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    Class 1 Nic

    Glossary

    Class 1 NIC

    Class 1 National Insurance Contributions (NIC) are the UK NICs paid on employee earnings — Primary Class 1 paid by the employee, Secondary Class 1 paid by the employer on top of the gross salary.

    From 6 April 2024: employees pay 8% on earnings between the Primary Threshold (£12,570) and Upper Earnings Limit (£50,270), then 2% above. Employers pay 13.8% on earnings above the Secondary Threshold (£9,100). Employment Allowance lets eligible smaller employers offset up to £5,000 against secondary NIC each year. Reform from April 2025 raised employer NIC by 1.2 percentage points and dropped the Secondary Threshold to £5,000.

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