National Insurance rates and categories
Contribution rates
Employee National Insurance rates
This table shows how much employers deduct from employees’ pay from 6 November 2022 to 5 April 2023.
| Category letter | £123 to £242 (£533 to £1,048 a month) | £242.01 to £967 (£1,048.01 to £4,189 a month) | Over £967 a week (£4,189 a month) |
|---|---|---|---|
| A | 0% | 12% | 2% |
| B | 0% | 5.85% | 2% |
| C | N/A | N/A | N/A |
| F | 0% | 12% | 2% |
| H | 0% | 12% | 2% |
| I | 0% | 5.85% | 2% |
| J | 0% | 2% | 2% |
| L | 0% | 2% | 2% |
| M | 0% | 12% | 2% |
| S | N/A | N/A | N/A |
| V | 0% | 12% | 2% |
| Z | 0% | 2% | 2% |
Example
If you’re in category A and you earn £1,000 in a week you’ll pay:
- nothing on the first £242
- 12% (£87) on your earnings between £242.01 and £967
- 2% (£0.66) on the remaining earnings above £967
This means your National Insurance payment will be £87.66 for the week.
Employer National Insurance rates
This table shows how much employers pay towards employees’ National Insurance from 6 November 2022 to 5 April 2023.
| Category letter | £123 to £175 (£533 to £758 a month) | £175.01 to £481 (£758.01 to £2,083 a month) | £481.01 to £967 (£2,083.01 to £4,189 a month) | Over £967 a week (£4,189 a month) |
|---|---|---|---|---|
| A | 0% | 13.8% | 13.8% | 13.8% |
| B | 0% | 13.8% | 13.8% | 13.8% |
| C | 0% | 13.8% | 13.8% | 13.8% |
| F | 0% | 0% | 13.8% | 13.8% |
| H | 0% | 0% | 0% | 13.8% |
| I | 0% | 0% | 13.8% | 13.8% |
| J | 0% | 13.8% | 13.8% | 13.8% |
| L | 0% | 0% | 13.8% | 13.8% |
| M | 0% | 0% | 0% | 13.8% |
| S | 0% | 0% | 13.8% | 13.8% |
| V | 0% | 0% | 0% | 13.8% |
| Z | 0% | 0% | 0% | 13.8% |
Class 1A and Class 1B rates
Employers pay Class 1A and 1B National Insurance on expenses and benefits they give to their employees. The rate from 6 November 2022 to 5 April 2023 on expenses and benefits is 14.53%.
They must also pay Class 1A on some other lump sum payments, for example redundancy p
If you’re self-employed and your profits are £12,570 or more a year, you usually pay Class 2 and Class 4 National Insurance rates.
If you’re self-employed and your profits are £12,570 or more a year, you usually pay Class 2 and Class 4 National Insurance rates.
You work out your profits by deducting your expenses from your self-employed income.
How much you pay
| Class | Rate for tax year 2023 to 2024 |
|---|---|
| Class 2 | £3.45 a week |
| Class 4 | 9% on profits between £12,570 and £50,270 2% on profits over £50,270 |
You can see National Insurance rates for past tax years.
How to pay
Most people pay Class 2 and Class 4 National Insurance through Self Assessment.
You must tell HM Revenue and Customs (HMRC) when you become self-employed as a sole trader or as a partnership.
Special rules for specific jobs
Some self-employed people do not pay National Insurance through Self Assessment, but may want to pay voluntary contributions. These are:
- examiners, moderators, invigilators and people who set exam questions
- people who run businesses involving land or property
- ministers of religion who do not receive a salary or stipend
- people who make investments for themselves or others – but not as a business and without getting a fee or commission