Class 1 NICs : Earnings of employees and office holders : Retirement or dismissal
Include in gross pay lump sum payments made on retirement or in the event of dismissalunless they can be accepted as a pension payment or compensation. For details of payments:
- made on termination of employment, see NIM02500
- by way of a pension made:
Do not include redundancy payments as these are specifically excluded from earnings forNICs purposes by virtue of regulation 25 and paragraph 6 of Part 10 of Schedule 3 to theSocial Security (Contributions) Regulations 2001.