Do I still pay Class 2 National Insurance?

No. Since 6 April 2024 self-employed people don't have to pay Class 2. If your profits are below the small profits threshold, you can pay it voluntarily to protect your State Pension.

What's the difference between profit and income?

Profit is your income minus allowable business expenses. Tax and National Insurance are worked out on profit.

Sole traders

Draft: awaiting review by a qualified accountant

Self-employed tax and take-home pay calculator

If you're self-employed, you pay income tax and Class 4 National Insurance on your profit. Enter your profit to see what you'll owe and what you'll keep.

Tax year 6 April 2026 to 5 April 2027

Your yearly profit

Income minus allowable business expenses

Other income, e.g. a salary

Optional. Pushes your profit into higher bands.

Where do you live?

Scotland has its own income tax bands.

EnglandScotlandWalesNorthern Ireland

Your estimate

£29,168

take-home a year, about £2,431 a month

Profit£35,000

Income tax£4,486

Class 4 National Insurance£1,346

Total tax and NI£5,832

Effective rate16.7%

For guidance only, not tax advice. Based on 2026 to 2027 rates, last checked 3 November 2026.

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Common questions

Do I still pay Class 2 National Insurance?: No. Since 6 April 2024 self-employed people don't have to pay Class 2. If your profits are below the small profits threshold, you can pay it voluntarily to protect your State Pension.
What's the difference between profit and income?: Profit is your income minus allowable business expenses. Tax and National Insurance are worked out on profit.

Read the full guide →