NIM12021 - Class 1: Calculating Class 1 NICs for Directors: Annual earnings periods for Directors: Introduction
Regulation 8 of the Social Security (Contributions) Regulations 2001 (SSCR 2001) (SI 2001 No 1004)
A director within regulation 8 SSCR 2001 has an annual earnings period (AEP). Whether an annual or pro-rata, see NIM12022, earnings period applies, you must always use it for each payment of earnings. »Ê¹ÚÌåÓýapp intervals between payments are irrelevant.
»Ê¹ÚÌåÓýapp annual Lower Earnings Limit (LEL) and Upper Earnings Limit (UEL) are calculated by multiplying the weekly LEL and UEL by 52.
»Ê¹ÚÌåÓýappre are alternative arrangements for the assessment and payment of NICs for company directors, see NIM12026.