PG电子

Unless otherwise stated, the following figures apply from 6 April 2024 to 5 April 2025.

PAYE tax and Class 1 National Insurance contributions

You normally聽operate PAYE as part of your payroll聽so HMRC can collect Income Tax and National Insurance from your employees.

Your payroll software will work out how much tax and National Insurance to deduct from your employees鈥� pay. If you decide to run payroll yourself, you need to聽find payroll software聽to do this.

Tax thresholds, rates and codes

The amount of Income Tax you deduct from your employees depends on their聽tax code聽and how much of their taxable income is above their聽Personal Allowance.

England and Northern Ireland

The standard employee personal allowance for the 2024 to 2025 tax year is:

• 拢242 per week
• 拢1,048 per month
• 拢12,570 per year

PAYE tax rate	Rate of tax	Annual earnings the rate applies to (above the PAYE threshold)
Basic tax rate	20%	Up to 拢37,700
Higher tax rate	40%	From 拢37,701 to 拢125,140
Additional tax rate	45%	Above 拢125,140

Scotland

The standard employee personal allowance for the 2024 to 2025 tax year is:

• 拢242 per week
• 拢1,048 per month
• 拢12,570 per year

PAYE tax rate	搁补迟别听辞蹿听迟补虫	Annual earnings the rate applies to (above the PAYE threshold)
Starter tax rate	19%	Up to 拢2,306
Basic tax rate	20%	From 拢2,307 to 拢13,991
Intermediate tax rate	21%	From 拢13,992 to 拢31,092
Higher tax rate	42%	From 拢31,093 to 拢62,430
Advanced tax rate	45%	From 拢62,431 to 拢125,140
Top tax rate	48%	Above 拢125,140

Wales

The standard employee personal allowance for the 2024 to 2025 tax year is:

• 拢242 per week
• 拢1,048 per month
• 拢12,570 per year

PAYE tax rate	搁补迟别听辞蹿听迟补虫	Annual earnings the rate applies to (above the PAYE threshold)
Basic tax rate	20%	Up to 拢37,700
Higher tax rate	40%	From 拢37,701 to 拢125,140
Additional tax rate	45%	Above 拢125,140

Emergency tax codes

The emergency tax codes from 6 April 2024 are:

• 1257L W1
• 1257L M1
• 1257L X

Find out more about聽emergency tax codes.

Class 1 National Insurance thresholds

You can only make National Insurance deductions on earnings above the lower earnings limit.

Class 1 National Insurance thresholds	2024 to 2025
Lower earnings limit	拢123 per week 拢533 per month 拢6,396 per year
Primary threshold	拢242 per week 拢1,048 per month 拢12,570 per year
Secondary threshold	拢175 per week 拢758 per month 拢9,100 per year
Freeport upper secondary threshold	拢481 per week 拢2,083 per month 拢25,000 per year
Investment Zone upper secondary threshold	拢481 per week 拢2,083 per month 拢25,000 per year
Upper secondary threshold (under 21)	拢967 per week 拢4,189 per month 拢50,270 per year
Apprentice upper secondary threshold (apprentice under 25)	拢967 per week 拢4,189 per month 拢50,270 per year
Veterans upper secondary threshold	拢967 per week 拢4,189 per month 拢50,270 per year
Upper earnings limit	拢967 per week 拢4,189 per month 拢50,270 per year

Class 1 National Insurance rates

Employee (primary) contribution rates

Deduct primary contributions (employee鈥檚 National Insurance) from your employees鈥� pay through PAYE.

National Insurance category letter	Earnings at or above lower earnings limit up to and including primary threshold	Earnings above primary threshold up to and including upper earnings limit	Balance of earnings above upper earnings limit
A	0%	8%	2%
B	0%	1.85%	2%
C	nil	nil	nil
D (Investment Zone 鈥� deferment)	0%	2%	2%
E (Investment Zone 鈥� married women and widows reduced rate)	0%	1.85%	2%
F (Freeport)	0%	8%	2%
H (apprentice under 25)	0%	8%	2%
I (Freeport 鈥� married women and widows reduced rate)	0%	1.85%	2%
J	0%	2%	2%
K (Investment Zone 鈥� state pensioner)	nil	nil	nil
L (Freeport 鈥� deferment)	0%	2%	2%
M (under 21)	0%	8%	2%
N (Investment Zone)	0%	8%	2%
S (Freeport 鈥� state pensioner)	nil	nil	nil
V (veteran)	0%	8%	2%
Z (under 21 鈥� deferment)	0%	2%	2%

Employer (secondary) contribution rates

You pay secondary contributions (employer鈥檚 National Insurance) to HMRC as part of your PAYE bill. Find out more about聽running payroll and paying HMRC.

Pay employers鈥� PAYE tax and National Insurance.

National Insurance category letter	Earnings at or above lower earnings limit up to and including secondary threshold	Earnings above secondary threshold up to and including Freeport and Investment Zone upper secondary thresholds	Earnings above Freeport and Investment Zone upper secondary thresholds up to and including upper earnings limit, upper secondary thresholds for under 21s, apprentices and veterans	Balance of earnings above upper earnings limit, upper secondary thresholds for under 21s, apprentices and veterans
A	0%	13.8%	13.8%	13.8%
B	0%	13.8%	13.8%	13.8%
C	0%	13.8%	13.8%	13.8%
D (Investment Zone 鈥� deferment)	0%	0%	13.8%	13.8%
E (Investment Zone 鈥� married women and widows reduced rate)	0%	0%	13.8%	13.8%
F (Freeport)	0%	0%	13.8%	13.8%
H (apprentice under 25)	0%	0%	0%	13.8%
I (Freeport 鈥� married women and widows reduced rate)	0%	0%	13.8%	13.8%
J	0%	13.8%	13.8%	13.8%
K (Investment Zone 鈥� state pensioner)	0%	0%	13.8%	13.8%
L (Freeport 鈥� deferment)	0%	0%	13.8%	13.8%
M (under 21)	0%	0%	0%	13.8%
N (Investment Zone)	0%	0%	13.8%	13.8%
S (Freeport 鈥� state pensioner)	0%	0%	13.8%	13.8%
V (veteran)	0%	0%	0%	13.8%
Z (under 21 鈥� deferment)	0%	0%	0%	13.8%

Class 1A National Insurance: expenses and benefits

You must pay Class 1A National Insurance on work benefits you give to your employees, for example a company mobile phone. You report and pay Class 1A on expenses and benefits at the end of each tax year.

Find out more about聽expenses and benefits for employers.

Class 1A National Insurance: termination awards and sporting testimonial payments

Class 1A National Insurance contributions are due on the amount of聽termination awards聽paid to employees which are over 拢30,000 and on the amount of聽sporting testimonial payments聽paid by independent committees which are over 拢100,000. You report and pay Class 1A on these types of payments during the tax year as part of your payroll.

Pay employers鈥� Class 1A National Insurance.

Class 1B National Insurance: PAYE Settlement Agreements (PSAs)

You pay Class 1B National Insurance if you have a聽PAYE Settlement Agreement. This allows you to make one annual payment to cover all the tax and National Insurance due on small or irregular taxable expenses or benefits for your employees.

Pay Class 1B National Insurance.

National Minimum Wage

The National Minimum Wage is the minimum pay per hour almost all workers are entitled to by law. Find out more about聽who can get the minimum wage.

Use the聽National Minimum Wage calculator聽to check if you鈥檙e paying a worker the National Minimum Wage or if you owe them payments from past years.

These rates apply from 1 April 2024.

Category of worker	Hourly rate
Aged 21 and above (national living wage rate)	拢11.44
Aged 18 to 20 inclusive	拢8.60
Aged under 18 (but above compulsory school leaving age)	拢6.40
Apprentices aged under 19	拢6.40
Apprentices aged 19 and over, but in the first year of their apprenticeship	拢6.40

Check National Minimum Wage rates for previous years.

Statutory Maternity, Paternity, Adoption, Shared Parental and Parental Bereavement Pay

Use the聽maternity, adoption and paternity calculator for employers聽to work out your employee鈥檚:

• Statutory Maternity Pay (SMP)
• paternity or adoption pay
• qualifying week
• average weekly earnings
• leave period

These rates apply from 7 April 2024.

Type of payment or recovery	2024 to 2025 rate
Statutory Maternity Pay听鈥� weekly rate for first 6 weeks	90% of the employee鈥檚 average weekly earnings
Statutory Maternity Pay 鈥� weekly rate for remaining weeks	拢184.03 or 90% of the employee鈥檚 average weekly earnings, whichever is lower
Statutory Paternity Pay (SPP)听鈥� weekly rate	拢184.03 or 90% of the employee鈥檚 average weekly earnings, whichever is lower
Statutory Adoption Pay (SAP)听鈥� weekly rate for first 6 weeks	90% of the employee鈥檚 average weekly earnings
SAP 鈥� weekly rate for remaining weeks	拢184.03 or 90% of the employee鈥檚 average weekly earnings, whichever is lower
Statutory Shared Parental Pay (ShPP)听鈥� weekly rate	拢184.03 or 90% of the employee鈥檚 average weekly earnings, whichever is lower
Statutory Parental Bereavement Pay (SPBP)听鈥� weekly rate	拢184.03 or 90% of the employee鈥檚 average weekly earnings, whichever is lower
SMP,听SPP,听ShPP,听SAP听辞谤听SPBP听鈥� proportion of your payments you can recover from HMRC	92% if your total Class 1 National Insurance (both employee and employer contributions) is above 拢45,000 for the previous tax year 103% if your total Class 1 National Insurance for the previous tax year is 拢45,000 or lower

Statutory Sick Pay (SSP)

The same weekly Statutory Sick Pay rate applies to all employees. However, the amount you must actually pay an employee for each day they鈥檙e off work due to illness (the daily rate) depends on the number of 鈥榪ualifying days鈥� they work each week.

Use the聽Statutory Sick Pay calculator聽to work out your employee鈥檚 sick pay, or read how to聽work out your employee鈥檚 Statutory Sick Pay manually聽using these rates.

Unrounded daily rates	Number of qualifying days in week
拢16.6785	7
拢19.4583	6
拢23.35	5
拢29.1875	4
拢38.9166	3
拢58.375	2
拢116.75	1

7 qualifying days in a week

Use these rates to work out how much Statutory Sick Pay you need to pay an employee who works 7 qualifying days in a week.

Number of days to pay	Amount to pay
1	拢16.68
2	拢33.36
3	拢50.04
4	拢66.72
5	拢83.40
6	拢100.08
7	拢116.75

6 qualifying days in a week

Use these rates to work out how much Statutory Sick Pay you need to pay an employee who works 6 qualifying days in a week.

Number of days to pay	Amount to pay
1	拢19.46
2	拢38.92
3	拢58.38
4	拢77.84
5	拢97.30
6	拢116.75

5 qualifying days in a week

Use these rates to work out how much Statutory Sick Pay you need to pay an employee who works 5 qualifying days in a week.

Number of days to pay	Amount to pay
1	拢23.35
2	拢46.70
3	拢70.05
4	拢93.40
5	拢116.75

4 qualifying days in a week

Use these rates to work out how much Statutory Sick Pay you need to pay an employee who works 4 qualifying days in a week.

Number of days to pay	Amount to pay
1	拢29.19
2	拢58.38
3	拢87.57
4	拢116.75

3 qualifying days in a week

Use these rates to work out how much Statutory Sick Pay you need to pay an employee who works 3 qualifying days in a week.

Number of days to pay	Amount to pay
1	拢38.92
2	拢77.84
3	拢116.75

2 qualifying days in a week

Use these rates to work out how much Statutory Sick Pay you need to pay an employee who works 2 qualifying days in a week.

Number of days to pay	Amount to pay
1	拢58.38
2	拢116.75

1 qualifying day in a week

Use these rates to work out how much Statutory Sick Pay you need to pay an employee who works 1 qualifying day in a week.

Number of days to pay	Amount to pay
1	拢116.75

Student loan and postgraduate loan recovery

If your employees鈥� earnings are above the earnings threshold,听record their student loan and postgraduate loan deductions聽in your payroll software. It will automatically calculate and deduct repayments from their pay.

Rate or threshold	2024 to 2025 rate
Employee earnings threshold for student loan plan 1	拢24,990 per year 拢2,082.50 per month 拢480.57 per week
Employee earnings threshold for student loan plan 2	拢27,295 per year 拢2,274.58 per month 拢524.90 per week
Employee earnings threshold for student loan plan 4	拢31,395 per year 拢2,616.25 per month 拢603.75 per week
Student loan deductions	9%
Employee earnings threshold for postgraduate loan	拢21,000 per year 拢1,750 per month 拢403.84 per week
Postgraduate loan deductions	6%

Company cars: advisory fuel rates

Use advisory fuel rates to work out mileage costs if you provide company cars to your employees.

These rates apply from 1 March 2025.

Engine size	Petrol 鈥� amount per mile	LPG 鈥� amount per mile
1400cc or less	12 pence	11 pence
1401cc to 2000cc	15 pence	13 pence
Over 2000cc	23 pence	21 pence

Engine size	Diesel 鈥� amount per mile
1600cc or less	12 pence
1601cc to 2000cc	13 pence
Over 2000cc	17 pence

Hybrid cars are treated as either petrol or diesel cars for this purpose.

Check advisory fuel rates for previous periods.

Advisory electricity rate for fully electric cars from 1 March 2025

Amount per mile: 7 pence.

Electricity is not a fuel for car fuel benefit purposes.

Employee vehicles: mileage allowance payments

Mileage allowance payments are what you pay your employees for using their own vehicle for business journeys.

You can pay your employees an approved amount of mileage allowance payments each year without having to report them to HMRC. To work out the approved amount, multiply your employee鈥檚 business travel miles for the year by the rate per mile for their vehicle.

Find out more about聽reporting and paying mileage allowance payments.

Type of vehicle	Rate per business mile 2024 to 2025
Car	For tax purposes 鈥� 45 pence for the first 10,000 business miles in a tax year, then 25 pence for each subsequent mile For National Insurance purposes 鈥� 45 pence for all business miles
Motorcycle	24 pence for both tax and National Insurance purposes and for all business miles
Cycle	20 pence for both tax and National Insurance purposes and for all business miles

Employment Allowance

Employment Allowance allows聽eligible employers聽to reduce their annual National Insurance liability by up to the annual allowance amount.

Allowance	2024 to 2025 rate
Employment Allowance	拢5,000

Apprenticeship Levy

Employers and connected companies with a total annual pay bill of more than 拢3 million, are liable to the聽Apprenticeship Levy, which is payable monthly. Employers who are not connected to another company or charity will have an annual allowance that reduces the amount of Apprenticeship Levy you have to pay. Apprenticeship Levy is charged at a percentage of your annual pay bill.

Allowance or charge	2024 to 2025 rate
Apprenticeship Levy allowance	拢15,000
Apprenticeship Levy charge	0.5%