For a lot of workers, it’s pay day this weekend. Given the modifications to Nationwide Insurance coverage, this calculator estimates how a lot much less you’ll pay.
This Nationwide Insurance coverage calculator from HMRC and HM Treasury provides you an estimate as to how a lot much less you possibly can anticipate to pay following the reductions in impact from this month.
As a part of Jeremy Hunt’s 2024 Funds, he confirmed Nationwide Insurance coverage will likely be lower by 2p, taking the speed from 10% to eight% from 6 April.
This adopted on from the earlier Nationwide Insurance coverage Contributions (NICs) lower from 12% to 10%, which got here into impact from 6 January 2024.
The calculator helps workers see Nationwide Insurance coverage financial savings in your April pay packet, in comparison with March, and in addition in comparison with December 2023 earlier than the primary discount was applied.
Listed here are some estimates of Nationwide Insurance coverage financial savings based mostly on various wage ranges:
- £20,000: You’ll pay £49.53 in NI – £12 much less in April in comparison with March, and £25 much less in April in comparison with December. The equal discount in NICs over 12 months equals £297.
- £30,000: You’ll pay £116.20 in NI – £29 much less in April in comparison with March, and £58 much less in April in comparison with December. The equal discount in NICs over 12 months equals £697.
- £40,000: You’ll pay £182.87 in NI – £46 much less in April in comparison with March, and £91 much less in April in comparison with December. The equal discount in NICs over 12 months equals £1,097.
- £50,000: You’ll pay £249.53 in NI – £62 much less in April in comparison with March, and £125 much less in April in comparison with December. The equal discount in NICs over 12 months equals £1,497.
- £60,000, £70,000, £80,000, £90,000 and £100,000+: £63 much less in April in comparison with March, and £126 much less in April in comparison with December.
Whereas the calculator offers estimate of how a lot much less workers can pay in NICs, chances are you’ll need to head over to MoneySavingExpert.com. Its revenue tax calculator consists of superior choices resembling pension contributions and scholar mortgage funds that can assist you work out precisely how a lot you’ll have in your month-to-month pay packet.
Nationwide Insurance coverage charges have gone down for self-employed employees too – following the 1p lower within the Autumn Assertion final 12 months, from 6 April the primary charge of Class 4 NICs decreased to six%, after standing at 9% the 12 months earlier than.
