National Insurance Calculator UK
See exactly how much Class 1 National Insurance comes off your salary in 2026/27 — the 8% and 2% bands, your monthly and weekly deductions, your effective rate, and what your employer pays on top.
Last updated 2 July 2026 · Written and reviewed by Mustafa Bilgic
National Insurance calculator
Employee Class 1 NI, 2026/27 rates.
Estimate only — figures use the latest published UK rates. Always confirm on GOV.UK.
How Class 1 National Insurance works
If you are employed, you pay Class 1 National Insurance on your wages. For 2026/27 the employee rates are 8% on earnings between £12,570 and £50,270 a year, and 2% on everything above £50,270. You pay nothing on the first £12,570. Like income tax, NI is deducted through PAYE each pay period, so what you see on your payslip is a monthly or weekly slice of these annual figures. Because the first £12,570 is free of NI, your effective rate is always lower than the headline 8% — on £32,000 it is about 4.9%.
On a salary of £32,000, employee NI is 8% of the £19,430 between £12,570 and £50,270 — £1,554.40 a year, about £129.53 a month or £29.89 a week. Your employer separately pays £4,050 in employer NI.
2026/27 thresholds and rates
| Earnings band | Who pays | Rate |
|---|---|---|
| Up to £12,570 | Employee | 0% |
| £12,570 – £50,270 | Employee | 8% |
| Above £50,270 | Employee | 2% |
| Above £5,000 | Employer | 15% |
The £12,570 primary threshold is aligned with the personal allowance, which is frozen until 2031. That freeze matters: as pay rises with inflation while the thresholds stand still, a little more of each salary drifts into the 8% band every year. Higher earners feel the structure differently — on £60,000, NI is £3,016 on the full 8% band plus £194.60 at 2% on the £9,730 above the upper limit: £3,210.60 in total, an effective rate of about 5.4%.
Employer National Insurance
Your employer pays its own NI of 15% on your earnings above £5,000 a year. On a £32,000 salary that is £4,050 — money the business pays on top of your gross salary, never deducted from your pay. It still matters to you: it is a large part of what you cost to employ, and it is one reason salary sacrifice arrangements can be attractive, since sacrificed pay avoids NI for both sides. Use our take-home pay calculator to see tax and NI together on your payslip.
What National Insurance pays for
NI is not just another tax — your contributions build qualifying years on your National Insurance record, and that record sets how much State Pension you will get. Paying Class 1 on your wages adds qualifying years automatically while you work. You can check your record, and spot any gaps, using the free service on GOV.UK. Employees over State Pension age stop paying employee NI entirely, even if they keep working.
Self-employed? Your NI is different
Sole traders do not pay Class 1. Instead they pay Class 4 NI at 6% on profits between £12,570 and £50,270 and 2% above, settled through Self Assessment rather than PAYE. Class 2 is now voluntary. If some or all of your income comes from self-employment, our self-employed tax calculator works out income tax and Class 4 together.
Frequently asked questions
How much National Insurance do I pay in 2026/27?
Employees pay Class 1 NI at 8% on earnings between £12,570 and £50,270 a year, and 2% on anything above £50,270. Nothing is due on the first £12,570. On a £32,000 salary that works out at £1,554.40 a year — about £129.53 a month.
Are the National Insurance thresholds frozen?
Yes. The £12,570 primary threshold is aligned with the personal allowance, which is frozen at £12,570 until 2031. Because wages tend to rise while the thresholds stand still, a little more of your pay becomes liable for NI each year — so-called fiscal drag.
How much National Insurance does my employer pay?
Employers pay 15% on your earnings above £5,000 a year. On a £32,000 salary that is £4,050. It is paid by your employer on top of your salary — it is never deducted from your pay, though it does affect the total cost of employing you.
Do pensioners pay National Insurance?
No. Employees stop paying Class 1 National Insurance once they reach State Pension age, even if they carry on working. Their employer, however, continues to pay employer NI on their earnings as normal.
Why does National Insurance matter for my State Pension?
Paying Class 1 NI on your wages builds qualifying years on your National Insurance record, and those qualifying years determine how much State Pension you receive. You can check your record and see any gaps for free on GOV.UK.