National Insurance is the tax from earnings from our jobs. National Insurance contributions are paid into a pot, where many state benefits are funded. This includes benefits such as:
National Insurance is paid by employers and employees as well as self-employed workers. The need to pay contributions to National Insurance stops once you reach state pension age.
National Insurance increase from April 2022
As we introduce the new financial year, the UK is also welcoming an increase in National Insurance. From April 6th 2022, to 5th April 2023, National Insurance contributions will be increased by 1.25 percentage points. This increase is hoped to help pay for the NHS and Health and Social Care in the UK.
The increase will apply to:
This increase does not alloy to anyone over the State Pension age.
You can expect to pay Class 1 National Insurance contributions if you are employed. This is the rate for most people.
|
Your pay |
Class 1 National Insurance rate |
|
£190 to £967 a week (£823 to £4,189 a month) |
13.25% |
|
Over £967 a week (£4,189 a month) |
3.25% |
However, you will pay less if you are a married woman or widow with valid certification of the election, or you are deferring your payments because you have more than one job.
Your National Insurance is paid with your tax and will be taken from your wages before you get paid; all of this will be shown on your payslips.
If you have any questions about your payslips, national insurance contributions, or how you are affected by this increase, please contact your employer.