Don’t forget that the new National Insurance increase to cover social care costs will be introduced from April 2022. The details can be found on the gov.uk website but the essential details are as shown below with links for further information:
From April 2022 the rate of National Insurance contributions you pay will change for one year. The amount you contribute will increase by 1.25% which will be spent on the NHS and social care across the UK.
This increase in National Insurance contributions will apply to:
- Class 1 (paid by employees)
- Class 4 (paid by self-employed)
- secondary Class 1, 1A and 1B (paid by employers)
The class you pay depends on your employment status and how much you earn. If you are working age and earn less than the National Insurance Primary Threshold or Lower Profits Limit you will pay nothing.
Employers will only pay on earnings above the Secondary Threshold.
If you have not yet budgeted for these increases or need assistance in calculating how they will impact your business then please contact MCC Accountants and one of our team will be happy to help.