Employee details
£
Employer NIC — annual cost per employee
£0
at 15% on earnings above £5,000
£0Per month
£0Per week
£0All employees combined
£0True employment cost
For guidance only — not financial, tax or legal advice. Verify with a qualified professional.
About employer NIC in 2026/27
What changed in April 2026?
The Autumn 2024 Budget raised the employer NIC rate from 13.8% to 15% and cut the Secondary Threshold from £9,100 to £5,000. This took effect April 2025 and continues for 2026/27. The Employment Allowance rose to £10,500 to offset some of the impact on smaller employers.
What is the Secondary Threshold?
The point at which employer NIC kicks in. For 2026/27 it is £5,000 per year (£96.15/week). You pay 15% on everything above this — nothing below.
What is the Employment Allowance and do I qualify?
The Employment Allowance lets eligible employers deduct up to £10,500 from their annual NIC bill. Most businesses qualify. You cannot claim if your employer NIC bill exceeded £100,000 in the prior tax year, or if you are a sole director with no other employees. This calculator shows gross NIC before any allowance deduction.
Do apprentices and veterans pay less?
Yes. Employers pay 0% NIC for apprentices under 25, armed forces veterans in their first civilian year, and employees in Freeport or Investment Zones — up to the Upper Secondary Threshold of £50,270. Standard 15% applies above that.
How accurate is this calculator?
It uses HMRC 2026/27 published rates and thresholds. Results are for guidance — consult your accountant or payroll provider for complex situations, particularly if you claim reliefs or have unusual pay structures.