National insurance question - please help
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soniaclair
Registered Posts: 5
in Business Tax
Question - profits of two self employed people are as follows
Jon - 24,300
Charlotte - 58,060
using the thresholds - lower limit 8060 and upper 43,000. how have the AAT got the following answers for class 4 national insurance please?
Jon - class 4 @ 9% - 1489.05
Jon - class 4 @ 2%- nil
Charlotte - class 4 @ 9% - 3032.55
Charlotte - class 4 @ 2% - 332.20
I thought you just took the lower limit from the profit and then x by 9% for Jon
Please help!
Jon - 24,300
Charlotte - 58,060
using the thresholds - lower limit 8060 and upper 43,000. how have the AAT got the following answers for class 4 national insurance please?
Jon - class 4 @ 9% - 1489.05
Jon - class 4 @ 2%- nil
Charlotte - class 4 @ 9% - 3032.55
Charlotte - class 4 @ 2% - 332.20
I thought you just took the lower limit from the profit and then x by 9% for Jon
Please help!
0
Comments
-
Hello, where did you get this question from??0
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I just started BTAX a couple of days ago and this makes no sense. Skimmed through the FA2016 practice assessment and it's not in there.0
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Assuming FA2016
Jon = £1461.60
Charlotte = £3144.60
£301.20
0 -
You are working to FA2013 with those answers.
For reference:
Jon
24300 - ((1489.05 / 9 ) * 100) = 7755 << FA 2013 lower profits limit.
Charlotte
7755 @ £0
(upper limit (FA2013) £41,450) (41450 - 7755)*9% = £3032.55
Remaining £58,060 - £41,450 = £16,610 * 2% = £332.20
So, I'd buy a new book.
.1 -
Hi,
Well after doing a bit of reverse engineering it was just a case of looking back through past lower profit limits.
I did remember that circa 12/13 that the figure was 'around' that, but without checking I couldn't be certain.
Maths usually is the answer to these sort of questions. Quite enjoy them.
0
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