Calculator
Employers' National Insurance calculator for 2026 to 2027
Enter a gross salary to see the employers' National Insurance, the minimum workplace pension and the full yearly cost of one employee in the UK.
The rates are for the tax year from 6 April 2026 to 5 April 2027.
Key facts
- Employer rate
- 15% on pay above the Secondary Threshold, with no upper limitHMRC, rates and thresholds for employers 2026 to 2027Checked 6 Oct 2026
- Secondary Threshold
- £5,000 a year, £417 a month or £96 a weekHMRC, rates and thresholds for employers 2026 to 2027Checked 6 Oct 2026
- Employment Allowance
- Up to £10,500 a year off the employer's whole billHMRC, rates and thresholds for employers 2026 to 2027, GOV.UK, Employment AllowanceChecked 6 Oct 2026
- Next change
- 6 April 2027, the start of the next tax yearHMRC, rates and thresholds for employers 2026 to 2027Checked 6 Oct 2026
Work out employers' National Insurance
Your estimate
The mark shows £50,270, the top of the pension band. Above it, the minimum pension cost stops growing. Employer National Insurance has no ceiling.
An employer with a UK pay bill over £3 million pays 0.5% of pay. Several EOR providers list this levy as an employer cost.
Employer costs, line by line
| Cost | Employer rate | Applies to | Per year | Source |
|---|---|---|---|---|
| Employer National InsuranceClass 1 secondary | 15% | £25,000.00Pay above £5,000 | £3,750.00 | HMRC, rates and thresholds for employers 2026 to 2027Checked 1 Oct 2026 |
| Workplace pensionautomatic enrolment minimum | 3% | £23,760.00Pay from £6,240 to £50,270 | £712.80 | The Pensions Regulator, making contributions, DWP, review of the automatic enrolment thresholds for 2026/27Checked 1 Oct 2026 |
| Employer costs | £4,462.80 |
Costs that this estimate leaves out
- Employer's liability insuranceThe law requires it, but the premium depends on the insurer and the type of work.
- Statutory sick, maternity and paternity payThe employer pays these only when the employee is ill or on leave.
All-in cost with a provider
Each provider's published monthly price for one employee. A "from" price is the lowest price, and the price for one country can be higher. When a provider publishes a price in pounds, we use it. Ask each provider for a quote.
- Gross salary
- Employer costs
- Provider fee
| Provider | Fee | All-in total per year | Quote |
|---|---|---|---|
| BoundlessFrom, in pounds. No set-up fee and no minimum commitment. The price can vary by country.Boundless pricingChecked 1 Oct 2026 | £149 a month£1,788.00 a year | £36,250.80 | Get a quote |
| RemoFirstFrom. The fee can vary by country.RemoFirst pricingChecked 1 Oct 2026 | US$199 a month£1,797.32 a year | £36,260.12 | Get a quote |
| PlayrollFrom, in pounds. No minimum commitment. A refundable deposit of 1 month's salary.Playroll pricingChecked 1 Oct 2026 | £319 a month£3,828.00 a year | £38,290.80 | Get a quote |
| SkuadPrice for the UK. Offers of US$299 with monthly billing and US$249 with yearly billing depend on hiring volume.Skuad UK pageChecked 1 Oct 2026 | US$449 a month£4,055.26 a year | £38,518.06 | Get a quote |
| MultiplierCore plan, with yearly billing. Add-ons that the law requires and an implementation fee can apply.Multiplier pricingChecked 1 Oct 2026 | US$459 a month£4,145.57 a year | £38,608.37 | Get a quote |
| Papaya GlobalFrom.Papaya Global pricingChecked 1 Oct 2026 | US$499 a month£4,506.84 a year | £38,969.64 | Get a quote |
| WorkMotionFrom, in pounds. At least 3 monthly fees for each employee. The deposit is the notice period in months times the monthly employment cost.WorkMotion pricingChecked 1 Oct 2026 | £399 a month£4,788.00 a year | £39,250.80 | Get a quote |
| DeelFrom. The UK page also lists an admin fee of 0.30% for liability cover, which our totals leave out.Deel pricingChecked 1 Oct 2026 | US$599 a month£5,410.02 a year | £39,872.82 | Get a quote |
| G-PFrom, in pounds. Discounts for volume.G-P pricingChecked 1 Oct 2026 | £549 a month£6,588.00 a year | £41,050.80 | Get a quote |
| RemotePrice in pounds. No deposit as a rule. Reserve payments only in rare, high-risk cases.Remote pricingChecked 1 Oct 2026 | £559 a month£6,708.00 a year | £41,170.80 | Get a quote |
| OysterPrice in pounds. Discounts for yearly billing. Oyster's help centre says that a fully refundable deposit of about 1 month of the total cost applies.Oyster pricingChecked 1 Oct 2026 | £599 a month£7,188.00 a year | £41,650.80 | Get a quote |
The fees use the ECB reference rates of 30 Sep 2026: €1 = 0.85463 GBP, 1.1355 USD. European Central BankChecked 1 Oct 2026
Assumptions
- The employee is 21 or older and is not an apprentice under 25. For younger employees and apprentices, the employer pays less National Insurance.
- The employee is between 22 and State Pension age, so automatic enrolment applies. The pension is the legal minimum: 3% from the employer on qualifying earnings.
- The estimate does not take off the Employment Allowance. It reduces the National Insurance bill of the whole employer, not the cost of one employee.
- The salary is paid in 12 equal monthly amounts. Each line is a yearly amount, rounded to the penny. Payroll works each month, so real amounts can differ by a few pence.
How employers' National Insurance works
- The rate
- The employer pays 15% of each employee's pay above the Secondary Threshold. This is Class 1 secondary National Insurance.HMRC, rates and thresholds for employers 2026 to 2027Checked 6 Oct 2026
- The Secondary Threshold
- The threshold is £5,000 a year. Payroll uses it for each pay period: £417 a month or £96 a week.HMRC, rates and thresholds for employers 2026 to 2027Checked 6 Oct 2026
- No upper limit
- The employer pays 15% on all pay above the threshold. The employer rate does not fall at higher pay.HMRC, rates and thresholds for employers 2026 to 2027Checked 6 Oct 2026
- Benefits in kind
- The employer also pays 15% Class 1A National Insurance on most taxable benefits, such as a company car. The calculator leaves them out.HMRC, rates and thresholds for employers 2026 to 2027Checked 6 Oct 2026
A worked example
- Take the yearly salaryThe employee earns £30,000 a year.
- Take off the Secondary Threshold£30,000 minus £5,000 leaves £25,000.
- Multiply by 15%£25,000 times 15% is £3,750 a year, or £312.50 a month.
Sources: HMRC, rates and thresholds for employers 2026 to 2027Checked 6 Oct 2026
When the employer pays less
- Employees under 21
- The employer pays 0% on pay up to £50,270 a year, the Upper Secondary Threshold. Above it, the employer pays 15%.HMRC, rates and thresholds for employers 2026 to 2027Checked 6 Oct 2026
- Apprentices under 25
- The employer pays 0% on pay up to £50,270 a year, the Apprentice Upper Secondary Threshold. Above it, the employer pays 15%.HMRC, rates and thresholds for employers 2026 to 2027Checked 6 Oct 2026
- Other reduced rates
- Other reduced rates apply to some armed forces veterans, and to employees in freeports and investment zones.HMRC, rates and thresholds for employers 2026 to 2027Checked 6 Oct 2026
The calculator uses the full rate. It assumes that the employee is 21 or older and is not an apprentice under 25.
The Employment Allowance
- The amount
- An eligible employer pays up to £10,500 less employers' National Insurance each tax year. Payroll takes it off until the amount is used.GOV.UK, Employment Allowance, HMRC, rates and thresholds for employers 2026 to 2027Checked 6 Oct 2026
- One claim for each group
- In a group of companies, only one company can claim it.GOV.UK, Employment Allowance: check if you're eligibleChecked 6 Oct 2026
- Companies with one director
- The director cannot be the only employee who is paid above the Secondary Threshold.GOV.UK, Employment Allowance: check if you're eligibleChecked 6 Oct 2026
The calculator does not take off the allowance. It reduces the bill of the whole employer, not the cost of one employee.
Hiring in the UK without a UK company
A company outside the UK can hire through an employer of record (EOR). The EOR employs the worker, runs the UK payroll and pays the same National Insurance. It adds its own fee. See the full cost with each provider in our UK guide.
An EOR suits a company that hires one or a few people in the UK. Read how an employer of record works.
Questions and answers
How much is employers' National Insurance in 2026 to 2027?
Employers pay 15% on each employee's pay above £5,000 a year. On a salary of £30,000, that is £3,750 a year.
How do you calculate employers' National Insurance?
Take the yearly salary, take off £5,000, and multiply the rest by 15%. Payroll does this for each pay period, with a threshold of £417 a month or £96 a week.
Is there an upper limit on employers' National Insurance?
No. The employer pays 15% on all pay above the threshold. Only employees under 21 and apprentices under 25 have a 0% rate, up to £50,270 a year.
Does the Employment Allowance reduce the cost?
It can. An eligible employer pays up to £10,500 less each tax year. The allowance applies to the whole employer, so the calculator does not take it off the cost of one employee.
When do the rates change?
The next tax year starts on 6 April 2027. We update this page when HMRC publishes the rates for 2027 to 2028.
Change log
- We published this page with the rates for 2026 to 2027.
Warning: This page is not legal or tax advice. The figures come from official sources, but your case can be different. Check them with a payroll expert before you hire.