Class 4 Nic
Glossary
Class 4 NIC
Class 4 National Insurance Contributions are paid by self-employed UK individuals on their trading profits — 6% on profits between £12,570 and £50,270, then 2% above (2024/25 rates).
Class 4 is paid via Self Assessment alongside Income Tax — there's no separate filing or payment. It applies to sole traders and partnership profits. Class 2 NIC (a flat weekly charge previously paid by the self-employed) was effectively abolished from 6 April 2024 for most, though it can still be paid voluntarily to preserve State Pension entitlement for those with low profits.
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