Minimum NI contribut'n not to affect state pension

Esox

zagfles wrote: »

£5876. And note the point above about any earnings under the LEL in any pay period. As I understand it those earnings don't count at all.

The poster who raised the query says they are paid four weekly*, so I presume the minimum "monthly salary", to meet the annual criteria, would be = £5,876 ÷ (52/4) = £452 (every four weeks)?

*I presume that's the case as they said "This is my first post! I earn under £490 (but more than £113 for 4 weeks a month)", I know some firms, and I think local authorities, pay four weekly.

Maybe that's where the annual figure comes from, i.e. to cater for "non-standard" salary arrangements, e.g. neither weekly or PCM.

zagfles

Esox wrote: »

The poster who raised the query says they are paid four weekly*, so I presume the minimum "monthly salary", to meet the annual criteria, would be = £5,876 ÷ (52/4) = £452 (every four weeks)?

*I presume that's the case as they said "This is my first post! I earn under £490 (but more than £113 for 4 weeks a month)", I know some firms, and I think local authorities, pay four weekly.

Maybe that's where the annual figure comes from, i.e. to cater for "non-standard" salary arrangements, e.g. neither weekly or PCM.

Maybe that's what's confusing the PP, they're paid 4-weekly and think the monthly LEL applies. It doesn't.

If you're paid 4-weekly it'll be the weekly LEL times 4 ie £452 as you say. I used to get paid 4-weekly and the NI thresholds were worked out on that basis.

greenglide

This is true when actually calculating the NI which is deducted from pay assuming the lower earnings threshold is exceeded.

For qualifying purposes the only thing that matters is whether the annual total of £5,856 total for the year from earnings below the upper earnings is reached.