Hello
Can anyone shed any light on a query relating to NI contributions.
I earn approx 21 k per year excl bonuses. Today I got a large bonus making my gross pay this month over 7K.
I thought that NI is calculated at 11% over the allowance of £4895 per year.
It then reduces to 1% at £32,760 and above.
I have been charged NI calculated on an annual salary of £87921, so due to the rate reducing £32,760, I have only paid £301 NI. This is correct if I was earning £87921 but I will only earn approx £26K this year.
My query/question is will they claw back the balance I have not paid.
I initially thought they would but then found this on the T'internet ....
NICs have to be worked out on a payment-by-payment basis. The contributions are calculated as a percentage of an employee's gross pay above the LET, based on the interval which the payment covers.
Copied and pasted from www.yourpeoplemanager.com/Yf5RbGNoivVsHw.html
(Sorry do not know how to quote
)
Your comments would be appreciated
Can anyone shed any light on a query relating to NI contributions.
I earn approx 21 k per year excl bonuses. Today I got a large bonus making my gross pay this month over 7K.
I thought that NI is calculated at 11% over the allowance of £4895 per year.
It then reduces to 1% at £32,760 and above.
I have been charged NI calculated on an annual salary of £87921, so due to the rate reducing £32,760, I have only paid £301 NI. This is correct if I was earning £87921 but I will only earn approx £26K this year.
My query/question is will they claw back the balance I have not paid.
I initially thought they would but then found this on the T'internet ....
NICs have to be worked out on a payment-by-payment basis. The contributions are calculated as a percentage of an employee's gross pay above the LET, based on the interval which the payment covers.
Copied and pasted from www.yourpeoplemanager.com/Yf5RbGNoivVsHw.html
(Sorry do not know how to quote
)Your comments would be appreciated