MARTIN Lewis has revealed the exact salary you need to benefit from today's Spring Statement announcements.
Chancellor Rishi Sunak today revealed a host of measures designed to ease the cost of living crisis.
One of them is an increase to the threshold at which you start paying National Insurance.
Mr Sunak also announced in his Spring Statement:
- Fuel duty cut by 5p per litre – saving families £3.30 every time they fill up their tank – from 6pm TONIGHT
- National Insurance threshold to rise from £9,500 to £12,500 – worth over £330 a year – from JULY
- Income tax rates will be cut from 20p to 19p in 2024
- VAT slashed to 0% for insulation, heat pumps and solar panels in Brexit boost – comes in from April 2022 for five years
- Extra £500million for hard-up Brits through the Household Support Fund – from April
The National Insurance threshold increase will go up from £9,568 to £12,570 from July.
It means millions of Brits will pay less of the tax, or be taken out of paying it altogether.
Read more on the Spring Statement
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But the increase to the level at which you start paying National Insurance Contributions (NICs) will follow on from another change.
From April – just days away – National Insurance rates will rise by 1.25 percentage points.
Mr Sunak today confirmed that the introduction of the social care levy will go ahead – despite the cost of living crisis piling pressure on households.
Exactly how much more NIC's you'll pay under this change, and how much less in July, will depend on how much you earn.
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