Which class of National Insurance is paid by employers?

• A. Class 2
• B. Class 1 Primary
• C. Class 1 Secondary
• D. Class 3

Answer: (C)

National Insurance for employees has two parts on earnings: the employee pays Class 1 Primary, and the employer pays Class 1 Secondary on the same employee earnings. The employer’s share is calculated as a percentage of earnings above the secondary threshold and is paid to HMRC in addition to the employee’s deduction. Class 2 is for the self-employed, Class 3 is voluntary contributions, so the one paid by employers for employees is Class 1 Secondary.