BookMachine | A tax on the precariat: what the 2017 budget means for the self-employed in publishing

BookMachine_logoWhen BookMachine asked for an opinion, I couldn’t not comment. Read the full article here, or grab the snippet below:

Outrage abounds in the wake of Philip Hammond’s 2017 Budget announcement on Wednesday. Amongst other controversial moves, National Insurance (NI) payments on the self-employed have been increased by 2%. But what effect will this raise have on the growing number of self-employed and freelance workers in the publishing industry?

The figures

Let’s start by looking at the cold, hard figures. The 2017 Budget has brought in a 2% rise in NI contributions for the UK’s self-employed workers. The self-employed normally pay one of two different kinds of NI: Class 2, if your profits are £5,965+ per year, and Class 4 if they are £8,060+ per year. Class 4 payments are divided into two categories: 9% on profits of £8,060-£43,000, and 2% on profits over £43,000.

The proposed two percent raise will take place on for Class 4 payments, for profits between £8,060 and £43,000 per year. The rates will increase from 9% to 10% in April 2018 and 11% in April 2019, while NI contributions on profits over £43,000 will remain steady at 2%. This hike in NI payments coincides with the abolition of Class 2 rates already due to take place in 2018… [READ MORE]

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jasminonajourney

Must write or subject to mood swings. Prefers fantasy, will deal with reality. Works in publishing, lives in London. Tweets @jasminkirkbride

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