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 2013 and 5 April 2014.
If you need rates and thresholds for the tax year 2012-13 there's a link at the end of this page.
On this page:
PAYE tax rates, thresholds and codes |
Figures to use 2013-14 |
|---|---|
PAYE tax threshold |
£182 per week |
Basic tax rate |
20% on annual earnings above the PAYE tax threshold and up to £32,010 |
Higher tax rate |
40% on annual earnings from £32,011 to £150,000 |
Additional tax rate |
45% on annual earnings above £150,000 |
Emergency tax code |
944L |
Understanding employee tax codes
Class 1 NICs thresholds |
Figures to use 2013-14 |
|---|---|
Lower earnings limit (LEL) |
£109 per week |
Secondary Threshold (ST) |
£148 per week |
Primary Threshold (PT) |
£149 per week |
Upper accrual point (UAP) |
£770 per week |
Upper earnings limit (UEL) |
£797 per week |
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% |
10.60% |
12% |
2% |
E |
0% |
0% |
5.85% |
5.85% |
2% |
J |
0% |
0% |
2% |
2% |
2% |
L |
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 |
1.40% |
1.40% |
E |
NIL |
NIL |
J |
N/A |
N/A |
L |
1.40% |
1.40% |
National Insurance for employers: the basics
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% |
10.40% |
10.40% |
13.80% |
13.80% |
3.40% |
E |
0% |
10.40% |
10.40% |
13.80% |
13.80% |
3.40% |
J |
0% |
13.80% |
13.80% |
13.80% |
13.80% |
N/A |
L |
0% |
10.40% |
10.40% |
13.80% |
13.80% |
3.40% |
National Insurance for employers: the basics
The rates below apply from 1 October 2012 and are likely to change again on 1 October 2013.
| Category of worker | Hourly rate from 1 Oct 2012 |
|---|---|
| Aged 21 and above |
£6.19 |
| Aged 18 to 20 inclusive |
£4.98 |
| Aged under 18 (but above compulsory school age) | £3.68 |
| Apprentices aged under 19 | £2.65 |
| Apprentices aged 19 and over, but in the first year of their apprenticeship | £2.65 |
| Type of payment or recovery | Figures to use 2013-14 |
|---|---|
| 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 |
£136.78 or 90% of the employee's average weekly earnings, whichever is lower |
| Ordinary Statutory Paternity Pay (OSPP) and Additional
Statutory Paternity Pay (ASPP) - weekly rate |
£136.78 or 90% of the employee's average weekly earnings, whichever is lower |
| Statutory Adoption Pay (SAP) - weekly rate | £136.78 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 |
Maternity, paternity, adoption, sickness
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) 2013-14 | Rate of payment or recovery | Unrounded daily rates (for use with payroll software) |
|---|---|---|
| Standard weekly rate |
£86.70 | N/A |
| Daily rate - employees with one qualifying day
in the week |
£86.70 | £86.6999 |
| Daily rate - employees with two qualifying days
in the week |
£43.35 | £43.3500 |
| Daily rate - employees with three qualifying days
in the week |
£28.90 | £28.9000 |
| Daily rate - employees with four qualifying days
in the week |
£21.68 | £21.6750 |
| Daily rate - employees with five qualifying days
in the week |
£17.34 | £17.3400 |
| Daily rate - employees with six qualifying days
in the week |
£14.45 | £14.4500 |
| Daily rate - employees with seven qualifying days
in the week |
£12.39 | £12.3857 |
| 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 |
Maternity, paternity, adoption, sickness
| Rate or threshold | Figures to use 2013-14 |
|---|---|
| Employee earnings threshold at which repayment of student loans begin | £16,365 per year £1,363.75 per month £314.71 per week |
| Rate of student loan deductions | 9% |
| NICs class | Rate 2013-14 |
|---|---|
| Class 1A NICs |
13.8% - for benefits provided in 2013-14 |
Find out more about expenses and benefits
The rates below apply from 1 March 2013.
| 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 |
13p |
| 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 2013-14 |
|---|---|
| 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 |
Mileage expenses for business travel in employee's own vehicles
| NICs class | Rate 2013-14 |
|---|---|
| Class 1B NICs | 13.8% - for benefits provided in 2013-14 |
If you still need rates and thresholds relating to the 2012-13 tax year, you can visit this archive page.
