How you can use the contributions calculator
As an employer you can use the calculator to:
- calculate the amount of primary (employee) contribution that you may deduct from an employee’s gross earnings
- calculate your secondary (employer) contribution, including any additional payment for employees whose gross earnings are between the monthly Standard Earnings Limit of £4,290 and the monthly Upper Earnings Limit of £14,188
Employers must pay a 2% rate on their employees’ earnings, between the Standard Earnings Limit (£4,290) and the Upper Earnings Limit (£14,188).
For monthly paid employees
Enter the gross monthly earnings figure rounded down to the nearest pound (eg 2536.75 should be entered as 2536.00).
While this is intended for use as a monthly calculator, it can also be used to calculate the contribution due on earnings for weekly paid employees.
For weekly paid employees
Enter the gross weekly earnings amount (including pence). The calculator is set up to always round down to the nearest 25p (eg 567.49 will round to 567.25). At the end of each month, enter the gross amount paid to your employee (this could be four or five weekly payments, depending on the month) to calculate the contributions due for the month. The gross earnings for each month is the amount you should enter on your contribution schedule.
What should be included as earnings
For further information on what should be incorporated in the gross wage see the schedule guide.
Table showing items not to include in an employees gross wages
Table showing items to include in an employees gross wages