How do I pay national insurance contributions?
Class 1 (employees): Paid through your earnings. It is taken out of your gross wages by your employer who just pays you the net amount.
Class 2 (self-employed only): Paid normally by quarterly bill or monthly by Direct Debit. The various options for paying Class 2 can be found on the HM Revenue and Customs website (link opens in a new window). There were proposals in the 2014 Finance Bill for it to be paid through self assessment along with Class 4 and income tax on profits.
Class 3 (voluntary): Paid normally by quarterly bill or monthly by Direct Debit or by making an annual lump sum payment.
Class 4 (self employed only on profits): Paid with the income tax on your profits through self assessment.