Believe it or not but there are four different types of National Insurance.  And the rules for working out how much to pay are quite different from Income Tax.

 There is Class 1 which people who are in employment have deducted from their pay.  If you have more than one job and earning a decent amount you can sometimes overpay on this one.

 There is Class 2 which self employed people often forget to pay.  Don’t worry you can usually catch up without too much fuss if you pay the arrears.  Currently this is £2.65 per week.

 Class 3 is for those people who are not paying National Insurance and feel missed out!  Seriously, it can be a good idea to pay this voluntary contribution to make sure you get your full 30 years in.

 Finally there is Class 4 which is basically just another tax on self-employed people.