{"id":220026,"date":"2022-07-07T11:10:10","date_gmt":"2022-07-07T11:10:10","guid":{"rendered":"https:\/\/www.pearlaccountants.com\/?p=218927"},"modified":"2023-10-13T08:31:44","modified_gmt":"2023-10-13T08:31:44","slug":"what-is-national-insurance","status":"publish","type":"post","link":"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/","title":{"rendered":"Guide to National Insurance"},"content":{"rendered":"\n<p>National Insurance is mandatory in the UK; it pays for certain benefits and the state pension. Whether you are employed or self-employed, our guide will give you the ins and outs<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#What_is_National_Insurance\" title=\"What is National Insurance?\">What is National Insurance?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#National_Insurance_classes\" title=\"National Insurance classes\">National Insurance classes<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#The_Benefits_of_NI_Contributions\" title=\"The Benefits of NI Contributions\">The Benefits of NI Contributions<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#Is_National_Insurance_Mandatory\" title=\"Is National Insurance Mandatory?\">Is National Insurance Mandatory?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#When_do_I_stop_paying\" title=\"When do I stop paying\">When do I stop paying<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#Who_can_get_an_NI_number\" title=\"Who can get an NI number\">Who can get an NI number<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#Good_to_know\" title=\"Good to know\">Good to know<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#How_do_I_apply\" title=\"How do I apply\">How do I apply<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#Does_My_NI_number_ever_change\" title=\"Does My NI number ever change?\">Does My NI number ever change?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#Where_can_I_find_my_NI_number\" title=\"Where can I find my NI number?\">Where can I find my NI number?<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#How_much_NI_do_you_pay\" title=\"How much NI do you pay?\">How much NI do you pay?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#Employed_Self-Employed\" title=\"Employed &amp; Self-Employed\">Employed &amp; Self-Employed<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#The_increase_applies_to\" title=\"The increase applies to:\">The increase applies to:<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#Late_NI_Payments\" title=\"Late NI Payments\">Late NI Payments<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#If_your_payment_is_30_days_late\" title=\"If your payment is 30 days late\">If your payment is 30 days late<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#If_your_payment_is_60_days_late\" title=\"If your payment is 60 days late\">If your payment is 60 days late<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#If_your_payment_is_12_months_late\" title=\"If your payment is 12 months late\">If your payment is 12 months late<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#Need_to_check_your_record\" title=\"Need to check your record?\">Need to check your record?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_National_Insurance\"><\/span>What is National Insurance?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>National Insurance Contribution is a tax on earnings paid by employees and employers. Whether you have a job or are self-employed, it can help you get benefits like the State Pension and Maternity Allowance.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"National_Insurance_classes\"><\/span>National Insurance classes<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Your employment status and income determine the class you pay for.<\/p>\n\n\n\n<p><strong>The table below explains each class according to your employment status and earnings<\/strong><\/p>\n\n\n\n<div style=\"height:10px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th><strong>National Insurance Class<\/strong><\/th><th class=\"has-text-align-left\" data-align=\"left\"><strong>Employment Status<\/strong><\/th><\/tr><\/thead><tbody><tr><td><strong>Class 1<\/strong><\/td><td class=\"has-text-align-left\" data-align=\"left\">Your employer will automatically deduct your pay if you earn more than \u00a3242&nbsp;a week and are under State Pension age.<\/td><\/tr><tr><td><strong>Class 1A or 1B<\/strong><\/td><td class=\"has-text-align-left\" data-align=\"left\">Employers directly fund these through employee expenses or benefits<\/td><\/tr><tr><td><strong>Class 2<\/strong><\/td><td class=\"has-text-align-left\" data-align=\"left\"><a href=\"https:\/\/www.pearlaccountants.com\/who-we-help\/accountants-for-sole-traders\/\">Self-employed<\/a> persons with yearly profits of at least \u00a36,725 or more.&nbsp;<br><br>If your income is below this amount, you may choose to make voluntary payments to close or prevent gaps in your National Insurance record.<\/td><\/tr><tr><td><strong>Class 2<\/strong><\/td><td class=\"has-text-align-left\" data-align=\"left\">You may make voluntary contributions to fix or prevent gaps in your National Insurance record.<\/td><\/tr><tr><td><strong>Class 4<\/strong><\/td><td class=\"has-text-align-left\" data-align=\"left\">Self-employed individuals making \u00a311,909 or more in annual earnings<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_Benefits_of_NI_Contributions\"><\/span>The Benefits of NI Contributions<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong>The following table shows each National insurance class and benefits<\/strong>.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th><\/th><th>Class 1<\/th><th>Class 2<\/th><th>Class 3<\/th><\/tr><\/thead><tbody><tr><td><strong>Basic State Pension<\/strong><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><\/tr><tr><td><strong><strong>Additional State Pension<\/strong><\/strong><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><td><img decoding=\"async\" class=\"wp-image-218948\" style=\"width: 21px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/07\/times-mark-1.png\" alt=\"times mark\"><\/td><td><img decoding=\"async\" class=\"wp-image-218948\" style=\"width: 21px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/07\/times-mark-1.png\" alt=\"times mark\"><\/td><\/tr><tr><td><strong>New State Pension<\/strong><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><\/tr><tr><td><strong>Contribution-based Jobseeker&#8217;s Allowance<\/strong><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><td><img decoding=\"async\" class=\"wp-image-218948\" style=\"width: 21px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/07\/times-mark-1.png\" alt=\"times mark\"><\/td><td><img decoding=\"async\" class=\"wp-image-218948\" style=\"width: 21px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/07\/times-mark-1.png\" alt=\"times mark\"><\/td><\/tr><tr><td><strong>Contribution-based Employment and Support Allowance<\/strong><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><\/tr><tr><td><strong>Maternity Allowance<\/strong><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><\/tr><tr><td><strong>Bereavement Support Payment<\/strong><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><td><img decoding=\"async\" class=\"wp-image-218836\" style=\"width: 30px;\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/06\/check-mark-1.png\" alt=\"check mark\"><\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Is_National_Insurance_Mandatory\"><\/span>Is National Insurance Mandatory?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>You must pay National Insurance if you are 16 or older and:<\/p>\n\n\n\n<ul>\n<li>You must pay National Insurance if you are 16 or older and:<\/li>\n\n\n\n<li>You make a profit of \u00a36,725 or more as a self-employed individual<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"When_do_I_stop_paying\"><\/span>When do I stop paying<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul>\n<li>You stop paying Class 1 and Class 2 NI at the state pension age.<\/li>\n\n\n\n<li>Class 4 NI contributions stop on April 6 after the state pension age.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Who_can_get_an_NI_number\"><\/span>Who can get an NI number<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>You can request a National Insurance number if:<\/p>\n\n\n\n<ul>\n<li>UK-based<\/li>\n\n\n\n<li>have UK work rights<\/li>\n\n\n\n<li>working, seeking a job, or offered work<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Good_to_know\"><\/span><strong><u>Good to know<\/u><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul>\n<li>If you can verify your UK work eligibility, you may start working before receiving your National Insurance number<\/li>\n\n\n\n<li>Even if your personal information changes, you don&#8217;t have to get a new National Insurance number if you already have one. Your Social Security number remains the same for the rest of your life.<\/li>\n<\/ul>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"alignright size-full is-resized\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/07\/maternity-ward.png\" alt=\"maternity ward\" class=\"wp-image-218761\" width=\"461\" height=\"307\" srcset=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/07\/maternity-ward.png 922w, https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/07\/maternity-ward-300x200.png 300w\" sizes=\"(max-width: 461px) 100vw, 461px\" \/><\/figure><\/div>\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_do_I_apply\"><\/span>How do I apply<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>You will need to<a href=\"https:\/\/www.gov.uk\/apply-national-insurance-number\"> apply<\/a> for a National Insurance number to ensure all contributions made are recorded against your name<\/p>\n\n\n\n<p>Can&#8217;t find your NI number? You can find it(<a href=\"https:\/\/www.gov.uk\/lost-national-insurance-number\" target=\"_blank\" rel=\"noreferrer noopener\"> lost national insurance number<\/a>)<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Does_My_NI_number_ever_change\"><\/span>Does My NI number ever change?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>It never changes and is composed of letters and numbers.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Where_can_I_find_my_NI_number\"><\/span>Where can I find my NI number?<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Your National Insurance number may be found here:<\/p>\n\n\n\n<ul>\n<li>Payslips<\/li>\n\n\n\n<li>Your P60<\/li>\n\n\n\n<li>Letters related to tax<\/li>\n\n\n\n<li>Pensions or benefits<\/li>\n\n\n\n<li>On your tax account<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_much_NI_do_you_pay\"><\/span>How much NI do you pay?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Your employment status and income determine the amount you pay.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table><thead><tr><th>Class<\/th><th>Income<\/th><th>National insurance rate<\/th><th>How to pay<\/th><\/tr><\/thead><tbody><tr><td>1<\/td><td>\u00a3242 to \u00a3967 a week (\u00a31,048 to \u00a34,189 a month)<\/td><td>13.25%<\/td><td>With your taxes, you pay National Insurance. Your boss will take it out of your pay before they pay you, and your contributions will be listed on your pay slip<\/td><\/tr><tr><td>1<\/td><td>Over \u00a3967 a week (\u00a34,189 a month)<\/td><td> 3.25% <\/td><td> With your taxes, you pay National Insurance. Your boss will take it out of your pay before they pay you, and your contributions will be listed on your pay slip <\/td><\/tr><tr><td>2<\/td><td>Depends on profits<\/td><td>&#8211;<\/td><td>Contributions are made via your self-assessment<\/td><\/tr><tr><td>4<\/td><td> Depends on profits <\/td><td>&#8211;<\/td><td> Contributions are made via your self-assessment <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p>Need help with your self-assessment? <a href=\"https:\/\/www.pearlaccountants.com\/schedule-a-meeting\/\">Speak<\/a> to one of our specialists<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Employed_Self-Employed\"><\/span>Employed &amp; Self-Employed<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>If you are employed and do some self-employed work too, the following will happen<\/p>\n\n\n\n<ul>\n<li>Class 1 will be deducted by your employer<\/li>\n\n\n\n<li>Class 2 or class 4 would then be paid on all self-employed work<\/li>\n<\/ul>\n\n\n\n<p><strong><em>From April 6, 2022, to April 5, 2023, NI contributions go up by 1.25 per cent due to the health and social levy<\/em><\/strong><\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"The_increase_applies_to\"><\/span>The increase applies to:<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul>\n<li>Class 1<\/li>\n\n\n\n<li>Class 1A and 1B<\/li>\n\n\n\n<li>Class 4<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Late_NI_Payments\"><\/span>Late NI Payments<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The HMRC will impose penalties if you do not pay your National Insurance on time. The penalty is 5% for each period missed, therefore ranging from 5%-15%.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"If_your_payment_is_30_days_late\"><\/span>If your payment is 30 days late<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul>\n<li>If the total amount is not paid within 30 days of the due date, there will be a 5% penalty.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"If_your_payment_is_60_days_late\"><\/span>If your payment is 60 days late<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul>\n<li>If the whole balance is not paid within six months of the due date, there will be an extra&nbsp;5%&nbsp;penalty.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"If_your_payment_is_12_months_late\"><\/span>If your payment is 12 months late<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul>\n<li>If the whole amount is not paid within 12 months of the due date, there will be an additional 5%&nbsp;penalty.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Need_to_check_your_record\"><\/span>Need to check your record?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>You can view your National Insurance record <a href=\"https:\/\/www.gov.uk\/check-national-insurance-record\">online<\/a> and be able to see:<\/p>\n\n\n\n<ul>\n<li>All contributions for the current tax year<\/li>\n\n\n\n<li>Any credits obtained&nbsp;<\/li>\n\n\n\n<li>Any gaps in contribution&nbsp;<\/li>\n\n\n\n<li>The amount payable to fill gaps&nbsp;<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The importance of making national insurance contributions cannot be stressed enough. Not only do you avoid any penalties for late payment, but you also ensure that you do not create any gaps in your record and therefore miss out on all the benefits of making these contributions.<\/p>\n\n\n\n<p><a href=\"https:\/\/www.pearlaccountants.com\/\">Pearl Accountants<\/a> is a team of specialists that have many years of experience. Should you have any questions or accounting needs, we would be happy to assist; get in <a href=\"https:\/\/www.pearlaccountants.com\/\">touch<\/a> today!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>National Insurance is mandatory in the UK; it pays for certain benefits and the state pension. Whether you are employed or self-employed, our guide will give you the ins and outs What is National Insurance? National Insurance Contribution is a tax on earnings paid by employees and employers. Whether you have a job or are <a href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/\" class=\"more-link\">&#8230;<span class=\"screen-reader-text\">  Guide to National Insurance<\/span><\/a><\/p>\n","protected":false},"author":5,"featured_media":219636,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[2208,2195,2198],"tags":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.5 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Guide to National Insurance | Pearl Accountants<\/title>\n<meta name=\"description\" content=\"National Insurance is a legal requirement in the UK; our guide explains the ins and outs to help you stay ahead.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Guide to National Insurance | Pearl Accountants\" \/>\n<meta property=\"og:description\" content=\"National Insurance is a legal requirement in the UK; our guide explains the ins and outs to help you stay ahead.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/\" \/>\n<meta property=\"og:site_name\" content=\"Pearl Chartered Accountants &amp; Tax Advisers\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/PearlCharteredAccountants\" \/>\n<meta property=\"article:published_time\" content=\"2022-07-07T11:10:10+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-10-13T08:31:44+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/07\/what-is-national-insurance.png\" \/>\n\t<meta property=\"og:image:width\" content=\"947\" \/>\n\t<meta property=\"og:image:height\" content=\"631\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"Jahan Aslam\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@PearlAccount\" \/>\n<meta name=\"twitter:site\" content=\"@PearlAccount\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Jahan Aslam\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"9 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/\"},\"author\":{\"name\":\"Jahan Aslam\",\"@id\":\"https:\/\/www.pearlaccountants.com\/#\/schema\/person\/0e9e9043be7355119b2601ac6c312596\"},\"headline\":\"Guide to National Insurance\",\"datePublished\":\"2022-07-07T11:10:10+00:00\",\"dateModified\":\"2023-10-13T08:31:44+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/\"},\"wordCount\":888,\"publisher\":{\"@id\":\"https:\/\/www.pearlaccountants.com\/#organization\"},\"image\":{\"@id\":\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/07\/what-is-national-insurance.png\",\"articleSection\":[\"Accounting\",\"Financial Advice\",\"Small Business Advice\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/\",\"url\":\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/\",\"name\":\"Guide to National Insurance | Pearl Accountants\",\"isPartOf\":{\"@id\":\"https:\/\/www.pearlaccountants.com\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.pearlaccountants.com\/blogs\/what-is-national-insurance\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.pearlaccountants.com\/wp-content\/uploads\/2022\/07\/what-is-national-insurance.png\",\"datePublished\":\"2022-07-07T11:10:10+00:00\",\"dateModified\":\"2023-10-13T08:31:44+00:00\",\"description\":\"National Insurance is a legal requirement in the UK; 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