The tables below show the rates and thresholds that apply when you operate your payroll or provide expenses and benefits to your employees. Unless otherwise stated, the figures quoted apply between 6 April 2011 and 5 April 2012.
On this page:
| PAYE tax rates, thresholds and codes | Figures to use 2011-12 |
|---|---|
| PAYE tax threshold | £144 per week £623 per month £7,475 per year |
| Basic tax rate | 20% on annual earnings above the PAYE tax threshold and up to £35,000 |
| Higher tax rate | 40% on annual earnings from £35,001 to £150,000 |
| Additional tax rate | 50% on annual earnings above £150,000 |
| Emergency tax code | 747L |
Find out more about employee tax codes
| Class 1 NICs thresholds | Figures to use 2011-12 |
|---|---|
| Lower earnings limit (LEL) | £102 per week £442 per month £5,304 per year |
| Secondary Threshold (ST) | £136 per week £589 per month £7,072 per year |
| Primary Threshold (PT) | £139 per week £602 per month £7,225 per year |
| Upper accrual point (UAP) |
£770 per week £3,337 per month £40,040 per year |
| Upper earnings limit (UEL) |
£817 per week £3,540 per month £42,475 per year |
NICs deductions should not be made on earnings below the Lower Earnings Limit (LEL).
| NICs category letter | Earnings at or above LEL up to and including ST | Earnings above ST up to and including PT | Earnings above the PT up to and including UAP | Earnings above UAP up to and including UEL | Balance of earnings above UEL |
|---|---|---|---|---|---|
| A | 0% | 0% | 12% | 12% | 2% |
| B | 0% | 0% | 5.85% | 5.85% | 2% |
| C | NIL | NIL | NIL | NIL | NIL |
| D | 0% | 0% | 10.40% | 12% | 2% |
| E | 0% | 0% | 5.85% | 5.85% | 2% |
| F | 0% | 0% | 10.40% | 12% | 2% |
| G | 0% | 0% | 5.85% | 5.85% | 2% |
| J | 0% | 0% | 2% | 2% | 2% |
| L | 0% | 0% | 2% | 2% | 2% |
| S | 0% | 0% | 2% | 2% | 2% |
| NICs category letter | NICs rebate on earnings above LEL, up to and including ST | NICs rebate on earnings above ST, up to and including PT |
|---|---|---|
| A | N/A | N/A |
| B | N/A | N/A |
| C | N/A | N/A |
| D | 1.60% | 1.60% |
| E | NIL | NIL |
| F | 1.60% | 1.60% |
| G | NIL | NIL |
| J | N/A | N/A |
| L | 1.60% | 1.60% |
| S | 1.60% | 1.60% |
Find out more about Class 1 NICs category letters
NICs deductions should not be made on earnings below the Lower Earnings Limit (LEL).
| NICs category letter | Earnings at or above LEL up to and including ST | Earnings above ST up to and including PT | Earnings above PT up to and including UAP | Earnings above UAP up to and including UEL | Balance of earnings above UEL | NICs rebate on earnings above LEL, up to and including ST |
|---|---|---|---|---|---|---|
| A | 0% | 13.80% | 13.80% | 13.80% | 13.80% | N/A |
| B | 0% | 13.80% | 13.80% | 13.80% | 13.80% | N/A |
| C | 0% | 13.80% | 13.80% | 13.80% | 13.80% | N/A |
| D | 0% | 10.1% | 10.10% | 13.80% | 13.80% | 3.70% |
| E | 0% | 10.10% | 10.10% | 13.80% | 13.80% | 3.70% |
| F | 0% | 12.40% | 12.40% | 13.80% | 13.80% | 1.40% |
| G | 0% | 12.40% | 12.40% | 13.80% | 13.80% | 1.40% |
| J | 0% | 13.80% | 13.80% | 13.80% | 13.80% | N/A |
| L | 0% | 10.10% | 10.10% | 13.80% | 13.80% | 3.70% |
| S | 0% | 12.40% | 12.40% | 13.80% | 13.80% | 1.40% |
Find out more about Class 1 NICs category letters
The rates below apply from 1 October 2011 and are likely to change again on 1 October 2012.
| Category of worker | Hourly rate from 1 Oct 2011 |
|---|---|
| Aged 21 and above |
£6.08 |
| Aged 18 to 20 inclusive |
£4.98 |
| Aged under 18 (but above compulsory school age) | £3.68 |
| Apprentices aged under 19 | £2.60 |
| Apprentices aged 19 and over, but in the first year of their apprenticeship | £2.60 |
Find out more about the national minimum wage
| Type of payment or recovery | Figures to use 2011-12 |
|---|---|
| Statutory Maternity Pay (SMP) - weekly rate for first six weeks | 90% of the employee's average weekly earnings |
| Statutory Maternity Pay (SMP) - weekly rate for remaining
weeks |
£128.73 or 90% of the employee's average weekly earnings, whichever is lower |
| Ordinary Statutory Paternity Pay (OSPP) & Additional
Statutory Paternity Pay (ASPP) - weekly rate |
£128.73 or 90% of the employee's average weekly earnings, whichever is lower |
| Statutory Adoption Pay (SAP) - weekly rate | £128.73 or 90% of the employee's average weekly earnings, whichever is lower |
| SMP/OSPP/ASPP/SAP - proportion of your payments you can recover from HMRC | 92% if your total Class 1 NICs (both employee and employer contributions) are above £45,000 for the previous tax year 103% if your total Class 1 NICs for the previous tax year are £45,000 or lower |
Find out more about statutory payments
The same weekly Statutory Sick Pay rate applies to all employees. However, the amount you must actually pay an employee for each day they're off work due to illness (the daily rate) depends on the number of 'qualifying days' they work each week.
| Statutory Sick Pay (SSP) 2011-12 | Rate of payment or recovery | Unrounded daily rates (for use with payroll software) |
|---|---|---|
| Standard weekly rate |
£81.60 | N/A |
| Daily rate - employees with 1 qualifying day in the week |
£81.60 | £81.6000 |
| Daily rate - employees with 2 qualifying days in the week |
£40.80 | £40.8000 |
| Daily rate - employees with 3 qualifying days in the week |
£27.20 | £27.2000 |
| Daily rate - employees with 4 qualifying days in the week |
£20.40 | £20.4000 |
| Daily rate - employees with 5 qualifying days in the week |
£16.32 | £16.3200 |
| Daily rate - employees with 6 qualifying days in the week |
£13.60 | £13.6000 |
| Daily rate - employees with 7 qualifying days in the week |
£11.66 | £11.6571 |
| Proportion of your SSP payments you can recover from HMRC |
Amounts in excess of 13 per cent of your total employee and employer Class 1 NICs liability for the month in question | N/A |
Find out more about Statutory Sick Pay
| Rate or threshold | Figures to use 2011-12 |
|---|---|
| Employee earnings threshold at which repayment of student loans begin | £15,000 per year £1,250 per month £288.46 per week |
| Rate of student loan deductions | 9% |
Find out more about student loans and PAYE
| NICs class | Rate 2011-12 |
|---|---|
| Class 1A NICs |
13.8% - for benefits provided in 2011-12 |
Find out more about expenses and benefits
The rates below apply from 1 December 2011.
| Engine size |
Petrol | LPG |
|---|---|---|
| 1400cc or smaller |
15p | 10p |
| 1401cc to 2000cc |
18p | 12p |
| Bigger than 2000cc |
26p | 18p |
| Engine size |
Diesel |
|---|---|
| 1600cc or smaller |
12p |
| 1601cc to 2000cc |
15p |
| Bigger than 2000cc |
18p |
Find out more about advisory fuel rates for company cars
| Type of vehicle | Rate per business mile 2011-12 |
|---|---|
| Car | For tax purposes: 45p for the first 10,000 business miles in a tax
year, then 25p for each subsequent mile
For NICs purposes: 45p for all business miles |
| Motorcycle | 24p for both tax and NICs purposes and for all business miles |
| Cycle | 20p for both tax and NICs purposes and for all business miles |
Find out more about mileage payments for business travel in employee's own vehicles
| NICs class | Rate 2011-12 |
|---|---|
| Class 1B NICs | 13.8% - for benefits provided in 2011-12 |
