National Insurance Calculator

About National Insurance Calculator

Calculate your UK National Insurance contributions for 2026/27 as an employee (Class 1) or self-employed (Class 2 and 4). See the breakdown by band, your employer's contribution, and how NI fits alongside income tax.

2026/27 National Insurance Rates

Type	Band	Rate
Employee (Class 1)	£12,570 - £50,270	8%
Employee (Class 1)	Above £50,270	2%
Employer (Class 1)	Above £5,000	15%
Self-employed (Class 4)	£12,570 - £50,270	6%
Self-employed (Class 4)	Above £50,270	2%
Self-employed (Class 2)	Flat rate (profits above £6,845)	£3.50/week

How Employee NI Is Calculated

Worked example (£40,000 salary):

• Earnings in the 8% band: £40,000 - £12,570 = £27,430
• Employee NI: £27,430 x 8% = £2,194.40/year (£182.87/month)
• Employer NI: (£40,000 - £5,000) x 15% = £5,250/year

The employer pays more than double the employee's NI on the same salary. This is a hidden cost of employment that does not appear on your payslip but affects hiring decisions.

Worked example (£70,000 salary):

• 8% band: (£50,270 - £12,570) x 8% = £3,016
• 2% band: (£70,000 - £50,270) x 2% = £394.60
• Total employee NI: £3,410.60/year (£284.22/month)
• Employer NI: (£70,000 - £5,000) x 15% = £9,750/year

Quick NI Reference Table (Employee)

Salary	Employee NI	Monthly	Employer NI
£20,000	£594	£50	£2,250
£30,000	£1,394	£116	£3,750
£40,000	£2,194	£183	£5,250
£50,000	£2,994	£250	£6,750
£60,000	£3,189	£266	£8,250
£80,000	£3,589	£299	£11,250
£100,000	£3,989	£332	£14,250

Notice how employee NI effectively caps at around £3,000-4,000 because of the drop to 2% above £50,270. Employer NI has no such cap and increases linearly.

Self-Employed NI (Class 2 and 4)

Self-employed workers pay lower NI rates than employees (6% vs 8% on the main band), but they do not get employer NI contributions toward their state pension record. They also pay Class 2 NI at a flat £3.50/week (£182/year) if profits exceed £6,845.

Worked example (self-employed, £50,000 profit):

• Class 4: (£50,000 - £12,570) x 6% = £2,245.80
• Class 2: £3.50 x 52 = £182
• Total NI: £2,427.80

Compare this to an employee on £50,000 who pays £2,994 in NI, plus their employer pays £6,750 on top. The total NI burden on employment income is much higher.

What NI Pays For

National Insurance funds several state benefits:

• State Pension: You need 35 qualifying years of NI contributions for the full new State Pension (~£11,500/year in 2026/27). Each year you miss reduces the pension proportionally.
• Statutory Sick Pay
• Maternity/Paternity Allowance
• Jobseeker's Allowance (contribution-based)
• Bereavement benefits

NI is not ring-fenced. It goes into the general government budget alongside income tax. The distinction is largely historical and administrative.

Salary Sacrifice and NI Savings

Salary sacrifice pension schemes reduce both your income tax and NI because the pension contribution comes before NI is calculated. A higher-rate taxpayer sacrificing £500/month saves: £500 x 40% income tax + £500 x 2% NI = £210/month. Their employer also saves: £500 x 15% = £75/month. Many employers pass some of their NI saving back to the employee as an extra pension contribution.

For a complete take-home pay breakdown including income tax, NI, and student loans, use the UK income tax calculator. The salary calculator converts between annual, monthly, and hourly figures.

Rates shown are from HMRC guidance for 2026/27. All calculations run in your browser. No data is sent to any server.