Employers NIC – “The Jobs Tax”
For every employee you have on the payroll who earns over £7956; you and your business will have to pay 13.8% NationaI Insurance Contribution (just another name for tax) on any earnings over this amount. That’s why it’s nicknamed the jobs tax! However a recent initiative will help reduce this and could potentially save you up to £2000.
Employers can reduce the amount of National Insurance contributions (NICs) they pay for their employees by up to £2,000. This is called the ‘Employment Allowance’. Employment Allowance can be claimed from 6 April 2014.Up to 1.25 million businesses and charities will benefit from Employment Allowance.Around 450,000 businesses and charities won’t have to pay any employer National Insurance contributions at all. This is a real saving and extra money staying in your business. Dont miss out!
If you have any questions about this please contact me on 0116 3677424.
If you have any questions about this please contact me on 0116 3677424.
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