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The UK’s National Insurance bands and rates have recently changed. If you are an employee, self employed or an employer, it’s worth familiarising yourself with the changes which can be found below.

National Insurance contributions are calculated weekly, but many people like to know their annual contribution. Below you can find a breakdown of both:

Employee National Insurance Contributions for 2017/2018
Lower earnings limit (LEL) – Earnings below this amount will incur no NICs – £113 per week / £5,876 per year
Primary threshold (PT) – Earnings below this amount will incur no NICs – £157 per week / £8,164 per year
Upper earnings limit (UEL) – Earnings above the Primary threshold and below the Upper earnings limit will be taxed at 12% – £866 per week / £45,000 per year

Employer National Insurance Contributions for 2017/2018
Secondary threshold (ST) – Income above this will incur Employer NICs at a rate of 13.8% – £157 per week / £8,164 per year

Self-employed National Insurance contributions for 2017/2018
Small profits threshold (SPT) – Earnings below this amount incur no NICs – £6,025 per year
Lower Profits limit (LPT) – Earnings up to this limit incur Class 2 NICs – £8,164 per year
Class 2 NICs – £2.85 per week
Upper profits limit (UPL) – Earnings up to this limit incur further Class 2 NICs and Class 4 NICs of 9%. – £866 per week / £45,000 per year

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