NIC contributions on 2nd job

by **DKB** on Fri Nov 20, 2009 4:34 pm

Hi
I have a main job but I am also self employed earning net £2000 extra year.

i've been paying class 2 for the last 12 months but dont think I need to anymore. I've read that if I dont pay voluntarily I'll lose benefits on my pension etc. Will I?

I would have expected my pension to be based on the contrbutions from my main job and wouldnt expect ot lose out over non payment on my second job.

I'm intending to get an exemption certificate but not if I lose benefits.

by **robbob** on Sat Nov 21, 2009 10:38 am

Hello DKB

Presuming you are paid above the lower earnings limit in your main job (£95 a week at present) then there will be no additional benefits earned by paying class 2 NI with regard to your self employed earnings.
So if you are entitled to the exception via low earnings you should take advantage of this.

by **DKB** on Sat Nov 21, 2009 9:30 pm

Thanks for your reply. Yes I do earn above the threshold in my first job so I will apply for exemption on the 2nd.
Regards

by **DKB** on Sat Nov 21, 2009 10:38 pm

Another question.

I've read that to claim back my overpayment from tax year April 08 to April 09 I need to send evidence. My P60 from my 1st job, evidence of income from my sel employed work and my national insurance bill for the self employed work. The first two are fine but I never got a bill for my class 2 as I paid by direct debit.

What can I send instead please?

by **robbob** on Sun Nov 22, 2009 11:31 am

Hello DKB

Have a look at the attached link - the form here tells you what you need to send to request a refund - this should only be proof of low earnings.
http://www.hmrc.gov.uk/forms/cf10.pdf

As you pay by direct debit they should easily be able to see what payments you have made to date so you should not need to send any proof of payment.

by **DKB** on Mon Nov 23, 2009 10:32 pm

Thanks again.

I'm now not sure what to provide as evidence of my income from the self employment. I keep a spreadsheet with income on it and I have my tax return but that's it. Not sure they'll accept either of those as proof of low earnings.

by **robbob** on Tue Nov 24, 2009 9:38 am

Hello DKB

A simple income and expenditure will suffice, just confirm that the figures will be as per the self assessment return.
It is very unlikely they will have a problem with any proof sent unless your self assessment return contradicts what you send.