Reminder of NI rates and thresholds for directors
22 November 2022
There have been numerous changes to national insurance (NI) this year, ‘unprecedented’ has been the word used quite a few times. But with all those changes it is worth taking stock of where we are and what we should be doing to stay compliant.
First let’s look at the rates for employee directors’ NI.
For directors on the standard method (cumulative annual calculation), use the below rates for the whole tax year:
For directors using the alternative method, use the below rates.
Now, let’s look at the rates for employers in relation to directors’ NI:
For directors on the standard method (cumulative annual calculation), use the below rates for the whole tax year:
For directors using the alternative method, use the below rates.
The primary threshold
Another area of NI that has been complicated with the changes is the thresholds. Below are the primary threshold (PT) values for different time periods, as well as the annual PT for directors on the standard method. This value is derived from the different time periods spent at different thresholds and gives us this ‘blended’ amount.
We hope this helps, but this was just a brief overview of what has changed. For more in depth guidance head over to gov.uk where HM Revenue and Customs (HMRC) publishes the CA44 guidance.
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