National Insurance Contributions (NIC) go into a fund from which some of the state benefits are paid (this includes the state pension, statutory sick pay or maternity leave, or entitlement to additional unemployment benefits).
Employers are required to contribute 13.80% of the employee salary. Remote will collect this monthly as part of the monthly invoicing process.
The current employee social security rates (monthly withholding) are as follows:
- 12% on earnings between £792 and £4,167 per month
- 2% on earnings over £4,167 per month with no cap.