TRADESMEN – What You Need to now About Recent Changes to (UK) Employers’ NI !
If you’re running a business and have people working for you, there’s been a shake-up in Employers’ National Insurance (NI) rules. Here’s the lowdown in plain English:
Employers’ NI is basically a tax businesses pay for having employees. Recently, the government increased the NI threshold. What does that mean? Well, it’s the amount employees earn before NI kicks in. So, they keep more of their wages before you, as the boss, need to start paying NI contributions on their behalf.
For you, this could mean a bit of a breather in terms of your payroll costs – especially for workers on lower wages. If you’ve got apprentices or part-time staff, this change could save you a few quid (£). But for higher earners, not much has shifted. You’re still paying the standard 13.8% rate on salaries above the threshold.
What’s the takeaway? Double-check your payroll system is up-to-date and make sure you’re calculating everything correctly. Staying on top of these changes keeps HMRC off your back and your business running smoothly.