Employer NI and Benefits Business Case — 2026–27

Compare current and proposed benefits using a reconciled employer cash bridge.

Calculate cash retained, not just gross NI relief

In 2026–27 the standard employer Class 1 rate is 15%, the annual secondary threshold is £5,000 and eligible Employment Allowance is up to £10,500. The allowance must be applied to both current and proposed Class 1 liabilities. It does not offset Class 1A on company cars.

A complete financial comparison

The calculator separates Class 1 cash savings, EV Class 1A, holiday wage reductions, pension savings shared with employees and annual costs. It deducts existing scheme savings and initial investment to show incremental retained cash benefit.

Use workforce groups for different NI categories, salaries, hours, pension bases and legacy voucher limits. Choose exact participant groups where benefit overlap is known, or disclose the independent-uptake assumption.

Check eligibility and assumptions

Gross 15% NI relief is only available where the salary reduction actually reduces NI-able earnings. Employment Allowance, special NI categories and scheme conditions can reduce the cash benefit. An annual wage screen does not certify individual pay-reference-period compliance.

Forecasts identify unconfirmed rates and the announced April 2029 pension NI cap. Fees, VAT, cover and termination costs must be entered; no retention or productivity benefit is assumed.

Build your employer business case

Rules checked 13 October 2026. Official employer rates.