Legislation
Class 1 National Insurance Rates 2024-25
Date
Effective FY 24-25
Summary
Employee (primary) contribution rates
| National Insurance category letter | Earnings above PT up to and including UEL | Balance of earnings above UEL |
|---|---|---|
| A - Standard rate | 8% | 2% |
| B - Reduced rate | 1.85% | 2% |
| C - Above SPA | Nil | Nil |
| F - Freeport standard rate | 8% | 2% |
| H - Apprentice under 25 | 8% | 2% |
| I - Freeport reduced rate | 1.85% | 2% |
| J - Deferment | 2% | 2% |
| L - Freeport deferment | 2% | 2% |
| M - Under 21 | 8% | 2% |
| S - Freeport above SPA | Nil | Nil |
| V - Veteran | 8% | 2% |
| Z - Deferment under 21 | 2% | 2% |
Employer (secondary) contribution rates
| Contribution Table Letter | Earnings below LEL | Earnings at or above the LEL up to and including the ST | Earnings above the ST up to and including the FUST | Earnings above the FUST up to and including UST/AUST/VUST | Balance of earnings above UST/AUST/VUST |
|---|---|---|---|---|---|
| A - Standard Rate | NIL | 0 | 13.8% | 13.8% | 13.8% |
| B - Reduced Rate | NIL | 0 | 13.8% | 13.8% | 13.8% |
| C - Over State Pensions Age | NIL | 0 | 13.8% | 13.8% | 13.8% |
| F - Freeport Standard Rate | NIL | 0 | 0 | 13.8% | 13.8% |
| H - Apprentice under 25 | NIL | 0 | 0 | 0 | 13.8% |
| I - Freeport Reduced Rate | NIL | 0 | 0 | 13.8% | 13.8% |
| J - Deferment | NIL | 0 | 13.8% | 13.8% | 13.8% |
| L - Freeport Deferment | NIL | 0 | 0 | 13.8% | 13.8% |
| M - Under 21 | NIL | 0 | 0 | 0 | 13.8% |
| S - Freeport Above SPA | NIL | 0 | 0 | 13.8% | 13.8% |
| V - Veteran | NIL | 0 | 0 | 0 | 13.8% |
| Z - Deferment under 21 | NIL | 0 | 0 | 0 | 13.8% |
Please note: 2023-2024 saw Class 1 NICs return to normal in that a separate set of rates and thresholds for directors are not required. The attached rates and thresholds table is for employees and directors.
Employers pay Class 1A and 1B National Insurance on expenses and benefits they give to their employees. The rate from 6 April 2024 returns to 13.8%.
Class 1A NICs rate: 13.8%
Class 1B NICs rate: 13.8%
Tax fact card 2024 – 2025
Download your FREE tax fact card to find out the latest changes to payroll tax & legislation from April 2024. This PDF card includes all the key payroll rates and dates that…