NIM12027 - Class 1: Calculating Class 1 NICs for Directors: Annual earnings period: Examples

Regulation 8 Social Security (Contributions) Regulations 2001

The examples are to illustrate the principle of applying an annual earnings period.鈥� NIM12028鈥赌撯赌�狈滨惭12031鈥�relate to 2025 to 2026 and do not include any employments that attract an employer NICs relief听

The 2025 to 2026 rates and limits used are:听

Rates and Limits Weekly Amount
Annual Amount

Lower Earnings Limit (LEL)

拢125 拢6,500

Upper Earnings Limit (UEL)

拢967听 拢50,270

Secondary Threshold (ST)听

拢96 拢5,000

Primary Threshold (PT)听

拢242 拢12,570

Primary Main Rate

8%

Additional Rate 2%

Secondary Rate

15%听


Unless otherwise stated, the director has been in post at the beginning of the year.