When running payroll for your employee wages and salaries you will be dealing with ‘Class 1 National Insurance‘, and this is payable both by the employee by way of a deduction from his or her wages, and the employer by way of an oncost to the employee’s gross pay.

There are several ‘Categories‘ of Class 1 NIC, and it is important that you use the correct one when setting up your employee record, or when editing the employee following a change in personal circumstances.

For further information please see the HM Revenue and Customs guide ‘National Insurance for employers: the basics‘.