Stop Paying National Insurance

Pensions and National Insurance

National Insurance contributions up to State Pension age

If your earnings are over a certain level and you are employed or self employed, you will have to pay national insurance contributions. You pay national insurance contributions from the age of 16 until state pension age.

You will pay class 1 national insurance contributions if you are employed, class 2 contributions if you are self-employed, and class 4 contributions annually, based on your taxable profits.

What happens at state pension age?

When you reach state pension age you will no longer be required to pay class 1 or 2 national insurance contributions if you carry on working. As class 4 contributions are paid annually, you may have to pay them for the year that you reach state pension age. However, after this, you will no longer have to pay them.

Applying for an Age Exception Certificate if you carry on working

If you continue to work after you reach state pension age, you should write to HM Revenue & Customs (HMRC) to claim an Age Exception Certificate which will stop you paying national insurance contributions.

You will need to provide them with;

  • your name and address
  • a contact number
  • your national insurance number.

Once you receive your certificate, you will need to give it to your employer. Another option would be to show your employer your passport to prove that you are state pension age.

If you are self employed, then you simply need to stop paying contributions once you reach state pension age.

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