Employer National Insurance contributions (NICs) are due above the secondary threshold. For 2025/26 and 2026/27 the employer (secondary) rate is 15% on earnings above the secondary threshold (£5,000 per year). Employment Allowance (up to £10,500) can reduce the employer's NICs bill for eligible employers. Many employers also offer private medical, dental, income protection, and life insurance — these can be arranged by or in partnership with the EOR and may have tax implications (e.g. P11D reporting). GOV.UK: Rates and thresholds for employers. The EOR will ensure NICs and any benefit reporting are correct.
Rates and thresholds change each tax year. Check GOV.UK or your adviser for the current year.
Key rates (2025/26 & 2026/27)
| Rate | 2025/26 | 2026/27 |
|---|---|---|
| NLW (21+) | £12.21/hr | £12.71/hr |
| Employer NICs | 15% above £5k | 15% above £5k |
| SSP (weekly) | £118.75 | £123.25 or 80% AWE |
| SMP/SPP etc (weekly) | £187.18 or 90% AWE | £194.32 or 90% AWE |
| Redundancy cap (week) | £719 | See GOV.UK |
| Pension trigger | £10k; band £6,240–£50,270 | Unchanged |
Explore other topics
Need a UK EOR that handles all of this?
Paycore matches you with sector-specialist EOR providers who handle contracts, payroll, pensions, and compliance.