Class 4 National Insurance

Class 4 National Insurance is one of the two types of National Insurance (NI) that you pay if you’re self-employed. The other type is Class 2.

How much is Class 4?

You start paying Class 4 NI once you earn over £12,570 a year from all your combined income sources.

What do National Insurance classes mean?

We’re glad you asked. Take a look at the below table to see how it compares with the other classes of National Insurance:

Bits to remember about Class 4 National Insurance

• You pay it yourself through a Self Assessment tax return, as you do with Income Tax on your self-employment earnings
• It’s paid in addition to Class 2 National Insurance, not as an alternative
• You must pay Class 4 NI even if you earn less than the Personal Allowance
• If you’re also working as an employee and your total earnings are over £12,570, you’ll pay both Class 1, Class 2, and Class 4 NI

For more information, you can use this employed and self-employed calculator to see how much NI you should pay.

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