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Self Employed - not sure if need to pay voluntary class 2

Macc
Posts: 212 Forumite


Am self employed, my first self assessment I've done in a while. Just about to pay my self assessment tax bill. Noticed I'm not down to pay any Class 2 NI contributions, just £756 Class 4. I've got a few years gaps where I'm missing NI contributions so need this year to count towards pension etc
My self assessment says:-
Profit £20,980
Tax £2093
NI £756
Would that be classed as a full year for pension?
I assumed that as my profit was more than £12750 I would have to pay Class 2 but it is showing as £0.00 owed in my self assessment. I'm fine with paying the voluntary contribution but obviously don't want to if I don't have to.
Can someone point out where I am going wrong
- Less than £6725 I can pay voluntary but my profit is more than that
- £6725 - £12570 don't need to pay, will be classed as a full year, but I'm over 12570.
- £12570+ must pay but my self assessment says £0.00 Class 2 to pay
0
Comments
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So it looks like your Class 2 contributions are "treated as having been paid" and you only actual payments are for Class 4.
If your profits are £6,725 or more a year
Class 2 contributions are treated as having been paid to protect your National Insurance record. This means you do not have to pay Class 2 contributions.
If your profits are more than £12,570 a year, you must pay Class 4 contributions.
N. Hampshire, he/him. Octopus Intelligent Go elec & Tracker gas / Shell (now TT) BB / Lebara mobi. Ripple Kirk Hill member.
2.72kWp PV facing SSW installed Jan 2012. 11 x 247w panels, 3.6kw inverter. 33MWh generated, long-term average 2.6 Os.Not exactly back from my break, but dipping in and out of the forum.Ofgem cap table, Ofgem cap explainer. Economy 7 cap explainer. Gas vs E7 vs peak elec heating costs, Best kettle!1 -
QrizB said:So it looks like your Class 2 contributions are "treated as having been paid" and you only actual payments are for Class 4.
If your profits are £6,725 or more a year
Class 2 contributions are treated as having been paid to protect your National Insurance record. This means you do not have to pay Class 2 contributions.
If your profits are more than £12,570 a year, you must pay Class 4 contributions.
I think that is the rule for next year (24/25) as it is changing in April. But for 23/24 I think you still have to pay class 4 and class 2. That is my reading of it anyway0 -
Yes, this webpage agrees with you:Not sure what's going on with HMRC and your tax return, then. Sorry!N. Hampshire, he/him. Octopus Intelligent Go elec & Tracker gas / Shell (now TT) BB / Lebara mobi. Ripple Kirk Hill member.
2.72kWp PV facing SSW installed Jan 2012. 11 x 247w panels, 3.6kw inverter. 33MWh generated, long-term average 2.6 Os.Not exactly back from my break, but dipping in and out of the forum.Ofgem cap table, Ofgem cap explainer. Economy 7 cap explainer. Gas vs E7 vs peak elec heating costs, Best kettle!0
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