From the 1 July 2022 tax month (4) the class 1 NICs threshold for employees will parity with the tax income threshold of £12,570 for the tax year 2022/23.
Therefore, as an employer this will mean that you will need to ensure that your payroll software has been updated before the 6th July 2022.
This will mean that employees will be able to earn £12,570 per tax year before paying national insurance.
This important change to the national insurance threshold was announced by Chancellor Rishi Sunak as part of his spring statement in March 2022.
For more information please see the below links:
Should you need any advice or wish to discuss your payroll options in more detail please contact the Payroll Manager.
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