What the employer pays on top of gross pay
Staff cost more than their gross pay. Add the employer's National Insurance and pension to find the full cost of a team.
This path is practice in how the records and the sums work. It is not tax advice. Any rate or allowance in a question is an example for that question, so check GOV.UK for the current figures.
Task 1Employer's National Insurance4 questions
The employer pays its own National Insurance on each employee's pay. It is an extra cost, and it is never taken from the employee.
It has its own threshold and its own rate. They are not the same as the employee's.
In this room the employer pays 15% on each employee's pay above £600 a month. The real figures change every tax year.
Task 2Employer's pension, and the cost of one employee2 questions
Task 3The cost of the whole team3 questions