20 Feb Changes in National Insurance contributions rates (NICs) in 2024
Changes in National Insurance contributions rates (NICs) in 2024
In the Autumn Statement the chancellor announced changes to National Insurance. If you use automated payroll software you must ensure your system was updated for the changes, especially the reduction of the National Insurance rate from 12% to 10% as off 6th January 2024.
If you struggle with the never-ending changes in payroll rates and legislation why not let EA Assist manage your payroll for you. We keep up to date with all the changes, use all the latest software and will never go off sick or on holiday! (we do let our staff have holiday!)
Get in touch with us to find out just how easy outsourcing your payroll can be. Call us on 01379 646943 or drop us an email to info@ea-assist.co.uk.
The main change in National Insurance is the cut to the main rate of Class 1 employee National Insurance contributions from 12% to 10% from 6 January 2024
What does the above change mean?
As of January 2024, employees now pay a 10% rate of national insurance on earnings between £12,570 and £50,270. This is down from the previous rate of 12%.
National Insurance contributions relief for veterans as an employer
Organisations employing former UK military personnel can claim relief on secondary national insurance contributions (NIC) for the first 12 months of a veteran’s civilian employment.
The relief, which has been extended to cover the 2024 to 2025 tax year, is available for any former member of the regular armed service (Army, Royal Navy or Royal Air Force).
You can find out more about this scheme here: www.gov.uk/guidance/claim-national-insurance-contributions-relief-for-veterans-as-an-employer
Payroll, while it is an essential task, can be time consuming and take you away from managing your business. Give us a call on 01379 646943 to find out how we can help you with your payroll management.