Farley And Partners



£ per week
Weekly Lower Earnings Limit (LEL)* 112
Weekly Primary Threshold (PT)* 155
Weekly Secondary Threshold (ST)** 156
Upper Earnings Limit (UEL) 815
Upper Proits Limit (UPL) 42,385 (per year)
Upper Secondary Threshold for U21s*** 815
Small Earnings Exception (SEE)/Small Proits Threshold (SPT) *, **** 5,965
Lower Proits Limit (LPL)* 8,060 (per year)
Employment Allowance 2,000 (per year, per employer)


* These thresholds are uprated by CPI.

** The Weekly Secondary Threshold is uprated by RPI.

*** Upper Secondary Threshold (UST) introduced from April 2015 for employees under the age of 21.

The rate of secondary NICs for employees under the age of 21 on earnings between the ST and UST will be 0%.

**** The Small Proits Threshold replaces the Small Earnings Exception from 6 April 2015.



 Employee (primary) Employer (secondary) 
 Earnings* (£ a week) NIC rate** (%)  Earnings* (£ a week)  NIC rate*** (%) 
 Below £112 (LEL)  Below £156 (ST)
 £112 – £155**** (PT) 0 Above £156 (ST)  13.8
 £155 – £815 (UEL) 12     
 Above £815    


* The limits are deined as LEL – lower earnings limit; PT – primary threshold; ST – secondary threshold; and UEL – upper earnings limit.

** The contracted-out rebate for primary contributions is 1.4% of earnings between the LEL and upper accrual point (UAP) of £770 for contracted-out salary-related schemes (COSRS).

*** The contracted-out rebate for secondary contributions is 3.4% of earnings between the LEL and UAP for COSRS.

**** No NICs are actually payable but a notional Class 1 NIC is deemed to have been paid in respect of earnings between LEL and PT to protect contributory beneit entitlement.


Annual proits * (£ a year)  Class 2** (£ a week)  Class 4 (%) 
 Below £5,965*** (SPT) 0
 £5,965 to £8,060 (LPL) 2.80 
 £8,060 to £42,385 (UPL) 2.80 
 Above £42,385 2.80  2

 * The limits are deined as SPT – small proits threshold; LPL – lower proits limit and UPL – upper proits limit.

** Class 2 NICs are paid at a weekly lat rate of £2.80 by all self-employed persons unless they have proits below the small proits threshold. The rate is uprated by CPI.

*** The self-employed may pay Class 2 contributions if their proits are below the SPT.


Married Women’s reduced rate*  5.85% 
 Special Class 2 rate for share ishermen** £3.45 per week 
 Special Class 2 rate for volunteer development workers** £5.60 per week 
 Class 3 rate**, *** £14.10 per week

* Married Women’s Reduced Rate is paid only by married women and certain widows with valid reduced rate elections on earnings between PT & UEL and at 2% on earnings that exceed UEL.

** These rates are uprated by CPI.

*** Class 3 NICs can be paid by contributors to make the year a qualifying year for basic State Pension and Bereavement Beneit purposes.

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