National Insurance for gig workers (2025-26)

Summary

Gig workers in 2025-26 pay Class 4 National Insurance on gig profits over £12,570 and may have Class 2 National Insurance treated as paid once profits pass the small profits threshold; this is on top of any Class 1 National Insurance from a PAYE job.

If your gig profits are low, you can usually pay voluntary Class 2 to keep your state pension record going. The aim is 35 qualifying years for a full new state pension.

Reddit and TikTok often claim "gig work does nothing for your pension"; in fact, gig profits over the small profits threshold do count, but only if you are registered, filing Self Assessment and getting (or paying) the right Class 2 record.

Key facts (UK 2025-26)

• Tax year runs 6 April 2025 to 5 April 2026.
• Class 2 National Insurance (2025-26):
  • Small profits threshold: £6,845 of self-employed profits.
  • Rate: £3.50 a week.
  • If profits are £6,845 or more, Class 2 contributions are treated as paid to protect your record, you do not have to physically pay them.
  • If profits are below £6,845, you do not have to pay Class 2, but you can choose to pay voluntary Class 2 at £3.50 a week.
• Class 4 National Insurance (2025-26):
  • Lower profits limit: £12,570.
  • Upper profits limit: £50,270.
  • Rate: 6% on profits between £12,570 and £50,270.
  • Rate: 2% on profits above £50,270.
• Class 2 and Class 4 for the self-employed are normally calculated and collected through Self Assessment.
• If you have a PAYE job as well as gig work, you pay Class 1 National Insurance on your wages and Class 4 on your gig profits; HMRC can check and cap your total NIC if you overpay, but the rules are tight and you usually need to ask.
• For the new state pension, you usually need 35 qualifying years on your National Insurance record for a full amount; you need at least 10 qualifying years to get anything at all.

Legislation, case law, regulation

• Social Security Contributions and Benefits Act 1992: core law setting out National Insurance contribution classes and liability.
• Social Security (Contributions) Regulations: detailed rules on Class 2 and Class 4 contributions and thresholds.
• HMRC guidance, Self-employed National Insurance rates: official explanation of Class 2, Class 4, small profits threshold and voluntary contributions for 2025-26.
• HMRC rates and allowances: National Insurance contributions: confirms 2025-26 Class 2 and Class 4 thresholds and rates, including special rates and deferral.
• GOV.UK State Pension and LITRG guidance on National Insurance and the state pension: explain the 35 qualifying years rule and how self-employed Class 2 contributes to it.

How it actually works

1. Work out your gig "profits"

For National Insurance, HMRC cares about profits, not turnover:

• Profit = total gig income (Uber, Deliveroo, Amazon Flex etc.) minus allowable expenses.
• Those profits are what Class 2 and Class 4 are based on.
• If you do multiple gigs (Uber + Deliveroo + Amazon Flex), you add them together as one self-employed profit figure.

2. Class 2 National Insurance in 2025-26

Class 2 is the weekly flat amount linked to your state pension record.

For 2025-26:

• If your profits are £6,845 or more: Class 2 is treated as paid. HMRC credits you, so you get a qualifying year towards the state pension without physically paying the weekly amount.
• If your profits are below £6,845: You do not get automatic Class 2, and you can choose to pay voluntary Class 2 at £3.50 a week to protect your state pension entitlement.

You normally deal with this through Self Assessment. The return works out whether you're above the small profits threshold and whether you want to pay voluntary Class 2 if you are below it.

3. Class 4 National Insurance in 2025-26

Class 4 is the percentage on profits. This is where most of the money is.

For 2025-26:

• No Class 4 on the first £12,570 of profits.
• 6% on profits between £12,570 and £50,270.
• 2% on profits above £50,270.

This is in addition to income tax. It is calculated and added to your Self Assessment bill automatically.

4. If you also have a PAYE job

If you have a job and do gig work on the side:

• You pay Class 1 National Insurance on your wages through PAYE (your payslip).
• You pay Class 4 on your gig profits through Self Assessment.
• You may also have Class 2 (treated as paid, or voluntary if profits are low).

There are rules to stop you paying more than a certain amount of NIC overall, but:

• it is not automatic for everyone;
• you may need to ask HMRC or apply for deferral in some cases if your NIC from different sources goes over the maximum.

So yes, you can end up paying NI via both routes. It is not "double charging", it is two separate types of NIC.

5. Does gig work count towards your state pension?

Yes, if your gig profits are high enough, or you pay voluntary contributions:

• If your self-employed profits are £6,845 or more in 2025-26, you are treated as having paid Class 2, which gives you a qualifying year towards the state pension if it covers the whole year.
• If your profits are below £6,845, you can pay voluntary Class 2 at £3.50 a week to turn that year into a qualifying year.
• If you are only doing gig work part-time, what matters is still your annual profit, not how many hours you did. A part-time gig worker can absolutely build up a state pension record.

The target is usually 35 qualifying years for a full new state pension; you need at least 10 to get anything.

6. Small profits threshold and voluntary Class 2

Key thresholds for 2025-26:

• Small profits threshold: £6,845.
• Lower profits limit for Class 4: £12,570.

Scenarios:

Profits £5,000, below £6,845:

• No Class 4, no automatic Class 2.
• You can choose to pay voluntary Class 2 at £3.50 a week to protect your pension year.

Profits £8,000, above £6,845 but below £12,570:

• Class 2 is treated as paid (qualifying year), but you still pay no Class 4.

Profits £15,000, above both thresholds:

• Class 2 treated as paid.
• Class 4 at 6% on profits from £12,570 to £15,000.

7. Rule-of-thumb budgeting for NI as a gig worker

Because NI is part of your Self Assessment bill, most tax advisers tell gig workers to:

• think of NI as just part of the overall "tax pot";
• move 20% to 25% of gross gig income into a tax savings pot if your profits are modest;
• push to 25% to 30% if your profits are higher or you are not great at record-keeping.

That "pot" then covers income tax and Class 4, and you can bolt on voluntary Class 2 (£3.50 a week) if needed.

Worked example

Example 1: £5,000 gig profit (small side hustle)

• Profits: £5,000 from Deliveroo and Amazon Flex in 2025-26.

Class 2:

• Profits below £6,845, so no mandatory Class 2.
• You can pay voluntary Class 2 at £3.50 a week to secure a qualifying year.

Class 4:

• Profits below £12,570, so no Class 4.

If this is your only work and you do not pay voluntary Class 2, you get no qualifying year for state pension from this year. If you do pay voluntary Class 2 (about £182 for the year), you do get a qualifying year.

Example 2: £15,000 gig profit (solid part-time Uber)

• Profits: £15,000 from Uber and Just Eat in 2025-26.

Class 2:

• Profits over £6,845, so Class 2 treated as paid; you get a qualifying year without paying the weekly amount.

Class 4:

• Class 4 is 6% on profits between £12,570 and £15,000, so band of £2,430.
• 6% of £2,430 = £145.80 Class 4.

So NI on gig work is about £145.80, plus income tax if total income is high enough.

Example 3: £30,000 gig profit (full-time multi-platform)

• Profits: £30,000 from Uber, Deliveroo and Amazon Flex in 2025-26.

Class 2:

• Profits over £6,845, so Class 2 treated as paid (qualifying year).

Class 4:

• 6% on profits between £12,570 and £30,000, so band of £17,430.
• 6% of £17,430 = £1,045.80 Class 4.
• No 2% band, as profits are below £50,270.

So NI on gig work is about £1,045.80 for the year, plus income tax. This driver absolutely needs to be setting aside a decent chunk of income every week.

If this person also had a PAYE job paying £15,000:

• They would pay Class 1 on the wages via PAYE,
• Plus the Class 4 above on the gig profits.

HMRC can check for NIC overpayments, but you should expect to pay both types unless you specifically claim a cap/deferral.

What Reddit, TikTok and forums get wrong

1. "If you're self-employed you don't build up any state pension." Wrong. Profits above £6,845 in 2025-26 are treated as having paid Class 2 and give you a qualifying year; smaller profits can still buy a year via voluntary Class 2.

2. "You only need Class 2 if you earn over £12,570." Wrong. The key line for Class 2 in 2025-26 is the £6,845 small profits threshold, not the £12,570 Class 4 limit.

3. "If you have a PAYE job, HMRC won't charge Class 4 on your side gig, that would be double NI." Wrong. You pay Class 1 on wages and Class 4 on self-employed profits; the system is built that way, and there is no automatic exemption just because you already pay Class 1.

4. "Voluntary Class 2 is a rip-off, no point paying it." Short-sighted. A year's voluntary Class 2 at about £182 for 2025-26 can be very cheap compared with having to buy missing years later or getting a smaller state pension for life.

5. "Part-time gig work won't count for pension; hours are too low." Misleading. Hours do not matter. If your profits pass £6,845, you are treated as having paid Class 2 for the year.

Action steps for the reader

1. Estimate your gig profits for 2025-26 (income minus expenses) and see whether you'll be under £6,845, between £6,845 and £12,570, or above £12,570.
2. If you expect to be under £6,845, decide whether to pay voluntary Class 2 at £3.50 a week to secure a qualifying year for your state pension.
3. If you expect to be above £12,570, include Class 4 NI in your tax pot; aim to move at least 20% to 25% of gross gig income into a separate savings pot to cover both income tax and NI.
4. If you also have a PAYE job, keep your payslips and your Self Assessment calculations. If your total NI feels too high, you can ask HMRC to check whether you qualify for any deferral or refund.
5. Check your National Insurance record and state pension forecast on GOV.UK so you can see how many qualifying years you already have and how big the gap is.

Related tools GigKiln should build

• NI calculator for gig workers: takes gig profits and shows Class 2/Class 4 due for 2025-26.
• Qualifying year checker: asks about profits, credits and voluntary contributions, and tells the reader whether 2025-26 will count towards their pension.
• Tax and NI saving-pot estimator: converts weekly Uber/Deliveroo/Amazon Flex income into a suggested savings amount for tax and NI.

Related guides

• "Does gig work count towards my state pension?"
• "Self Assessment for gig workers: where NI fits into the bill"
• "Keeping below vs going above the small profits threshold: pros and cons for gig workers"

Sources

Primary

• GOV.UK, Self-employed National Insurance rates, accessed 18 April 2026.
• GOV.UK, Rates and allowances: National Insurance contributions, accessed 18 April 2026.
• GOV.UK, Rates and thresholds for employers 2025 to 2026, accessed 18 April 2026.
• GOV.UK / LITRG, National Insurance and the state pension, accessed 18 April 2026.
• GOV.UK, State Pension, accessed 18 April 2026.

Secondary

• LITRG, National Insurance for the self-employed, accessed 18 April 2026.
• Xero, National Insurance Rates for 2025/26: Updates and Changes, accessed 18 April 2026.
• Crunch, Navigating National Insurance Thresholds 2025/2026, accessed 18 April 2026.
• TaxCalc, Class 2 NIC from 2024/25, small profits threshold and voluntary NIC, accessed 18 April 2026.
• Rapid Formations, What's Changing in the 2025-26 Tax year?, accessed 18 April 2026.
• Streets Accountants, Self-Employed National Insurance Contributions, accessed 18 April 2026.