MoneySavingExpert.com homepage
Cutting your costs, fighting your corner
Founder, Martin Lewis · Editor-in-Chief, Marcus Herbert
Search bar closed.
MSE News

Budget 2014: Self-employed national insurance payments to be simplified

20poundnotes
Helen Knapman
Helen Knapman
News & Investigations Editor
19 March 2014

National insurance is to be simplified for people who are self-employed, Chancellor George Osborne announced in today's Budget.

Currently, most self-employed people will pay Class 2 contributions, a flat rate of £2.70 a week, and Class 4 contributions, which are paid as a percentage on annual profits.

Class 4 contributions are 9% on profits between £7,755 and £41,450, and a further 2% on profits over that amount.

However following a consultation announced during last year's Budget, the Government has today said that from April 2016 Class 2 payments will be included in self-assessment each year, so they won't have to be paid each week.

MSE Forum

Self-assessment tax

Forum image
Tools and calculators

Clever ways to calculate your finances

Find your odds of getting top cards
Find your odds for getting a cheap loan
Compare broadband, phone & TV deals
Compares thousands of mortgages
Eight calcs to help you work out the cost
We ensure you’re on the cheapest tariff