Introduction
This factsheet contains a table of tax and national insurance rates for the tax year 2026/27.
If you use a payroll service, they will make the relevant calculations for you.
| Earnings Threshold | £242.00 per week | Above this amount PAs begin paying income tax. (National Insurance is different – see below)
Above the tax-free limit, they pay 20% (basic rate) tax on their earnings. |
| Lower Earnings Limit (LEL) | £129.00 per week | This is the amount a PA needs to earn to be eligible statutory maternity pay and statutory paternity pay.
Statutory sick pay is payable from day one of sickness absence, with no lower earnings limit. Between the LEL of £129 and the Primary Threshold of £242, PAs pay National Insurance contributions at 0% |
| Employers National Insurance Contributions Threshold (NIC)
|
£96 p/wk
(Secondary threshold) £242 p/wk (Primary threshold) |
Above this rate employers begin paying National Insurance contributions at 15%.
Above this rate PAs begin paying National Insurance contributions at 8%. |
| Statutory sick pay (SSP) | £123.25 or 80% of the employee’s average weekly earnings, whichever is lower. | Statutory sick pay is payable from day one of sickness absence, with the minimum earnings limit removed.
|
| Statutory maternity pay (SMP) | £194.32 per week | For the first six weeks payments should be made at 90% of their average weekly earnings.
After six weeks they should be paid the lower of 90% of their average weekly earnings or £194.32 per week. |
| Statutory paternity pay (SPP) | £194.32 per week | Employees can take either 1 or 2 weeks’ leave. If the employee is taking 2 weeks they can either be taken consecutively or separately. |