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Income Tax Rates & Allowances and NIC's Rate for 2014/15 from 6th April 2014

Income Tax Rates

20% Basic Rate: £0 – £31,865

40% Higher Rate: £31,866 – £150,000

45% Additional Rate: £150,000+

Income Tax Allowances

Personal Allowance upto age 65 £10,000, age 65-74 £10,500, age 75+ £10,660 (income limit for age related allowances is £27,000).  Married Couples allowance age 75+ £8,165 (minimum amount of MCA £3,140), Blind Persons Allowance £2,230.

National Insurance Rates

Class 1: Lower Earnings Limit (LEL) £111, Primary Earnings Threshold (PET) £153, Secondary Earnings Threshold (SET) £153, Upper Accrual Point (UAP) £770, Upper Earnings Limit (UEL) £805.

Class 2: £2.75 per week, Small Earnings Exception £5,885 per annum, Special Rate for Share Fisherman £3.40 per week, Special Rate for Volunteer Development Workers £5.55 per week.

Class 3: £13.90 per week.

SSP, SMP, SAP, SPP Rates

Statutory Sick Pay (SSP) weekly rate increases to £87.55 today.  Employees must have average weekly earnings (AWE) of at least £111 to be entitled to SSP for any periods of incapacity for work (PIW).

Statutory Maternity Pay (SMP) weekly rate increases to £138.18 today.  Employees must have average weekly earnings (AWE) of at least £109 if the baby is due on or before 19th July 2014, or £111 if the baby is due on or after 20th July 2014.

Statutory Adoption Pay (SAP) weekly rate increases to £138.18 today.  Employees must have average weekly earnings (AWE) of at least £109 if the matching occurs on or before 19th July 2014, or £111 if the matching or notification occurs on or after 6th April 2014.

Statutory Paternity Pay (SPP) weekly rate increases to £138.18 today.  Employees must have average weekly earnings (AWE) of at least £109 if the baby is due on or before 19th July 2014 (or if the adoption matching or notification occurs on or before 5th April 2014, or £111 if the baby is due on or after 20th July 2014 (or if the adoption matching or notification occurs on or after 6th April 2014).

Small employers are able to recover 100% of SMP, SPP & SPP, plus 3% compensation for the Employers National Insurance incurred.  Other employers are able to recover 92%.

Company Cars & Vans Rates

Cars: Benefit Charge 1400cc or less 16%, 1401-2000cc 27%, 2001cc+ 37%.  Fuel Multiplier £21,700.

Vans:  Benefit Charge £3,090.  Fuel Benefit Multiplier £581

Student Loan Thresholds for

If you started your course BEFORE 1st September 2012

You only start making repayments when your income is over the threshold of £325 per week, £1,409 per month or £16,910 per year.  You pay 9% of the income OVER the threshold.  For example if you earn £25,000 per annum, you will pay 9% on £8,090, being £728.10 per annum (£60.67 per month).  You’ll be due to start repaying your loan in the April after you complete or leave your course.

If you started your course ON or AFTER 1st September 2012

You only start making repayments when your income is over the threshold of £405 per week, £1,750 per month or £21,000 per year.  You pay 9% of the income OVER the threshold.  For example if you earn £25,000 per annum, you will pay 9% on £4,000, being £360 per annum (£30 per month).  You’ll be due to start repaying your loan in the April after you complete or leave your course.

You can pay off your loan more quickly by making extra repayments voluntarily. You can do this anytime at www.studentloanrepayment.co.uk.

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