{"id":1206,"date":"2023-09-05T00:00:00","date_gmt":"2023-09-04T23:00:00","guid":{"rendered":"http:\/\/duffyregan.co.uk\/index.php\/2023\/09\/05\/class-2-and-4-nic-for-the-self-employed\/"},"modified":"2023-09-05T00:00:00","modified_gmt":"2023-09-04T23:00:00","slug":"class-2-and-4-nic-for-the-self-employed","status":"publish","type":"post","link":"http:\/\/duffyregan.co.uk\/index.php\/2023\/09\/05\/class-2-and-4-nic-for-the-self-employed\/","title":{"rendered":"Class 2 and 4 NIC for the self-employed"},"content":{"rendered":"<p>There are two types of National Insurance contributions (NICs) payable by most self-employed people. These are known as Class 2 NICs and Class 4 NICs.<\/p>\n<p>Class 2 NICs are paid by all self-employed taxpayers unless they earn under the Small Profits Threshold (SPT), currently &pound;6,725, which remove the necessity to pay NICs. Class 2 NICs are currently payable at a flat weekly rate of &pound;3.45 for the 2023-24 tax year. Class 2 NICs count towards payments such as the basic State Pension, the employment and support allowance, maternity allowance and bereavement benefits.<\/p>\n<p>In addition, most self-employed people are also required to pay Class 4 NICs. The self-employed are required to pay Class 4 NICs (as well as to Class 2 NICs) if their profits are &pound;12,570 or more a year. Class 4 NIC rates for the tax year 2023-24 are 9% for chargeable profits between &pound;12,570 and &pound;50,270 plus 2% on any profits over &pound;50,270.<\/p>\n<p>There is also a specific list of jobs where class 2 NICs are not payable. These are:<\/p>\n<ul>\n<li>examiners, moderators, invigilators and people who set exam questions;<\/li>\n<li>people who run businesses involving land or property;<\/li>\n<li>ministers of religion who do not receive a salary or stipend; and<\/li>\n<li>people who make investments for themselves or others &#8211; but not as a business and without getting a fee or commission.<\/li>\n<\/ul>\n<p>If you fall within any of these categories, it may be beneficial to get a State Pension forecast and examine whether to make voluntary Class 2 NICs to make up missing years.<\/p>\n<!-- -->","protected":false},"excerpt":{"rendered":"<p>There are two types of National Insurance contributions (NICs) payable by most self-employed people. These are known as Class 2 NICs and Class 4 NICs. Class 2 NICs are paid by all self-employed taxpayers unless they earn under the Small Profits Threshold (SPT), currently &pound;6,725, which remove the necessity to pay NICs. Class 2 NICs [&hellip;]<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1206","post","type-post","status-publish","format-standard","hentry","category-uncategorised"],"_links":{"self":[{"href":"http:\/\/duffyregan.co.uk\/index.php\/wp-json\/wp\/v2\/posts\/1206","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/duffyregan.co.uk\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/duffyregan.co.uk\/index.php\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/duffyregan.co.uk\/index.php\/wp-json\/wp\/v2\/comments?post=1206"}],"version-history":[{"count":0,"href":"http:\/\/duffyregan.co.uk\/index.php\/wp-json\/wp\/v2\/posts\/1206\/revisions"}],"wp:attachment":[{"href":"http:\/\/duffyregan.co.uk\/index.php\/wp-json\/wp\/v2\/media?parent=1206"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/duffyregan.co.uk\/index.php\/wp-json\/wp\/v2\/categories?post=1206"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/duffyregan.co.uk\/index.php\/wp-json\/wp\/v2\/tags?post=1206"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}