NIM01005 | Class 1 Structural Overview: The Lower Earnings Limit ('LEL')

Section 5 of the Social Security Contributions and Benefits Act (SSCBA) 1992 and regulations 10 & 11 of the Social Security (Contributions) Regulations 2001 (SI 2001 No 1004)

The Lower Earnings Limit (LEL) is the point at which employees start to build up entitlement to contributory benefits. The LEL is up-rated annually by reference to Consumer Prices Index (CPI).

For guidance on how to calculate the LEL for pay intervals other than a week, see NIM01010.

For further guidance on NICs limits, see NIM11000 onwards.