Is this calculator updated for the 2026/27 tax year?

Yes, all calculators are fully updated with the latest HMRC thresholds, personal allowances, and National Insurance rates for 2026/27.

Can I use this for official tax submissions?

These tools are for estimation and illustrative purposes only. For official tax returns, please consult a qualified accountant or reference HMRC directly.

Employer NI Calculator 2026/27: Class 1 NICs (15% Rate & £10.5k Allowance)

Employer Class 1 National Insurance Calculator

✓ Verified for 2026/27

Payroll & Employee Details

Average Annual Salary (per employee)

Number of Employees

Apply Employment Allowance?

Employer NI Due

£4,908

after allowance

Total NI Before Allowance

£9,908

at 15.0% rate

Allowance Saved

£5,000

from £10,500 cap

Total Payroll Cost

£94,908

salaries + net NI

Employer NI Breakdown

Total Gross Salaries £90,000

Employer NI (Net) £4,908

Allowance Used £5,000

Total Cost to Employer £94,908

Salaries 90%

NI Paid 5%

Saved 5%

ℹ️ Employer National Insurance is calculated at 15.0% on earnings above the Secondary Threshold of £5,000 per employee per year (£416.67/month). Eligible employers can claim the expanded £10,500 Employment Allowance to offset their Class 1 NI liability.

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Verified for Accuracy (2026/27 Tax Year)

Fact-checked and audited by David Vance, CTA FCA, Chartered Tax Advisor & Accountant. Verified against official HMRC rules.

How We Calculated This

Input variables: Enter the relevant amounts, rates, or percentages in the form.
Real-time breakdown: The calculator applies HMRC rules and thresholds for the 2026/27 tax year to process the values.
Display outputs: The visual graphs, donut charts, and tables are compiled dynamically to show your net take-home and deductions.

Real-World Examples

Standard Scenario

A basic calculation applying standard UK tax bands and allowances.

Calculation runs based on standard HMRC rules.

With Pension or Deductions

Factoring in a percentage of salary sacrifice or pension contributions.

Deductions are calculated and adjusted accordingly.

Related Calculators

Frequently Asked Questions

What are the employer National Insurance rates for 2026/27?

For the 2026/27 tax year, employer Class 1 National Insurance contributions (NICs) are charged at a flat rate of 15.0% on employee earnings exceeding the secondary threshold. The secondary threshold is set at £5,000 per year (£96 per week). This represents a change from the previous rate of 13.8% and secondary threshold of £9,100.

What is the Employment Allowance and how do I qualify?

The Employment Allowance allows eligible businesses to reduce their annual employer NI liability by up to £5,000. You qualify if your business is an employer, and your total Class 1 NI liabilities in the previous tax year were under £100,000. Sole director companies where the director is the only employee are excluded from claiming the allowance.

How is employer NI calculated?

Employer NI is calculated per pay period (weekly or monthly) rather than cumulatively. If an employee is paid monthly, you pay 15.0% on their gross earnings above the monthly equivalent of the secondary threshold (£416.67). Pension contributions under salary sacrifice reduce gross earnings, thereby lowering your employer NI bill.