National Insurance Rates 2026/27: Complete Guide for Employers and Employees

National Insurance Rates 2026/27

National Insurance contributions (NICs) fund state benefits including the State Pension. This guide covers all NI rates and thresholds for the 2026/27 tax year.

Employee National Insurance (Class 1)

Earnings Threshold	Weekly	Annual
Primary Threshold (PT)	£242	£12,570
Upper Earnings Limit (UEL)	£967	£50,270

Employee NI Rates:

Earnings Level	Rate
Below Primary Threshold	0%
Between PT and UEL	8%
Above UEL	2%

Employer National Insurance

Earnings Threshold	Weekly	Annual
Secondary Threshold (ST)	£175	£9,100
Upper Secondary Threshold (UST)	£967	£50,270

Employer NI Rate: 15% on all earnings above the Secondary Threshold

Employment Allowance 2026/27

Eligible employers can claim the Employment Allowance of £10,500 to reduce their employer NI bill. This is available if:

• Your employer NI liability was under £100,000 in the previous year
• You're not a company with a single director and no other employees

Self-Employed National Insurance

Class 2 NICs:

• No longer compulsory but can be paid voluntarily
• Rate: £3.45 per week
• Qualifies you for State Pension and certain benefits

Class 4 NICs:

Profit Level	Rate
Below £12,570	0%
£12,570 - £50,270	6%
Above £50,270	2%

Example Calculations

Employee earning £40,000:

• Earnings above PT: £40,000 - £12,570 = £27,430
• NI: £27,430 × 8% = £2,194 per year

Employer NI on £40,000 salary:

• Earnings above ST: £40,000 - £9,100 = £30,900
• Employer NI: £30,900 × 15% = £4,635 per year

Self-employed profit £60,000:

• Class 4 (£12,570 - £50,270): £37,700 × 6% = £2,262
• Class 4 (above £50,270): £9,730 × 2% = £195
• Total Class 4: £2,457 per year

NI Credits and Gaps

You may receive NI credits if you're:

• Claiming certain benefits
• On parental leave
• Caring for someone
• A registered foster carer

Check your NI record at gov.uk to identify any gaps that could affect your State Pension.

Key Changes for 2026/27

1. Employer NI rate - Now at 15% (increased from 13.8%)
2. Secondary Threshold - Reduced to £9,100 (from £9,100)
3. Employment Allowance - Increased to £10,500

Calculate Your National Insurance

Use our National Insurance Calculator for instant calculations based on your salary or self-employed profits.