Enter proposed salary
Start with contractual gross pay for the role.
← All calculatorsEMPLOYER NI CALCULATOR
Estimate the cost of employing someone
See the likely employer National Insurance and total employment cost before you hire.
HOW THIS CALCULATOR WORKS
A useful estimate starts with the right inputs.
The calculator adds employer National Insurance and the selected employer pension contribution to gross salary, giving a more realistic view of the direct annual and monthly employment cost.
Choose the NI category
Category and relief conditions can change the employer contribution.
Budget beyond salary
Review employer NI, pension and total recurring employment cost.
UNDERSTAND YOUR RESULT
What the numbers are telling you.
Employer NI
Estimated secondary Class 1 National Insurance for the selected category.
Employer pension
The contribution generated from the percentage entered; qualifying-earnings rules may differ.
Total employment cost
Salary plus the direct statutory costs included in this estimate.
BEFORE YOU ACT
Important points the headline number cannot decide.
- ✓Employment Allowance eligibility is not automatic
- ✓Pension auto-enrolment can use qualifying earnings rather than full salary
- ✓Benefits, insurance, equipment and recruitment costs are additional
- ✓Special NI categories have detailed eligibility conditions
Need help beyond the calculation?
Choose the option that works best for your business.
Fixed-price services
One-off PAYE, payroll setup and year-end filings at a fixed price — no surprises.
- Register for PAYE£99+VAT
- Payroll setup£249+VAT
- Auto-enrolment£149+VAT
Monthly support
We handle PAYE, RTI filings, payslips and auto-enrolment every month — without fail.
From£29/month
Get started →Tailored to you
Not sure what you need? Talk to one of our experts and we'll build a package around your business.
Get a tailored quote →ACCA & ICAEW accredited experts
Using industry-leading softwareXeroQuickBooksBrightPaySage
Trusted by UK businessesEMPLOYER NIC GUIDE
Employer National Insurance: what businesses need to know
Employer NIC is one of the most significant employment costs UK businesses face. Understanding how it's calculated — and how to manage it — can make a real difference to your hiring decisions and cash flow.
Read the complete guide →COMMON QUESTIONS
Frequently asked questions
Quick answers to common questions about Employer NIC and our services.
View all FAQs →How is Employer National Insurance calculated?+
Employer NIC is charged at 13.8% on earnings above the secondary threshold (£5,000 per year in 2025/26). So for a salary of £30,000, you'd pay 13.8% on £25,000 — giving an employer NI bill of £3,450. The calculator above does this automatically for any salary and tax year.
What is the Employment Allowance and do I qualify?+
Employment Allowance reduces your Employer NIC bill by up to £10,500 per tax year (from 2025/26). Most small and medium-sized businesses qualify, as long as your total Employer NIC bill was less than £100,000 in the previous tax year. You cannot claim if your only employee is a director.
Has the Employer NIC rate changed recently?+
Yes. From April 2025, the Employer NIC rate increased from 13.8% to 15%, and the secondary threshold was reduced from £9,100 to £5,000 per year. This significantly increased employment costs for most UK businesses. The calculator uses the correct rate for whichever tax year you select.
Can Experlu help me register for PAYE and run payroll?+
Yes. Experlu offers fixed-price payroll services — including PAYE registration, monthly RTI filings, payslips, and year-end P60s. You can choose a one-off service or an ongoing monthly package. Use the options above to find the right fit, or get in touch for a tailored quote.
Is Employer NIC the same as PAYE?+
No — they're related but different. PAYE (Pay As You Earn) is the system HMRC uses to collect Income Tax and employee NIC from employees' wages. Employer NIC is a separate tax paid by the employer on top of the gross salary. Both are reported and paid through PAYE, but Employer NIC is an additional cost that doesn't reduce the employee's take-home pay.
Does Employer NIC apply to part-time or temporary workers?+
Yes, but only on earnings above the secondary threshold. If a part-time or temporary worker earns less than £5,000 per year (2025/26), no Employer NIC is due. For earnings above that threshold, the standard rate applies regardless of the type of contract.