Employer NIC rates to increase by 1.25% from April 2022

September 17, 2021|In KRW Tax news|By Keith Witchell

Alongside the increase to employee NIC rates, it was also announced that the 1.25% increase will also apply to employer NIC contributions, from April 2022. Employers currently pay 13.8% NIC on each employee’s earnings over £8,844 per annum, with no reduced rate for higher earnings as there is with employees NIC. This change will see the employers NIC rate increasing to 15.05%. For an employee earning £30,000 gross per annum, this will cost the employer an additional £264 per annum (£22 per month).

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Keith Witchell