What is the employer National Insurance rate for 2026/27?

Employers pay 15% NI on employee earnings above the secondary threshold of £5,000 per year. This increased from 13.8% (with a £9,100 threshold) from 6 April 2025.

Is the Employment Allowance included?

No — this calculator shows the standard cost. Most eligible employers can reduce their employer NI bill by up to £10,500 per year using the Employment Allowance (not available to single-director companies with no other staff).

Does this include pension contributions?

No. Pension contributions under auto-enrolment are not included. The minimum employer contribution is 3% of qualifying earnings. Add this separately to the total employer cost.

Payroll Calculator 2026/27

Calculate the true cost of an employee to your business and the employee's estimated take-home pay. Based on 2026/27 PAYE, income tax, and National Insurance rates.

UK rates for the 2026/27 tax year · last checked against GOV.UK on 6 April 2026

How it's calculated

Employee NI: 8% on £12,570–£50,270; 2% above. Employer NI: 15% on earnings above £5,000. Income tax: basic rate 20% above £12,570 (simplified).

Rates and sources

This calculator uses UK rates for the 2026/27 tax year, last checked against GOV.UK on 6 April 2026.

Employer rates and thresholds (PAYE, NI, Employment Allowance) — official guidance:

Rates change, usually at the start of a tax year in April. Always confirm against GOV.UK before relying on a figure for a filing or a financial decision.

Frequently Asked Questions

What is the employer National Insurance rate for 2026/27?: Employers pay 15% NI on employee earnings above the secondary threshold of £5,000 per year. This increased from 13.8% (with a £9,100 threshold) from 6 April 2025.
Is the Employment Allowance included?: No — this calculator shows the standard cost. Most eligible employers can reduce their employer NI bill by up to £10,500 per year using the Employment Allowance (not available to single-director companies with no other staff).
Does this include pension contributions?: No. Pension contributions under auto-enrolment are not included. The minimum employer contribution is 3% of qualifying earnings. Add this separately to the total employer cost.