P60 Earnings at the LEL, PT and above — National Insurance earnings bands
Your earnings split across NI thresholds — Lower Earnings Limit (LEL), Primary Threshold (PT), and above. Determines contribution credit for State Pension.
At a glance
- Entry
- National Insurance earnings bands
- Feeds to
- Your NI record (used for State Pension qualifying years). Not reported on Self Assessment.
- Check against
- Sum across the tax year of earnings at each NI threshold — matches the NI lines on each payslip.
What this means
The P60 breaks out NI-able earnings into bands at the Lower Earnings Limit (LEL), Primary Threshold (PT), and Upper Earnings Limit (UEL) — all indexed annually by HMRC. You pay employee NI at the main rate between PT and UEL, and a lower rate above UEL.
The LEL figure matters even if you pay no NI: earnings at or above the LEL for any week count as a qualifying week toward State Pension. You need 35 qualifying years for the full new State Pension (as of 2025/26).
Implications for your tax
- LEL earnings (even if below PT) give you State Pension qualifying weeks — valuable if you work part-time.
- Employee NI contributions (from PT upward) count as National Insurance paid — feeds your NI record on the HMRC website.
- Above the UEL, NI drops to 2% — this is the only progressive element of employee NI.
Common pitfalls
- Benefits in kind (company car, private medical) mostly do not attract Class 1 NI but do attract Class 1A (paid by employer, separate).
- Directors have an annual NI calculation method — their P60 may show NI-able earnings different from a straight weekly/monthly sum.
- If the LEL figure is zero but you worked the whole year, something is wrong with how your employer reported you.
For 2025-26 (tax year 6 April to 5 April)
- Class 1 NI thresholds
- PT £12,570 · UEL £50,270
- Employee NI: 8% on earnings PT → UEL, then 2% above UEL (no cap). Below PT: 0%.
Values sourced from central tax-year config at build time — update automatically on FY rollover.
Related P60 entries
Employee's contributions — Your National Insurance contributions paid
Total Class 1 National Insurance your employer deducted from your pay — the main employee rate between the Primary Threshold and Upper Earnings Limit, with a lower rate above the UEL.
Pay: In this employment — Pay in this employment (current job)
Your total taxable pay in this employment for the tax year (6 April to 5 April). If you started this job mid-year, it covers only what this employer paid you.
Pay: In previous employment(s) — Pay from previous employer(s) this year
Your taxable pay from any earlier employer in the same tax year, as transferred to this employer via your P45 Parts 2 and 3.
Pay: Total for year — Total pay for the tax year
The sum of current and previous employment pay — the headline figure HMRC uses for your annual income tax calculation.
Reconciling your pay? Use the take-home pay calculator to verify PAYE and NI on any salary for 2025/26 or 2026/27, and the tax code checker to decode your final tax code.
Sources
P60 structure per HMRC PAYE forms guidance. Thresholds and rates current for 2025/26 (tax year 6 April 2025 to 5 April 2026); 2026/27 figures included where published.