Dear UKPF Accounting Dept,
Despite reading a good few explanations online I still ended up confused
Am I right in thinking NI Class 4 starts at £8164 at 9% and therefore well before the tax free £11,500 allowance? And this stays at 9% until £45k (or some such amount i will never get close to so i'm not fussed about.)
And Class 2 I've read is £2.85 a week on profits between £6,025 and £8,164. How is this worked out? I don't understand whether this means you pay £2.85 x 52 weeks if you earn more than £6,025 or whether it's £2.85 for however many weeks it took you to go from £6,025 to £8,164 (which seems a weird way to do it) or something else...? I know I can just set aside £140 to cover it but would like to understand it.
Thanks
Despite reading a good few explanations online I still ended up confused
Am I right in thinking NI Class 4 starts at £8164 at 9% and therefore well before the tax free £11,500 allowance? And this stays at 9% until £45k (or some such amount i will never get close to so i'm not fussed about.)
And Class 2 I've read is £2.85 a week on profits between £6,025 and £8,164. How is this worked out? I don't understand whether this means you pay £2.85 x 52 weeks if you earn more than £6,025 or whether it's £2.85 for however many weeks it took you to go from £6,025 to £8,164 (which seems a weird way to do it) or something else...? I know I can just set aside £140 to cover it but would like to understand it.
Thanks
