Employer NI Calculator2026/27
The October 2024 Budget raised employer National Insurance to 15% and slashed the Secondary Threshold from £9,100 to £5,000. These changes took effect April 2025 and continue into 2026-27.
Calculate your exact employer NI liability — per employee, per pay period, across your whole payroll.
Key Rates & Thresholds 2026-27
These rates apply from 6 April 2026 to 5 April 2027. The figures below are unchanged from 2025-26.
Employer NI Rate
15%
Up from 13.8% in 2024-25
Secondary Threshold
£5,000/yr
Down from £9,100 in 2024-25
Upper Earnings Limit
£50,270/yr
Unchanged
Employment Allowance
£10,500
Up from £5,000 in 2024-25
Under-21 NI-free up to
£50,270/yr
Zero-rate band unchanged
Apprentice Under-25 NI-free
£50,270/yr
Zero-rate band unchanged
What Changed — and What It Costs
In the October 2024 Autumn Budget, the Chancellor made two simultaneous changes to employer National Insurance. The main rate rose from 13.8% to 15%, and the Secondary Threshold — the salary level at which employers start paying NI — was cut from £9,100 to £5,000 per year.
Together these changes mean employers pay a higher percentage on a larger slice of each employee's salary. Both changes took effect 6 April 2025 and carry forward unchanged into 2026-27.
For a full-time employee on the National Living Wage (£12.71/hr, 37.5hrs/wk — approximately £25,000/yr), the combined impact adds around £865 per year in employer NI compared to 2024-25. For a £50,000 salary, the additional cost is approximately £1,460 per year.
Extra annual cost per employee — 2025-26 vs 2024-25
Assumes full-year employment, no exemptions. Rounded to nearest £1.
Save Up to £10,500 on Your NI Bill
The Employment Allowance was doubled to £10,500 in April 2025 as partial compensation for the rate rise. It offsets your employer NI liability — many small businesses pay zero employer NI as a result.
Who Qualifies
Most UK employers. Your total employer NI liability in the prior tax year must have been under £100,000. Applies to limited companies, partnerships, sole traders with employees, and charities.
Who Does Not Qualify
Single-director companies with no other employees on the payroll. Public sector bodies (excluding charities). Employers where all workers are employed for personal, household, or domestic work.
How to Claim
Claim through your payroll software by setting the Employment Allowance indicator to "Yes" in your EPS (Employer Payment Summary) submission to HMRC. You can claim at any point in the tax year.
Frequently Asked Questions
Calculate Your Employer NI Now
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