188ÌåÓý

All examples on this page use the 2025Ìýto 2026Ìýrates and earnings bands. National Insurance contributions (NICs) are worked out using the exact percentage method.

Aggregated NICs are worked out on the total earnings using the shortest earnings period.

Employee’s NICs are worked out at:

• the main percentage rate on any earnings above the Primary Threshold (PT) up to and including the Upper Earnings Limit (UEL)
• the additional percentage on earnings which exceed the UEL

Employer’s contributions are worked out at the main secondary percentage rate on earnings which exceed the Secondary Threshold (ST).

Example

An employeeÌýearns £2,500 per month from one job, and £400 per week from another. The earnings period is weekly as this is the shortest earnings period.

In 12 of the weeks, he receives both a weekly pay and a monthly pay (£2,900 assessed on a weekly earnings period) and in the other 40 weeks he receives a weekly pay only (£400 assessed on a weekly earnings period).

In week 1, he receives £400 weekly pay.

NICs type	NICs due	Table letter
Employee's NICs	£12.64	A
Employer's NICs	£45.60	A

Ìý

Recording the NICs due on Real Time Information (RTI)

Payroll software only records category letters where NICs is paid on earnings between the LEL and the UEL. The figures will be recorded under contribution Table letter A. The entries on RTI for month 1 of 2025 to 2026 will be as follows.

Week 1

Data item	Description	Ìý
79	NI category	A
79A	Gross earnings for NICs year to date	£400
79B	Gross earnings for NICs pay period	£400
82	Earnings at the LEL year to date	£125
82A	Earnings at LEL to PT year to date	£117
169	Earnings PT to UEL year to date	£158
86A	Employer NICs year to date	£45.60
86Aa	Employer NICs this pay period	£45.60
86B	Employee NICs year to date	£12.64
86Ba	Employee NICs this period	£12.64
49	Aggregated earnings indicator	Yes

In week 5, he receives his £400 weekly pay and his £2,500 monthly pay.

NICs type	NICs due	Table letter
Employee's NICs	£96.66	A
Employer's NICs	£420.60	A

Ìý

Recording the NICs due on Real Time Information

Payroll software only records category letters where NICs is paid on earnings between the LEL and the UEL. The figures will be recorded under contribution Table letter A. The entries on RTI for week 5 of 2025Ìýto 2026Ìýwill be as follows (he has already received 4 weekly payments of £400).

Data item	Description	Ìý
79	NI category	A
79A	Gross earnings for NICs year to date	£4,500
79B	Gross earnings for NICs pay period	£2,900
82	Earnings at the LEL year to date	£625
82A	Earnings at LEL to PT year to date	£585
169	Earnings PT to UEL year to date	£1,357
86A	Employer NICs year to date	£603
86Aa	Employer NICs this pay period	£420.60
86B	Employee NICs year to date	£147.22
86Ba	Employee NICs this period	£96.66
49	Aggregated earnings indicator	Yes