Possible to Reclaim NI Contributions?

Pineapple88

Hey guys,

I was wondering if there is any way of claiming back NI contributions like there is with tax?

I work part time and so my income is below the personal allowance for tax and most months it is below the NI primary threshold (£146 pw). There have been a few months so far this year when I have worked overtime/been owed backpay which took my earnings above the primary threshold for those months but even with this taken into account my weekly/monthly earnings on average over the year are still below the point where NI is deducted.

Because my contributions are so irregular they are not enough to be of use for contribution based benefits or state pension credits so is there any way to claim them back at the end of the tax year?

Thanks in advance:beer:

ceeforcat

There isn't I am afraid - NIC is calculated according to the payment at the time without reference to your total earnings for the tax year.

agrinnall

You say that your weekly earnings are usually below the primary threshold, but are they above the lower earnings limit (currently £107 pw)? If so then you will be receiving NI credits for those weeks, and the weeks when you are above the threshold and you are paying NI will be counting towards pension and other state benefits.

System

There is a HMRC scheme for people who have irregular earnings or are paid annually, but I think it only applies to company directors and self-employed.

Pineapple88

Thanks for the replies. Thats a shame...it would have been nice to be able to reclaim it but hopefully it will help in the long run with pensions/benefits.

Agrinall- yes I earn above £107 pw but usually less than £146 pm. For the weeks that I earn above £107 but do not make an NI contribution, will i still be receiving credits for pension and benefits purposes?

agrinnall

The HMRC website is surprisingly coy about it, but I found this on the Direct Gov website (http://www.direct.gov.uk/en/MoneyTaxAndBenefits/Taxes/WorkingAndPayingTax/DG_10016783)

National Insurance

You can earn up to £146 a week (2012-13) before you pay any National Insurance contributions. This is known as the 'primary threshold'.
However, as long as you earn more than £107 a week (2012-13) you can still build up your entitlement to a State Pension and certain other benefits. This is known as the 'lower earnings limit'.

Pineapple88

Thats interesting, thanks or posting. 'Certain other benefits' is still a bit vague though... I think it might just be a case of suck it and see! Hopefully it will include contribution based JSA which is the main one I'd be looking to claim (hopefully it won't come to that but it would be nice to know).