Tax Profile | National Insurance Details
Overview
National Insurance contributions are paid to qualify for certain benefits and the State Pension. National Insurance is a tax which is paid alongside Income Tax. Depending on whether an individual is employed or self-employed – and depending on how much is earned – individuals will likely pay National Insurance through wages or via a self-assessment tax return. If an employee contributes towards pay-as-you-earn (PAYE), National Insurance contributions (NICs) will automatically be calculated on how much the employee earns within a specific period – similar to Income Tax.
The National Insurance due by the employee depends on how much the employee earns and any additional personal circumstances. You can find out the current National Insurance rates at Gov.uk. Some individuals are not liable to pay National Insurance, including those who are at the state pension age, and some on low wages. The National Insurance paid by employees goes into a government fund that is used to fund a variety of government expenses, including state benefits such as the state pension, statutory sick pay and maternity leave.
Edition
This feature is available on all PaySpace editions
Navigation Path
Navigate > Employee > Basic Information > Tax Profile > National Insurance Details
Details
National Insurance Details
Field explanations
Related Articles
Leave | Statutory Sick Pay
Overview Employees are entitled to £109.40 per week Statutory Sick Pay (SSP) if they are too ill to work and is paid by the employer for up to 28 weeks. Employees cannot get less than the statutory amount, but can get more if the company has a sick ...What is the purpose of the Directorship checkbox on an employees Tax Profile screen?
The Directorship checkbox should be enabled on an employees Tax Profile screen if the employee is considered a Director. Navigate > Employee > Basic Information > Tax Profile > National Insurance Details. Once the field is selected, additional fields ...Employee | Tax Profile
Overview The Employee Tax Profile Screen stores information relating to the employee’s tax calculation, National Insurance Details, Starter Details, and Previous Employment Details. Edition This feature is available on all PaySpace editions. ...Leave | Statutory Parental Bereavement
Overview Statutory Parental Bereavement is time off from work if the employees child dies before they turn 18, or if the employee has a stillbirth after 24 weeks of pregnancy The employee can take 2 weeks leave from the first day of employment for ...Tax Profile | Tax codes
Overview An employees tax code is used by their employer or pension provider to work out how much Income Tax is due by the employee. The HM Revenue and Customs (HMRC) will provide the tax code applicable to the respective employee. Edition This ...