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Is it better to pay class 4 as well class 2 NI contributions?
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textbook
Posts: 786 Forumite


in Cutting tax
With a profit of £8420 you only pay class 2 NI contributions and not class 4. Will you lose out on anything e.g. pension . Or anything else by not paying it and only paying the class 2 ?
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Comments
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Class 4 NIC is just tax by another name. No benefits accrue from paying it.2
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Class 2 is what you need for SP and some other benefits, class 4 is purely a tax. https://www.gov.uk/national-insurance/what-national-insurance-is-for
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