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View Full Version : National insurance gets cut this weekend – how much more will you take home?



Neo
01-05-2024, 11:55 AM
A cut to national insurance was first announced by the Government last year and comes into effect on 6 January

https://wp.inews.co.uk/wp-content/uploads/2024/01/SEI_178222246.jpg?resize=640,360&strip=all&quality=90
Who will pay less national insurance?

From 6 January, all employed people that pay NI and earn over £12,570 – known as the ‘Class 1 Primary Threshold’ – will see their NI rate cut from 12 per cent to 10 per cent.
This means that if you earn £20,000, you will save just under £150 per year and if you earn £35,000 you will save around £450.
If you earn £50,000, you will save just under £750


People start paying NI when they reach 16, and stop paying when they reach state pension age.





There are further changes to come for self-employed people, although they will have to wait until April.
Class 4 and Class 2 contributions are currently paid by self-employed people.
The Class 4 rate – paid at 9 per cent on profits between £12,570 and £50,270 – will be cut to 8 per cent from 6 April. https://inews.co.uk/inews-lifestyle/money/saving-and-banking/national-insurance-cut-how-much-take-home-2839194#:~:text=less%20national%20insurance%3F-,From%206%20January%2C%20all%20employed%20people%2 0that%20pay%20NI%20and,will%20save%20around%20£450 .
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National insurance contributions were doubled under Tony Blair
https://www.accountancyage.com/2002/04/26/blair-defends-national-insurance-increase/

Neo
01-06-2024, 10:07 AM
Each week I pay £91 to National insurance, it’s a burden.

Big Wheeler
01-06-2024, 05:04 PM
Each week I pay £91 to National insurance, it’s a burden.

Keep plugging away young fella. I need to be sure that my old age pension is paid every week from your taxes !

Neo
01-06-2024, 06:25 PM
Keep plugging away young fella. I need to be sure that my old age pension is paid every week from your taxes !
If I work an extra 3 hours a week im sure I can bump it up to £97 a week for you?

Big Wheeler
01-07-2024, 02:23 PM
If I work an extra 3 hours a week im sure I can bump it up to £97 a week for you?

Brilliant.So close to a nice round £100.

Neo
01-07-2024, 03:13 PM
Brilliant.So close to a nice round £100.
Ahhhhhh! But you'll never get it rounded up now, everyone's got a NI reduction, my NI contributions might be going down to £76? But I'll let you know on Friday. ;)

Neo
01-08-2024, 03:13 PM
I’ve calculated that I’ll be better off by around £9 a week. Or £37 a month.