Will you be joining over 30 million people getting a pay rise in July? A new National Insurance calculator from Martin Lewis’ Money Saving Expert Team will tell you.
Next month, National Insurance thresholds are set to increase by just shy of £3000. From July 6 therefore, you can annually earn up to £12,500 before having to pay a penny to National Insurance.
What this rising threshold means for you, though, is that you could be in with some extra cash every month. Now I know I wouldn’t say no to that.
Everyone from students to reality TV stars, to online gaming teachers can benefit. In fact, the scheme could see people across the UK getting around £330 extra in their pay over the year, according to Somerset Live.
Mo money, mo problems
By using The MSE Teams’ calculator, you can easily see how much your wage will increase come July.
Made with transparency in mind, the calculator says it “will show you what impact [the National Insurance threshold increase] will have on your monthly take-home pay, and how much tax you’ll pay over the year.”
Firstly, open the Martin Lewis Income Tax Calculator. Then, “select 2022/23 from the ‘Tax Year’ selector” and fill in your pre-tax income and any deductibles. The calculator will then work out how much you could earn on your monthly paychecks once the National Insurance threshold has been raised.
It couldn’t be easier to see how much extra money you’re potentially going to get each month. You can use the Martin Lewis National Insurance calculator now.
Chancellor Rishi Sunak firstly introduced the National Insurance threshold change in the 2022 Spring Statement.
“The increase will benefit almost 30 million people,” Sunak claimed. “July is the earliest date that will allow all payroll software developers and employers to update their systems and implement changes.”
Regarding the creation of the calculator, Martin Lewis tweeted, “In July, the threshold at which you start paying National Insurance (NI) Increases. Our calc shows the impact on your take-home pay…”
In 2003, Martin Lewis founded MoneySavingExpert. Since its conception, its aim is to provide guides, tools and also easy techniques to navigate the cost of living.
You can use the National Insurance calculator from Martin Lewis now.
Feature Image Credit: ITV / Thought Catalog (via Unsplash)