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Class 4 National Insurance: what the self-employed pay

When you work for yourself, National Insurance isn’t taken from wages. You pay Class 4 on your business profit, with your Income Tax.

Class 4 National Insurance: what the self-employed pay

Employees pay National Insurance through their payslip. If you’re self-employed there’s no employer to take it, so it’s worked out on your profit for the year and paid through your tax return, alongside your Income Tax. That charge is Class 4 National Insurance.

The rates for 2026-27

Business profitClass 4 rate
Up to £12,570Nothing
£12,570 to £50,2706%
Over £50,2702%

It’s worked out on profit, meaning your income less allowable expenses, or less the £1,000 trading allowance if you use that instead. If you have more than one self-employed business, the profits are added together first.

A self-employed gardener checking her figures on a phone beside her van

Two examples

£30,000 profit. The first £12,570 is free. The next £17,430 is charged at 6%, so Class 4 is £1,045.80.

£60,000 profit. 6% on the £37,700 between the two limits is £2,262, and 2% on the £9,730 above £50,270 is £194.60. Class 4 is £2,456.60.

What it doesn’t touch

Class 4 is charged on self-employed profit only. Rent from property carries no National Insurance at all, and a salary has its own through PAYE, so neither counts towards it. That’s why someone with a job, a let property and a small business can owe Income Tax on all three but Class 4 on the business alone.

You stop paying Class 4 from the tax year after you reach State Pension age.

And Class 2?

Class 2 was a flat weekly charge for the self-employed. Since April 2024 nobody has to pay it. If your profit is at least the small profits threshold, £7,105 for 2026-27, the year counts towards your State Pension as if you had paid. Below that you can choose to pay voluntary Class 2, £3.65 a week, to keep your record complete.

When you pay it

Class 4 is due with your Income Tax: by 31 January after the end of the tax year. It also counts towards your payments on account, so once your tax bill is over £1,000 you pay part of next year’s in advance, in January and July.

In Quarterwise

Your dashboard’s tax estimate includes Class 4 on your business profit, worked out the way above, next to your Income Tax. If the trading allowance gives a lower profit than your expenses, the estimate uses it, and Class 4 falls with it.

Common questions

What is the Class 4 National Insurance rate?
For 2026-27, 6% on self-employed profit between £12,570 and £50,270, and 2% on profit above £50,270. There’s nothing to pay on the first £12,570.
Do landlords pay National Insurance on rent?
Not on ordinary rental income. Class 4 applies to self-employed profit, and letting property usually isn’t treated as self-employment.
Do I still pay Class 2 National Insurance?
No. Since April 2024 it isn’t charged. With profit of at least £7,105 in 2026-27 the year counts towards your State Pension anyway; below that you can pay it voluntarily.

Last updated 22 October 2026. Quarterwise is software, not a tax adviser — if you’re unsure how the rules apply to you, check with HMRC or a qualified accountant.

Related guides

Making Tax Digital for the self-employed: what changes and whenIf you work for yourself, Making Tax Digital for Income Tax changes how you keep records and report to HMRC, though the tax you pay is worked out the same way. Here is who is affected, what you send and when, and what happens if you are late.Self-employed expenses under MTD: which category do your costs go in?Your quarterly updates send HMRC your business costs grouped into set categories. Here is what goes where, what you cannot claim, and what to do if you put something in the wrong place.Self-employed and a landlord: how Making Tax Digital works with two income sourcesIf you run a business and also let property, HMRC looks at both incomes together when deciding whether you need Making Tax Digital. Once you're in, each income gets its own quarterly updates, and both end up on one tax return.

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