iCalculator UK PAYE Calculator is updated for the 2013 / 2014 tax year. You can calculate your take home pay based of your annual income and include tax deductible elements such as pensions and student loans.
iCalculator also provides historical UK PAYE figures so you can review how much tax you have paid in previous tax years or you can use our take home pay calculator 2013 / 2014 to see home much your take home salary will be this year. See the guide below for specific information on each element that is taken into account when calculating your take home pay including employers national insurance contributions and more.
What are Employers National Insurance Contributions and how are Employers National Insurance Contributions calculated?
Suprisingly, not all people who are employed by a company are aware that their employers pay contributions towards their National insurance on their behalf.
You can calculate your employers National Insurance Contributions for 2013 / 2014 using our online salary calculator. The calculator will also provide a breakdown of National Insurance contributions and other salary deductibles.
This is one reason why some employers elect to use contractors and employ them through an umbrella company, particularly when using temporary staff or augmenting their workforce for a specific project etc..
National Insurance Payments (NIC's) are a two part payment, the first element being taken from the employee and the second from the employer. Both parts are
calculated using a parentage of your salary.
Specific National insurance rates vary depending on the amount of money you earn.
Although both Employee and Employer NIC's are deducted directly from wages, only the employee portion of the NIC's payment is eligible for tax relief. There is no tax relief afforded to Employer national insurance contributions
Employers NIC's are not normally specified on an individuals wage slip so most will be unaware of how much a company is contributing towards their national insurance contributions on their behalf.
There are a number of ways of reducing the amount of National Insurance Contributions - see the article here
Employers National Insurance Contributions (NIC's) are calculated based on the National Insurance Contribution (NIC) category allocated to the employee.
The current rates for 2013 / 2014 are shown below.
|NICs category letter||Earnings at or above LEL up to and including ST||Earnings above ST up to and including PT||Earnings above PT up to and including UAP||Earnings above UAP up to and including UEL||Balance of earnings above UEL||NICs rebate on earnings above LEL, up to and including ST|