All the important rates and threshold for the tax year
2021/2022
National Minimum Wage
This takes effect from 01 April 2021 and all workers are
entitled to.
|
Category of worker
|
Hourly rate
|
|
Aged 23 and above
|
£8.91
|
|
Aged 21 to 22
|
£8.36
|
|
Aged 18 to 20
|
£6.56
|
|
Under 18 (but above compulsory
school leaving age)
|
£4.62
|
|
Apprentices aged
under 19
|
£4.30
|
|
Apprentices aged 19
and over (but
in the first year of their apprenticeship)
|
£4.30
|
Please note the age rate bracket has changed from previous
years also.
PAYE Tax Rates and Threshold
These rates depend on the amount of income you earn.
|
Personal allowance
|
£12,570
|
|
Basic tax rate – 20%
|
£12,571 – £37,700
|
|
Higher tax rate – 40%
|
£37,701 - £150,000
|
|
Additional tax rate –
45%
|
£150,000+
|
Employment Allowance
Employment Allowance allows eligible employers to reduce
their annual National Insurance liability by up to the annual allowance amount.
|
Employment Allowance
|
£4,000
|
Statutory Sick Pay (SSP)
The same weekly SSP rate applies to all
employees. However, the amount you must actually pay an employee for each day
they’re off work due to illness (the daily rate) depends on the number of
‘qualifying days’ they work each week.
|
Number of qualifying
days in week
|
1 day to pay
|
2 days to pay
|
3 days to pay
|
4 days to pay
|
5 days to pay
|
6 days to pay
|
7 days to pay
|
|
1
|
£96.35
|
|
|
|
|
|
|
|
2
|
£48.18
|
96.35
|
|
|
|
|
|
|
3
|
£32.12
|
£64.24
|
£96.35
|
|
|
|
|
|
4
|
£24.09
|
£48.18
|
£72.27
|
£96.35
|
|
|
|
|
5
|
£19.27
|
£38.54
|
£57.81
|
£77.08
|
£96.35
|
|
|
|
6
|
£16.06
|
£32.12
|
£48.18
|
£64.24
|
£80.30
|
£96.35
|
|
|
7
|
£13.77
|
£27.53
|
£41.30
|
£55.06
|
£68.83
|
£82.59
|
£96.35
|
Dividend Allowance
You also get a dividend allowance each year. You only pay
tax on any dividend income above the dividend allowance.
|
Dividend Allowance
|
£2,000
|
Mileage Allowance
The allowed deductible rate per mile for business use.
|
Type of vehicle
|
Rate
|
|
Car
|
45p (for the first 10,000
business miles, then 25p for each subsequent mile)
|
|
Motorcycle
|
24p
|
|
Cycle
|
20p
|
