Esmerelda is an employee who earns an annual salary of £60,000 throughout the tax year 2024-25.
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What is the total class 1 contributions due on Esmerelda's salary and benefits?
A. £13,080
B. £11,824
C. £3,211
D. £10,235
If data for class 1 A nic was given(non cash benefits) would we add them in class 1 contribution as answer for this question is 10235
Ask the Tutor ACCA TX-UK
Nic contribution
Yes, if the question includes the amount of the taxable benefits, then you would include the amount of Class 1A in the total amount of Class 1 NIC due. Bear in mind that it would be a separate calculation (i.e. not added to the salary) as employees pay Class 1 Primary, and employees pay Class 1 Secondary on cash remuneration, but only employers pay Class 1A.
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