Long-term care contributions
Every person who pays income tax, pays a contribution into the long-term care fund.
If you're not liable for income tax, you won't have to pay the contribution, but you can still get support from the fund for your long-term care costs.
The Government of Jersey also contribute to the fund.
How much you pay
The maximum long-term care contribution rate is 1.5%, but most people will pay less than this.
This works in the same way as income tax where the standard tax rate is 20%, but most people pay less than 20% tax on their annual income.
Your contribution is based on your total income, but will take into account the same tax allowances and reliefs you benefit from and a marginal long-term care rate of 1.95%.
You can use the tax calculator to see how much long-term care contribution you will pay.
Upper income limits and long-term care contributions
Unlike income tax, an upper income limit will be taken into account when calculating your contribution to the long-term care scheme. This upper income limit is the same amount as the social security upper earnings limit.
Social Security contribution levels
How your contribution is collected
Your contribution is calculated by Revenue Jersey and is collected in the same way as your income tax. There are no additional forms and the amount is shown separately on your tax bill.
If you pay tax by deduction from your earnings, your rate will include both your income tax liability and your long-term care contribution.
If you pay income tax directly, the long-term care contribution is included in the amount you pay.