April changes for Living Wage and National Insurance
There are two big changes for employee pay this April.
The rates for the National Living Wage and the National Insurance are changing.
Here’s what you need to know.
From April 2022, workers will be entitled to the new rates. The National Living Wage applies to those aged 23 and over and its increased by 6.6%, to £9.50 per hour.
New Rates for employees:
- National Living Wage £9.50
- 22-22 year olds £9.18
- 18-20 year olds £6.83
- 16-17 year olds £4.81
- Apprentice rate £4.81
This April also sees a temporary change to the employee rate for National Insurance.
For the next year, the National Insurance rate is increasing by 1.25 percentage points to 13.25%.
- The new rate will last until April 2023
- It will be spent on the NHS, health and social care in the UK
- The threshold to start paying into the National Insurance pot has increased to £9,880 p/a from £9,568. If you earn less than this you won’t pay any National Insurance.
To find out more, and which rates applies to you, head to the government site National Insurance and National Minimum Wage Rates
Need help? The team are available to chat should you need any advice. Call us on 01747 825568.