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HMRC internal manual

National Insurance Manual

Class 2 National Insurance contributions: payments: Direct Debit requested twice a year

Regulation 90 of the Social Security (Contributions) Regulations 2001 (SI 2001 No 1004)

Where a person is entitled to pay Class 2 NICs by Direct Debit (DD) (see NIM72300) they can choose to pay twice a year.

HMRC requests payments by DD in the:

  • January following the start of the contribution year that there is any Class 2 NICs liability in respect of the first 26 contribution weeks of that year; and
  • July following the end of the contribution year that there is any Class 2 NICs liability in respect of the remainder of that contribution year

 

The table below shows, for Class 2 NICs due in respect of the 2015/16 contribution year, when HMRC requested payment by DD and which period of liability each payment covers.  HMRC informs those paying Class 2 NICs by DD the precise date that amounts will be collected from their bank or building society accounts before the amounts are collected.

Payment date by Direct Debit Period of liability Number of contribution weeks
8 January 2016 12/04/15 to 10/10/15 26
8 July 2016 11/10/15 to 09/04/16 26

For the effect of payment dates on entitlement to State Pension, see NIM72500.

The Direct Debit method of payment is available only to those self-employed earners not within Self Assessment.