Answers · UK 2025/26
What National Insurance do I pay as a self-employed sole trader in 2026/27?
You pay Class 4 NI at 6% on profits between GBP 12,570 and GBP 50,270, then 2% above that. Class 2 NI is no longer charged as a flat weekly fee, but profits above the GBP 12,570 threshold still count toward your State Pension and benefits record automatically.
Full answer
Self-employed NI changed significantly. Class 4 NI is now the main charge: 6% on profits between the GBP 12,570 lower limit and the GBP 50,270 upper limit, then 2% on everything above GBP 50,270. Class 2 is no longer a separate flat weekly payment for those with profits above the threshold; your contribution record is maintained automatically. Worked example: a sole trader with GBP 60,000 taxable profit. Class 4 on the band from GBP 12,570 to GBP 50,270 is 6% of GBP 37,700 = GBP 2,262. On the GBP 9,730 above GBP 50,270 it is 2% = GBP 194.60. Total Class 4 NI is GBP 2,456.60. If profits are below GBP 12,570, you pay no compulsory NI, but you may want to pay voluntary Class 2 contributions to protect your State Pension qualifying years; the full new State Pension is GBP 241.30 per week and needs about 35 qualifying years. Note this is separate from income tax. On the same GBP 60,000, income tax would be 20% on GBP 37,700 (GBP 7,540) plus 40% on GBP 9,730 (GBP 3,892), totalling GBP 11,432. Combined with NI your total deductions are GBP 13,888.60. Use the national-insurance and self-employed-tax calculators to model your exact position, and check current rates and voluntary contribution rules at gov.uk.
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This answer is informational only and does not constitute financial, tax or legal advice. Figures are for the 2025/26 UK tax year. See our methodology and sources.