1% national insurance increase - how much do you have to earn to be affected?

SapphireFlames

I'm aware that the 1% national insurance increase for employees comes into force today. However, I've heard that the NI threshold has also been increased, which will offset the 1% increase for a lot of people.

Does this mean that only people who are fairly well-off will be affected by the 1% increase? How much exactly would a person have to earn per year in order to be affected? I've been Googling for ages but haven't been able to find an easy-to-understand answer to this question. Does anyone here know?

F_T_Buyer

Just watched the C4 news, and it's £24k.

The income tax is about £42.5k where you are worse off.

sammyjammy

SapphireFlames wrote: »

I'm aware that the 1% national insurance increase for employees comes into force today. However, I've heard that the NI threshold has also been increased, which will offset the 1% increase for a lot of people.

Does this mean that only people who are fairly well-off will be affected by the 1% increase? How much exactly would a person have to earn per year in order to be affected? I've been Googling for ages but haven't been able to find an easy-to-understand answer to this question. Does anyone here know?

The Primary threshold for Class 1 National Insurance has been raised to £139 per week, it was previously £110 so if you earn more than £139 p/w (£7228 per annum) you will pay 12% NI instead of 11%. If you earn between £110 and £139 you will now no longer pay any NI at all.