LOOKING AT MAXIMISING YOUR TAKE HOME PAY AND CONSIDERING BECOMING THE DIRECTOR OF YOUR OWN LIMITED COMPANY. UMBRELLA.CO.UK HAVE THE FLEXIBILITY TO OFFER YOU THE BEST POSSIBLE SERVICE.

Tax Factsheet

Check here for the latest tax information changed as and when the relevant legislation changes

Are you a public sector contractor?  Find out how the April legislation changes will affect you and what to do next.

Income Tax

Bands2016/172017/18
Basic Rate 20%£0-£32,000£0-£33,500
Higher Rate 40%£32,001-£150,000£33,500-£150,000
Additional Rate 45%Over £150,000Over £150,000

Personal allowances

Personal allowances2016/172017/18
Personal allowance£11,000£11,500
Income limit for personal allowance£100,000£100,000
Blind person's allowance£2,290£2,230
Income limit for married couples£27,700£28,000

Class 1 NICs: thresholds

Class 1 NICs thresholdsFigures to use 2016/17Figures to use 2017/18
Lower earnings limit (LEL)

£112 per week

£485.33 per month

£5,824 per year

£113 per week

£489.66 per month

£5,876 per year

Primary Threshold (PT)

£155 per week

£671.66 per month

£8,060 per year

£157 per week

£680.33 per month

£8,164 per year

Secondary Threshold (ST)

£156 per week

£676 per month

£8,112 per year

£157 per week

£680.33 per month

£8,164 per year

Upper earnings limit (UEL)

£827 per week

£3,583.66 per month

£43,004 per year

£866 per week

£3,752.66 per month

£45,032 per year

Class 1 NICs: rates for employee (primary) contributions
NICs deductions should not be made on earnings below the Lower Earnings Limit (LEL)

NICs category letterEarnings at or above LEL up to and including PTEarnings above the PT up to and including UAPEarnings above UAP up to and including UELBalance of earnings above UEL
A0%12%12%2%
B0%5.85%5.85%2%
CNILNILNILNIL
D0%10.60%12%2%
E0%5.85%5.85%2%
J0%2%2%2%
L1.4% rebate2%2%2%

 

 

Thank you - really grateful for all of your help (again!).  I have a much better understanding and that's entirely due to you.

Anon July 2014