🇬🇧 United Kingdom

National Insurance Calculator

Calculate your National Insurance contributions for 2025/26. Employee, employer, and self-employed NI with current HMRC rates and thresholds.

£
Your total gross pay before tax and NI
How often you are paid
NI is calculated separately per job
Directors can use annual or cumulative NI method
--

Try another scenario

How to Use This Calculator

Employee NI tab

The default tab. Enter your annual gross salary and see your Class 1 NI breakdown instantly. The calculator shows NI at 8% on earnings between the Primary Threshold (£12,570) and Upper Earnings Limit (£50,270), plus 2% above UEL. Expand “More options” for multiple jobs and company director NI methods.

Employer NI tab

For business owners and HR teams. Enter the employee salary, pension contributions, and benefits in kind. See the full employer NI cost at 15% above the £5,000 Secondary Threshold, Employment Allowance offset (£10,500), Apprenticeship Levy (if payroll exceeds £3M), and total employment cost per employee.

Self-Employed NI tab

Enter your annual profit from self-employment. The calculator shows Class 4 NI (6%/2%) and optional Class 2 NI (£3.50/week for State Pension qualification). It also compares your NI to what an employee would pay on the same income.

Share your result

Every input is encoded in the URL. Click Share to send your exact scenario to an accountant, business partner, or HMRC advisor.

The Formula

National Insurance is calculated differently for employees, employers, and the self-employed:

Employee (Class 1 Primary) 2025/26:
NI = (min(Salary, £50,270) - £12,570) × 8%
    + max(0, Salary - £50,270) × 2%

Employer (Class 1 Secondary) 2025/26:
Employer NI = (NIable Pay - £5,000) × 15%
Net NI = Employer NI - Employment Allowance (up to £10,500)

Self-Employed (Class 4) 2025/26:
Class 4 = (min(Profit, £50,270) - £12,570) × 6%
        + max(0, Profit - £50,270) × 2%
Class 2 = £3.50/week × 52 = £182.00/year (voluntary)

The key difference between employee and self-employed NI: employees pay 8% on the main band while self-employed pay only 6%. This reflects the fact that employees also benefit from their employer paying 15% NI on top.

Employer NI is a hidden cost of employment — on a £35,000 salary, the employer pays an additional £4,500 in NI (before Employment Allowance).

Example

Chris — Marketing Manager, £42,000 salary

Chris earns £42,000 gross annual salary as an employee. His employer also pays 5% pension contribution (£2,100) and provides private medical insurance worth £800/year.

Employee NI (Chris pays)

Gross salary£42,000
8% on £12,570 to £42,000£2,354
2% above UEL£0
Annual employee NI£2,354
Monthly NI£196
Effective NI rate5.6%

Employer NI (Chris’s employer pays)

NIable pay (£42,000 + £800 BIK)£42,800
15% on £5,000 to £42,800£5,670
Employment Allowance (shared)-£1,050
Net employer NI£4,620
Total cost to employer£48,720

Chris’s true cost to his employer is £48,720 — that’s £42,000 salary + £4,620 employer NI + £2,100 pension. The employer NI alone adds 11% to the salary cost.

FAQ

On a £35,000 salary in 2025/26, you pay £1,794 per year in employee NI. That’s 8% on the £22,430 between the Primary Threshold (£12,570) and your salary. Monthly, that’s £150. Your effective NI rate is 5.1%.
The Autumn Budget 2024 announced a 1.2 percentage point increase in employer NI (from 13.8% to 15%) and a reduction in the Secondary Threshold from £9,100 to £5,000. This raises an estimated £25 billion per year. To protect small businesses, Employment Allowance was increased from £5,000 to £10,500, and the £100,000 eligibility cap was removed.
No. From April 2024, Class 2 NI became voluntary. However, paying £3.50/week (£182.00/year) qualifies you for the State Pension and contributory benefits like Maternity Allowance. If you don’t pay, this year won’t count towards your 35 qualifying years for the full New State Pension. Check your State Pension forecast at gov.uk/check-state-pension.
The Primary Threshold is £12,570 per year (£242/week, £1,048/month). You start paying employee NI when your earnings exceed this amount. It’s aligned with the Income Tax Personal Allowance, meaning you start paying both income tax and NI at the same point.
Most employers can claim Employment Allowance, which reduces their employer NI bill by up to £10,500 per year (2025/26). The main exclusion is single-director companies with no other employees. The previous £100,000 eligibility cap has been removed, so all qualifying employers can claim regardless of the size of their previous year’s NI bill. Claim through your payroll software or HMRC.

Related Calculators

Add This Calculator to Your Website

Embed the sum.money National Insurance Calculator on your site. Free, responsive, always up-to-date with HMRC rates.

<iframe src="https://sum.money/embed/uk/national-insurance-calculator" width="100%" height="600"></iframe>