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Where Taxpayers and Advisers Meet

NIC if not claiming benefits while out of work

Spiro
Posts:1
Joined:Tue Jan 17, 2017 9:09 pm
NIC if not claiming benefits while out of work

Postby Spiro » Tue Jan 17, 2017 9:26 pm

Hi,

Everywhere I read NI is shown as calculated in years. If I don't work the end of this financial year, will I be penalised and lose the entire year's stamp? Taking my gross pay for 11 months work and dividing instead by 12 months, I will have earned enough on average to be well in excess of the monthly threshold so it seems right to me that I have already earned enough (and been paying contributions) to qualify for the full year stamp?

Is it the case with NI that you need to be, if working through PAYE, employed for the entire financial year, or is it the case that earnings for the financial year need to total at least £5,824 (£112 weekly threshold x 52), and if over that I don't need to worry about it because that covers me. Thanks.

jason13
Posts:153
Joined:Mon Mar 28, 2011 2:02 pm

Re: NIC if not claiming benefits while out of work

Postby jason13 » Sat Jan 21, 2017 4:44 am

Yes, you're correct. Since you worked 11 months and earned more than the Lower Earnings Limit, the tax year will be a qualfying pension year.


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