ACCA Applied Skills · Taxation (UK) · National insurance contributions for employed and self-employed persons
Which of the following is the annual amount of the employment allowance available to an eligible employer for 2025/26?
The employment allowance for 2025/26 is £10,500. It is deducted from an eligible employer's Class 1 employer NIC bill. The figure of £5,000 is the secondary threshold, and £12,570 is the personal allowance, so neither is the allowance.
- A£5,000
- B£10,500Correct
- C£12,570
- D£15,000
Explanation
The tax tables give the employment allowance as £10,500. £5,000 is the employer secondary threshold, and £12,570 is the personal allowance and the employee and Class 4 lower limit. £15,000 is not a figure in the tables.
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