G!
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Yes they do.
Employed people pay what is called Class 1 Contributions, which is a percentage of their weekly Gross pay over a certain threshold. This is payed by the employer to the Inland Revenue before you get your Net Pay, and this is called Pay as you Earn (PAYE) as you pay tax as you earn money.
Self employed people who earn below the minimum threshold can claim excemption, but this can effect their pension etc.
Self employed people who earn over the minimum pay £2.10 per week direct to HMRC under class 2 contributions.
Self employed people who earn over a set figure per annum have to pay an additional percentage of their annual income under class 4 contributions. Remember this is in addition to Class 2.
There is also a Class 3, but I forget what it is. I think it is for fisherman, but I have never encountered a situation involving it, so I don't know for sure. |
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snarleye
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Class 2 flat payment
and Class 4 based on profits |
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TEDDYB
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Of course they do.There is a flat rate contribution of £2.10 per week,called Class2 & earnings related at 8% over £5035 profits up to £££540 & 1% above that.You have to register & there is a penalty for late registration.This can be done online I believe.I suggest you use a qualified accountant to help you,tho I have to admit to self-interest on that score. |
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Pat
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yes , voluntary contributions of £2.10 per week....
when you become self employed, you need to submit form CWF1 within 3 months of your commencement date |
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alatoruk
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yes |
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kathy p
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They sure do if they want health insurance and its usually higher that a group policy. |
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mattymalone
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If you earn over the personal allowance of £5035 you pay class 2 Natioanl Insurance £2.10 per week, and then class 4 national insurance which is 8% of your profit. |
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kevie
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yes, Class 2 NI Also Class 4 Ni contributions.
or if your on benefits just don't let them know and carry on working on the side, advantages all round, more money for you less paperwork for the benefit office.
Mm mm :-) Ha |
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tiz
 |
Yes you do have to pay insurance. It can be done by weekly contributions (stamp). Any good accountant should be able to advise you on the best way of doing it. It is advisable to do it although it does take a while for them to catch up with you. Good luck |
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banditblue1200
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Yes we do, we pay a weekly contribution and then when we have put our accounts in we are then sent another earnings related bill |
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r_stori
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Yes...and they have to do the paperwork, whereas if they were working for a company, the N.I. and taxes would be automatically taken out. |
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GR
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yo |
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ssssiggghhhhhh
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Depends. U can get an exemption certificate if u turnover small. However its best to pay if u looking at the longterm |
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not sure
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yes of course they do! it national insurance no matter what a self employed person has to pay a %! |
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agius1520
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yes, its about 2.10 per week plus 8 % of earnings up to about 32000 less personal allowance of around 5000. Anything above 32000 is charged at 1%. The boundaries change each tax year. |
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klc7770
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i would of thought so |
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Crystal
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Yes i get sent a giro, which I pay at the bank. |
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fitzbaby2003
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first you have to understand the phrase insurance, ok,
now then, if you want "insurance" you have got to pay for it.
do you get my drift |
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