NIM38506 | Refunds: Class 2, 3 & 4 NICs: annual maximum contribution limits from 6 April 2003

Regulation 21 Social Security (Contributions) Regulations 2001 (SI 2001 No. 1004)

From 6 April 2003 the fixed annual maximum limit was amended to be an individual maximum which impacted how excess refunds are calculated. For an excess refund to exist a person must have more than one employment or be employed and self-employed

Regulation 52A Social Security (Contributions) Regulations 2001 (SI 2001 No. 1004)

For Class 1 NICs each person now has an individual ‘maximum’ based on how much they earned in each employment and how much Class 1 and Class 2 NICs they have paid.

Regulation 100 Social Security (Contributions) Regulations 2001 (SI 2001 No. 1004)

For Class 4 NICs each person now has an individual ‘maximum’ based on how much they earned in each employment and how much Class 1, Class 2 and Class 4 NICs they have paid.

From 6 April 2024

There is no Class 2 element of the annual maximum calculation

More information about the annual maximum and how it is calculated can be found at:

NIM01270 onwards for Class 1 NICs

NIM24175 onwards for Class 4