UK National Insurance Calculator

Employees pay Class 1 National Insurance at 8% on earnings between the Primary Threshold of £12,570 and the Upper Earnings Limit of £50,270, and 2% on earnings above £50,270. The 8% main rate followed a cut from 10% on 6 April 2024 and is unchanged for 2025/26. This calculator applies both rates to your salary.

It depends on your salary. You pay nothing on the first £12,570, then 8% on earnings up to £50,270, then 2% on anything above. For example, a £35,000 salary pays 8% on £22,430 = £1,794.40 a year. Enter your salary above and the calculator shows the yearly and monthly figures.

The Primary Threshold is the earnings level above which employees start paying Class 1 National Insurance — £12,570 a year for 2025/26, aligned with the income-tax personal allowance. You pay no employee NI on earnings below this threshold.

The Upper Earnings Limit is £50,270 for 2025/26. Earnings between the Primary Threshold and the Upper Earnings Limit are charged at the 8% main rate; earnings above the Upper Earnings Limit are charged at the lower 2% rate. The £50,270 figure aligns with the higher-rate income-tax threshold.

National Insurance is designed so that the highest earners pay a lower marginal NI rate on income above the Upper Earnings Limit — 2% rather than 8%. This means your NI as a percentage of total salary actually falls as your salary rises well above £50,270, unlike income tax which rises.

No — they are separate deductions. Income tax funds general government spending and uses the 20%/40%/45% bands; National Insurance funds contributory benefits like the State Pension and uses the 8%/2% employee rates. Most employees pay both on their salary, which this calculator handles for the NI side.

No. Once you reach State Pension age you stop paying employee National Insurance, even if you keep working — though your employer still pays their share. This calculator assumes you are below State Pension age; if you are over it, your employee NI is generally nil.

For employees, National Insurance is deducted automatically from each payslip through PAYE, alongside income tax, and paid to HMRC by your employer. You do not normally need to do anything. This calculator shows the annual and monthly amounts you should expect to see deducted.

Yes. Paying (or being credited with) National Insurance builds 'qualifying years' towards your State Pension and other contributory benefits. You generally need about 35 qualifying years for the full new State Pension and at least 10 to get any. This is why NI is more than just a tax.

The self-employed pay Class 4 National Insurance (6% and 2%) on profits rather than Class 1, and Class 2 is no longer required for most. This calculator covers employee Class 1 NI; if you are self-employed, use our Self-Employed / Self Assessment calculator instead.

Directors use an 'annual earnings period' method, which can change the timing of NI across the year but generally produces a similar annual total to the standard method for a steady salary. This calculator uses the standard annual basis, so it is a close estimate for most directors on a regular salary.

Yes. With salary sacrifice, you give up part of your salary for an employer pension contribution, and because that amount is no longer salary, you pay less National Insurance (and income tax) on it. This calculator works on gross salary; if you use salary sacrifice, enter the reduced salary figure.

Yes. Bonuses are earnings and attract employee National Insurance at the same 8%/2% rates depending on where they fall relative to the thresholds. A bonus that pushes part of your earnings above £50,270 is charged at 2% on that portion. Include bonuses in your salary figure for a full-year estimate.

Yes — National Insurance is a UK-wide tax with the same rates and thresholds across the UK, including Scotland. Unlike income tax, where Scotland sets its own bands, NI does not differ by nation, so this calculator applies throughout the UK.

Generally yes — if you work in the UK you pay UK National Insurance, and under the US/UK Totalization Agreement you are usually exempt from US Social Security tax on the same earnings. A certificate of coverage evidences which system you belong to. This matters for US citizens to avoid paying into both systems.

It applies the 2025/26 employee Class 1 rates (8% and 2%) and thresholds (£12,570 and £50,270), so it is accurate for a standard employee salary. It does not model the director's annual-earnings-period method, multiple jobs, or salary sacrifice unless you adjust the input, so treat it as a strong estimate.

National Insurance is generally worked out separately for each job, so the thresholds can apply to each employment — which can mean you pay differently than a single salary of the same total. This calculator assumes one job; if you have several, run each salary separately and add the results.

The calculation runs entirely in your browser and nothing is stored unless you choose to download the branded PDF report, at which point you provide your name and email so we can send it. Phone and address are optional.

Yes. Enter your name and email (phone and address optional) and we generate a TaxStone-branded PDF of your National Insurance breakdown to download instantly — handy for budgeting or sharing with your accountant.

If you have multiple income sources, a US/UK element, or are a company director weighing salary versus dividends, a quick review can save real tax and NI. Book a free 20-minute call with a TaxStone adviser to check your position.