the voluntary bit

Class 2 National Insurance

Your return says you owe Class 2 even though you earned under the limit? Here’s why — and how to say no.

“

It’s telling me I have to pay more than £100 in Class 2 NICs, but I earned way under the limit for self-employed income. Or does it include my normal employment too?

— Melissa, mid-tax-return
what’s going on

Class 2 is now voluntary for most people

For 2025/26, Class 2 is voluntary for most people, and the voluntary rate is £3.50 a week. If your self-employed profit is under the small profits threshold — £6,845 for 2025/26 — you don’t have to pay it.

So why is it showing up? Because you have the option to pay it voluntarily, and HMRC often assumes you might want to, to keep your NI record tidy. It’s an offer, not a demand — and it doesn’t sweep in your employed earnings.

the quick fix

How to opt out

At the bottom of the HMRC page there’s a selection box. Just answer “No” to “Would you like to pay Class 2 NICs voluntarily?” and you’re sorted — the charge disappears.

For reference: if your profits are between £6,845 and £12,570, HMRC treats your Class 2 as covered anyway (nothing to pay). Above £12,570 you won’t pay Class 2 either — you’ll pay Class 4 (6% / 2%) as part of your return.

Why would you ever pay voluntarily? Because it tops up your National Insurance record, which feeds into benefits like the State Pension and Maternity Allowance. If you’ve a gap year, a few quid a week can be worth it.

keep reading
National Insurance How to Do Your Tax Return
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