National Insurance and Income Tax

National Insurance

All workers in the United Kingdom have a national insurance number

  • This is a personal number issued by the government that you require in order to legally work.

  • It is used to control national insurance contributions.

Individual Income Tax

After a certain amount of money received as wages, the State requires that you pay income tax

      • All workers in the United Kingdom have a tax number that an employer uses to calculate the value of the tax that such employer must pay on the worker’s behalf.

NOTE: If you are starting your first job in the UK, you will probably start by paying an “emergency tax” until you are given a tax number.

ATTENTION! If you do not have a National Insurance Number (NINO) or if you need a temporary one to be issued by your employer, contact this number immediately: 0845 600643

If your employer only wants to pay you in cash without paying tax or national insurance (known as cash in hand), you should speak to a trade union member as quickly as possible.

It is illegal to hire someone for cash in hand!

Do not forget that your sick benefit will depend on what is set out in your labour contract.

      • If the employer does not pay your sick benefit, you may be entitled to Statutory Sick Pay (SSP) that is a fixed State benefit.

      • It is paid by your employer after your fifth day off sick and up to 28 weeks.

      • You are entitled to SSP provided that you have paid a sufficient number of contributions to National Insurance.

You may be entitled to claim Income Support or Employment and Support Allowance.