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National Insurance Contributions

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National Insurance Contributions
Deductions from paychecks or other payments made to National Insurance in the United Kingdom. National Insurance pays for the state pension, unemployment benefits and also funds the National Health Service. Both employees and employers must make National Insurance contributions, and employers must make further contributions on certain employee benefits. They do not fund other government functions, but the government may borrow against them.


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A YOU should notify HMRC and arrange to pay Class 2 National Insurance contributions as soon as you start selfemployment.
Currently employees have to pay national insurance contributions if they are earning more than pounds 105 a week.
The idea of using National Insurance contributions as a means of providing assistance to firms is a laudable one.
 
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