In 2026/27, a self-employed person pays one kind of National Insurance, Class 4: 6% of profits between £12,570 and £50,270 and 2% above (Social Security Contributions and Benefits Act 1992, s.15); Class 2 is no longer payable since 6 April 2024, and with profits of £7,105 or more it is treated as paid, so the year counts for the State Pension at no cost.
Two Acts changed self-employed National Insurance in 2024, and the result is often misread: some people still budget for Class 2, others think a low-profit year is lost for their pension. This guide sets out what is due on profits in 2026/27, what happened to Class 2, and the cases where nothing is due. To work out your own figures, with Income Tax, use the calculator.
👉 Try the free self-employed tax calculator
What changed in 2024
- Class 2 stopped being due. From 6 April 2024, the National Insurance Contributions (Reduction in Rates) Act 2023, s.3 removed the requirement to pay Class 2 contributions.
- The main rate of Class 4 fell to 6%. From the same date, the National Insurance Contributions (Reduction in Rates) Act 2024, s.1(3) replaced 9% with 6%, for Great Britain and for Northern Ireland.
Class 4 in 2026/27
Class 4 is 6% of profits above the lower profits limit of £12,570 up to the upper profits limit of £50,270, and 2% of profits above £50,270 (s.15(3), (3ZA)). The profits are those of the trade, profession or vocation, taxed as trading income, after allowable trading losses; personal reliefs, such as the Personal Allowance, and personal pension contributions do not reduce them (Sch. 2 para. 3). The most the 6% band can cost is 6% × £37,700 = £2,262.00.
| Profits in 2026/27 | Class 4 | Class 2 |
|---|---|---|
| £5,000 | £0 | Nothing due; voluntary Class 2 possible |
| £10,000 | £0 | Treated as paid |
| £30,000 | 6% × £17,430 = £1,045.80 | Treated as paid |
| £50,270 | 6% × £37,700 = £2,262.00 | Treated as paid |
| £60,000 | £2,262.00 + 2% × £9,730 = £2,456.60 | Treated as paid |
| £110,000 | £2,262.00 + 2% × £59,730 = £3,456.60 | Treated as paid |
What happened to Class 2
Class 2 still exists, but nobody has to pay it. What matters is where your profits sit against the small profits threshold of £7,105 (s.11):
- Profits of £7,105 or more: you are treated as having paid Class 2 for each week of self-employment (s.11(5A)-(5B)). The year counts towards your State Pension and you pay nothing for it.
- Profits under £7,105: nothing is due, but your self-employment does not make the year count. You can choose to pay voluntary Class 2 at £3.65 a week, £189.80 for a full year, to protect it (s.11(6)). The voluntary National Insurance calculator shows what a year costs and what it adds to your State Pension.
- Profits between £7,105 and £12,570: neither Class 2 nor Class 4 is payable, and yet the year is protected, because Class 2 is treated as paid.
If you have reached State Pension age
No Class 4 is due for a tax year if you were over State Pension age at its beginning (Social Security (Contributions) Regulations 2001, reg 91(a)). For 2026/27, that means having reached State Pension age before 6 April 2026: profits of £30,000 then give £0 of Class 4. If you reach it during the year, Class 4 is still due for the whole of 2026/27, because the rule looks at the start of the year.