National Insurance Contributions (NICs)

The new rates of NICs.

2017/18 Employee 
(Primary)
Employer
(Secondary)
Class 1
Payable on weekly earnings of    
Below £113 (lower earnings limit) Nil -
£113 to £157 (primary threshold) *0% -
Up to £157 (secondary threshold) - Nil
Above £157 - 13.8%
£157.01 - £866 (upper earnings limit) **12% -
£157.01 - £866 (under 21s and apprentices under 25) - 0%
Above £866 **2% -
*No NICs are actually payable but a notional Class 1 NIC is deemed to have been paid; this protects contributory benefit entitlement.
**Over state pension age, the employee contribution is generally nil.
Employment allowance     up to £3,000 (per year)
Class 1A On relevant benefits   13.8%
Class 2 Self-employed £2.85 per week
Small profits threshold £6,025 per annum
Class 3 Voluntary £14.25 per week
Class 4 Self-employed on annual profits  
£8,164 - £45,000 *9%
Excess over £45,000 *2%
*Exemption applies if state pension age was reached by 6 April 2017.

Future changes

Class 2 NICs will be abolished from April 2018.

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About us

Ling Phipp was founded in 1974 and nowadays has two partners, six managers plus trainees and support staff.

We serve clients in the East Midlands and all over the UK. Our out-of-town location, with easy parking, close to the M1 junction 25 (Nottingham/Derby - A52), is very convenient.

Company details

0115 949 6838

Ling Phipp, Cliffe Hill House, 22-26 Nottingham Road, Stapleford, Nottingham NG9 8AA


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Registered to carry on audit work in the UK and Ireland and regulated for a range of investment business activities by the Institute of Chartered Accountants in England and Wales. Details about our audit registration can be viewed at www.auditregister.org.uk, under reference number 6424855. This is the firm number provided by the Institute of Chartered Accountants in England and Wales.