Xero now has over one million subscribers!

At Prime we love Xero and have been fans from the start! It gives us immense satisfaction to see that Xero have now got more than One Millio...

Read more >
7 Apr 2017
 

Pool cars - are you satisfying the five conditions?

Another tax case has been lost by a tax payer due to them failing to satisfy HMRC that a company car was in fact a pool car.

Read more >
13 Mar 2017
 

What business can learn from sport

There are many correlations between Sport and Business, the planning and discipline that goes into being a successful athlete are equally ap...

Read more >
8 Dec 2016
 

  • Contact Prime Today

    Contact Prime Today

    For help with any areas of concern regarding your National Insurance, please contact us for a free initial meeting.

    Please Email Us >

National Insurance

Whether you are an employer, employee, employed or self-employed, awareness of National Insurance contributions (NICs) is vital. And with strong enforcement powers and anti-avoidance legislation available to HMRC, ensuring that you comply with your National Insurance contributions is of paramount importance.

Our quick reference chart below gives a brief overview of current NI contribution rates.

2012/13 Class 1 (employed) contracted in rates:

Employee     Employer  
Earnings per week           NIC           Earnings per week        NIC
Up to £146 Nil*   Up to £144 Nil
£146.01 - £817 12%   Over £144 13.8%
Over £817 2%      

* Entitlement to contribution-based benefits retained for earnings between £107 and £146 per week.

 

 Class 1A (employers)  13.8% on employee taxable benefits
 Class 1B (employers)      13.8% on PAYE Settlement Agreements
 Class 2 (self-employed)  Flat rate per week £2.65 small earnings exception £5,595 p.a.
 Class 3 (voluntary)   Flat rate per week £13.25
 Class 4 (self-employed)         9% on profits between £7,605 and £42,475 plus 2% on profits over £42,475

 

National Insurance Contributions build up your entitlement to specific benefits such as the State Pension and the amount you pay depends upon how much you earn so it’s important to ensure that professional advice is sought and compliance properly dealt with.

Call Prime Today - we're here to help

From calculating your contributions and submitting your NICs to advising on pay packages that minimise tax and NIC, Prime has a team of experts who can provide help with any areas of concern regarding your National Insurance. Please contact us for further information.

Coventry - 024 7651 8555 or Solihull - 0121 711 2468