Director's NIC in Month 12

Question

Hi there, 
 
 I am processing a March Payroll for a Director who reached pensionable age in January, so her NI category changed from A to C. 
 Sage Payroll is now giving her an NIC refund in Month 12 - why?? 
 
 Many thanks 
 
 Pam

John Howells · Answer

Hi Pam, 
 Thanks for using Community Hub 
 An NI refund can occur depending on the director's payments through the year on each NI category. 
 We have a guide with more information on this including some examples that covers why this can happen. Visit it here: director's NI recalculation after mid-year NI category change > 
 If this has answered your question, please click Verify Answer . 
 Regards, 
 John Howells Sage UKI

Sage 50 Payroll

Director's NIC in Month 12

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