National Insurance increase: How much will you pay according to pay bracket? | Personal Finance | Finance
The Prime Minister is said to be pressing ahead with the proposed 1.25 percent increase in April to pay for social care and the NHS despite the fact that the nation is struggling with its finances. Millions of Britons will see their National Insurance contributions rise by 1.25 percent from April and that will mean some will struggle much more than others depending on their pay bracket.
Despite demands to abandon or postpone the National Insurance hike, it looks like the Government is ploughing ahead with its plans which will come into force in April 2022.
The Government says the increase is needed to help pay for the NHS and the Health and Social Care Levy, with the 1.25 percent tax also hitting pensioners’ pockets as it will be payable by people over state pension age next year.
In 2021, the average salary for the UK was £25,971 which was a slight increase of 0.3 percent on the year before.
However, the cost of living crisis has left many people worried about how they are going to manage to fork out even more money.
READ MORE: Lloyds Bank issues scam alert as vulnerable pensioners targeted
How much more National Insurance will I pay?
Salary of £20,000 – workers will pay an additional £130.
Between £30,000 and £50,000 – National Insurance payments will increase by £255 and £505 annually, respectively.
£80,000 or more a year – Britons will have to find an extra £880 in National Insurance during 2022.
Over £100,000 – National Insurance contributions will soar by £1,130.
Experts are also encouraging people to apply for all the financial aid they can from the Government including:
