Personal Income
(asked on 17th March 2015) - View Source
Question to the HM Treasury:
To ask Mr Chancellor of the Exchequer, what change there has been in net annual income for a person earning £24,000 gross per annum as a result of changes to personal allowances and national insurance contributions since 2010.
The increase in net annual income for a person earning £24,000 gross income between 2010-11 and 2015-16 is £924.
This is calculated using the following rates and thresholds which represent the changes in the personal allowance thresholds and the National insurance contributions rate and thresholds over this parliament.
2010-11 | 2015-16 | |
Personal allowance | £6,475 | £10,600 |
Income Tax Basic rate | 20% | 20% |
Primary Threshold (NICs) | £5,715 | £8,060 |
Employee Primary Class 1 NICs rate | 11% | 12% |
This assumes that the individual was born after 5 April 1948, is paying employee NICs (not contracted out), and has a gross income from pay only. The Income tax calculations assume no other allowances or deductions. The NICs is calculated on an annual basis which assumes a smooth distribution of the income across the year.