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National Insurance Changes from April 2025 Prepare now by reviewing your payroll, exploring cost-saving measures, and ensure you are positioned to benefit fully from the increased employment allowance. The changes to National Insurance will have a mixed impact on small businesses in the UK. Here’s what these changes mean and the implications: ➡️The employer's National Insurance rate will rise from 13.8% to 15%, representing a 1.2 percentage point increase. This will increase payroll costs for employers and may especially impact businesses with larger teams or those employing higher-paid staff. ➡️Reduction in the Secondary Threshold The threshold at which employers start paying NI will be lowered from £9,100 to £5,000. This means employers will pay NI on a greater portion of employees' earnings, further increasing costs. For small businesses with lower-paid workers, this could have a notable impact on their expenses. ➡️Increase in Employment Allowance The employment allowance will increase from £5,000 to £10,500. This will help small businesses by reducing the amount of NI they need to pay. Only businesses eligible for the allowance (those with an NI liability of £100,000 or less) will benefit, which primarily includes SMEs. Small businesses may need to consider measures to absorb these increased costs, such as increasing prices, improving efficiency, or limiting new hires. While the increase in employer NI rates and the reduced secondary threshold will add to the financial burden, the higher employment allowance provides some relief for smaller businesses. However, the overall impact will depend on the size and structure of the business. ☎️If you have concerns or need advice do contact us. ☎️ #NationalInsurance #SmallBusinessUK #PayrollManagement #CostSaving #SMEBusiness #PayrollCosts

By now you have probably heard that there are big changes to Employer's National Insurance ahead. What does this mean for your business? Have you calculated the difference in the amount you will need to pay? For many very small businesses (less than 5 employees) there will not be much change. But if you have a more employees, on higher salaries, then this change will undoubtedly affect your business, we are seeing some eye watering increases to the burden of the employer. For our existing clients, we have already been through a before and after exercise where we think that there will be an increase in costs, could you business benefit from this extra insight? Contact our payroll department for more information. Check our blog which highlights the main changes. https://lnkd.in/e3UsjdZ9

📢 Employers, get ready for National Insurance updates in April 2025! In the recent budget, significant changes to Employer’s National Insurance were announced. From April 2025: ⚫ Employer NI contributions will rise from 13.8% to 15%. ⚫ The secondary threshold will drop from £9,100 to £5,000, affecting how much employers contribute. ⚫ Employment Allowance will increase to £10,500 and no longer be capped, offering some relief for small businesses. Wondering how this impacts your payroll? Check out our guide to estimating new liabilities and learn more about calculating Employer’s NI accurately for your business. 🔗 Learn more on our blog! https://bit.ly/4ebvYlV #PayrollUpdates #NationalInsurance #EmployerContributions #PayrollTips #SmallBusinessUK #BusinessFinance #PayrollManagement #Budget2025 #UKEmployers #TaxChanges #EmploymentAllowance #PayrollSolutions

Autumn Budget 2024: What Do the Employers' National Insurance Changes Mean for Your Business? With the recent announcement from Chancellor Rachel Reeves, Employers' National Insurance is set to rise significantly. From April 2025, the rate increases from 13.8% to 15%, alongside a lowered NI threshold for employers from £9,100 to £5,000. For many, this will bring substantial cost implications. While the Employment Allowance has increased to £10,500 to offset some of this impact, planning ahead is essential, especially for budgeting payroll costs and managing headcount in the upcoming year. 🔗 For insights on how this may affect your business, and how to prepare, read the full article linked in the Comments below.

Autumn Budget 2024: Changes to Employer National Insurance In the recent 2024 Autumn Budget, key adjustments to employer National Insurance (NI) have been introduced, impacting businesses across the UK. From April 6, 2025, the employer NI rate will increase from 13.8% to 15%, and the earnings threshold for contributions will decrease from £9,100 to £5,000. For an employee earning £30,000, employer NI contributions will rise from £2,884.20 to £3,750—a notable increase in payroll costs. This change underscores the importance of proactive financial planning, including payroll budgeting and workforce cost analysis, to navigate the impact as we head into 2025. Please note: This information is for guidance purposes only and does not constitute financial or tax advice. Levels, bases, and reliefs from taxation may be subject to future change. #AutumnBudget2024 #NationalInsurance #Payroll

If you haven’t heard (or have been living under a rock 🪨), last week's government budget announcement confirmed that National Insurance (NI) rates are changing yet again. This shift will impact employers and contractors alike, as they see different figures on their payslips starting April 2025. Here's the breakdown: 🔹 Employers: Your contributions are increasing, which means payroll calculations need a thorough review to align with the new costs. 🔹 Contractors: Be prepared for potential changes in your take-home pay—unless agencies step up and do what’s right. This next part is for all you recruiters out there! As these employer NI (ERNI) contributions rise, it’s critical to take proactive measures. Don’t let these costs trickle down to the contractors by cutting into their net pay. It’s time to ensure that umbrella contractors, who already face various deductions, don’t shoulder the burden of these budget changes. If you’re managing payroll for contractors, now is the moment to review your pay structures and adjust rates accordingly. It’s on you to step up and uplift pay rates for umbrella contractors by April 2025 when the new ERNI kicks in. Ensure that your contractors’ net pay remains consistent. This is more than just good practice; it’s about maintaining trust and fairness in your working relationships. #Payroll #NIChanges #Contractors #Recruitment

📢 PRSI Changes from 1 October 2024: New adjustments to PRSI rates for employees, employers, and the self-employed. Employers, update payroll systems and ensure compliance. Employees, check how these changes will impact your net income and benefits. #Ireland #PRSI #TaxUpdate See full article here - https://lnkd.in/eG4xReHc

🚨 Attention HR and Payroll Teams! 🚨 With the Treasury considering an increase in national insurance contributions for employers in the upcoming Budget, it’s time to prepare for potential changes. Here’s what you need to know: Increased Costs: Be ready for higher employment costs that could affect hiring and salary increases. Budget Adjustments: Update your financial forecasts to accommodate the new rates. Clear Communication: Keep employees informed about how changes may impact their take-home pay. Hiring Impact: Adjust your workforce planning and talent acquisition strategies. Compliance Check: Ensure your payroll systems are ready for the changes! Stay proactive and prepare for the road ahead! 💼💰 #HR #Payroll #NationalInsurance #Budget2024 #BusinessPlanning

Taking the first step to become an employer is a bold and inspiring move! 🌟 It signifies growth but also brings a new set of responsibilities, especially in terms of payroll and compliance. 🔍 The first step is to register as an employer with HMRC, a process that’s essential whether you’re hiring staff or assigning a salary to yourself as a company director. Remember, it’s important to complete this step before the first payday, and it might take up to 15 working days to receive your references from HMRC—patience is key here! Once you’re registered and your team is starting to grow, running payroll becomes a monthly task. 📅 This includes submitting real-time info to HMRC, making sure your employees are paid, and managing both deductions and National Insurance contributions. There’s a plenty of software out there to help you stay on top of these tasks. Yet, the final accountability for getting it right always stays with you, the employer. Stay informed, stay compliant, and here’s to your business’s success! #EmploymentBasics #HMRCRegistration #PayrollManagement #BusinessJourney #ComplianceMatters #NationalInsurance #PayrollSoftware #SMEs #FinancialResponsibility #KnowledgeIsPower #BusinessAdministration

Attention Employers! Important National Insurance Changes Coming in April 2025! 📢 Get ready for some significant updates that will impact your payroll expenses: 🔹 Increased Employer NI Allowance: Set to rise from £5,000 to £10,500 per year. This means you can offset more against your NI contributions! 🔹 Higher NI Rate for Employers: The rate will increase from 13.8% to 15%. Be prepared for a bigger bite out of your payroll budget. 🔹 Lower Threshold for Employer’s NI: The threshold for when Employer’s NI becomes payable will drop from £9,100 to £5,000. More employees will now fall under this threshold. 💡 What does this mean for you? It’s time to review your payroll strategy and budget accordingly. These changes could have a significant impact on your bottom line, so don’t wait until it’s too late! 🔗 For more details or to discuss how these changes may affect your business, feel free to reach out!