National insurance contributions

Class 1 (not contracted out)	Employer	Employee
Lower earnings limit		£97
Payable on weekly earnings
£110.01 - £844	12.8%	11%
Over £844	12.8%	1%
Payable on monthly earnings
£476 - £3,656	12.8%	11%
Over £3,656	12.8%	1%
Men 65 and over and women 60 and over	12.8%	Nil
Employees' contracted-out rebate	1.6%
Married women's reduced rate between £110 and £844	4.85%
Employers' contracted-out rebate, salary-related schemes	3.7%
Employers' contracted-out rebate, money purchase schemes	1.4%

Class 1A (on relevant benefits)	12.8%	Nil

Class 1B (on PAYE settlement arrangement)	12.8%

Class 2 (self employed)	£2.40 per week
Class 2 contributions - share fishermen	£3.05 per week
Class 2 contributions - volunteer development workers	£4.85 per week
Limit of net earnings for exception	£5,075 per annum
Contributions cease at state retirement age
Class 3 (voluntary)	£12.05 per week

Class 4 (* Self employed on profits)
£5,715 to £43,875	8%
Excess over £43,875	1%
*Exemption applies if state retirement age was reached by 6 April 2010.

Maximum contributions
Class 1 or Class 1 & 2	£4,279.22 + 1% of earnings over £844 p.w.
Class 2 and Class 4	£3,177.60 + 1% of profits over £43,875 a year

For those earning between £110 per week and £844 per week, employers receive a rebate of 1.4% on contracted out money purchase schemes or 3.7% on contracted out final salary schemes, and employees, a rebate of 1.6% for either scheme.
For children under 16, and employees over state pension age there are no national insurance contributions payable, but employers' contributions remain payable.

The revenue the Government are budgeting to generate from national insurance contributions this year amounts to £99 billion (2009/10 - £96 billion).

Related guides