There is no payment of Class 1 NICs on earnings up to the
Earnings Thresholds (the Primary and Secondary Thresholds - see
NIM01008). However, once earnings reach
the Lower Earnings Limit (‘LEL’ - see
NIM01005) employee contributions are
treated as having been paid on earnings from the LEL up to and
including the Primary Threshold. This provision protects the
benefit entitlement position of those earning above the Lower
Earnings Limit who would have been removed from paying NICs by the
introduction of the Primary Threshold (see
NIM01012).
For further guidance on NIC thresholds and limits, see
NIM11000 onwards. If aggregation of
earnings is involved (
NIM01004), see also
NIM10000 onwards.
