National Insurance for the self-employed: Class 2 and Class 4 explained

Class 4: on your profits

• Nothing on the first £12,570 of profit
• 6% on profit from £12,570 to £50,270
• 2% on profit above £50,270

It's worked out on your tax return and paid with your Income Tax by 31 January, and it counts towards your payments on account.

Class 2: no longer compulsory

Since April 2024 the self-employed don't have to pay Class 2. If your profit is over £7,105 a year (2026/27), you're treated as having paid it, so you still get a qualifying year for your State Pension and benefits without paying a penny.

Profits under £7,105

You won't get a qualifying year automatically. You can pay voluntary Class 2 of £3.65 a week (about £190 a year) through your tax return. That's usually the cheapest way to fill the gap, and well worth it for your State Pension.

Why it matters

You need 35 qualifying years for the full new State Pension, and at least 10 for any. Check your National Insurance record on GOV.UK to see if you have gaps.

A worked example

• £30,000 profit: Class 4 is 6% of £17,430 = £1,046
• £55,000 profit: 6% of £37,700 = £2,262, plus 2% of £4,730 = £95, so £2,357