, to work out the amount of notional Class 2 SS contributions
the decision maker should decide the amount of chargeable income.
If that amount is more than the SEE limit, the decision maker
should
1) count the number of days in the assessment period
2) deduct seven days from the figure at
1. for each week which is disregarded from the assessment
period
3) multiply the number of days by the weekly rate of Class 2
contributions applicable at the date of application (Appendix 2)
4) divide the amount by seven
5) round up any fraction of a penny.
Note No deduction is made for notional Class 2 SS
contributions if the chargeable income is equal to or less than the
SEE limit
Application made on 16.1.99. The decision maker has decided that
the assessment period is from 1.7.98 to 31.12.98 and that two weeks
in that period should be disregarded because the self-employed
earner was away from business on holiday. The decision maker has
also decided the amount of chargeable income. It is more than the
SEE limit.
The decision maker decides the amount of notional Class 2 SS
contributions is £154.22 because
1) the number of days in the assessment period is 170 (184
days - 14 days)
2) the weekly rate of Class 2 contributions applicable at the
date of claim is £6.35
3) 170 days x £6.35 = £1,079.50
4) £1,079.50 ÷ 7 = £154.21428
5) £154.21428 rounded up is £154.22.
