National Insurance (Infotype 0069) 
Definition
This infotype stores an employee’s National Insurance (NI) information. The National Insurance number itself is transferred from the employee’s Personal Data (infotype 0002) record, and cannot be altered here.
Use
All the necessary information for National Insurance contribution (NIC) calculation is stored in this record. The Payroll component uses this data to make the correct NIC deductions from wages and salaries.
When new employees join your company, you need to create a National Insurance record for each of them. If you do not receive the National Insurance (NI) details immediately, you need not create this record for them until you receive the information. If the NI details are not available, the system uses the default values set up in Customising for Payroll: Great Britain to calculate the employees’ NICs. For more information, see the section on National Insurance in the Implementation Guide (IMG) for Payroll: Great Britain.
Creating a National Insurance record after employee data has been included in payroll triggers retrocalculation.
During their employment, employees’ NI situations may change. You need to create new records to reflect each of these changes.
If an employee’s National Insurance status changes, you must create a new National Insurance record valid from the exact date of the change of status. This is to ensure that the payroll calculates the new contributions from the correct period within the tax year.
In the case of underpayments, the arrears are recovered in accordance with the statutory regulations. Overpayments are refunded, and the cumulatives are corrected for end-of-year reporting.
Structure
NI category
This enables the Payroll component to calculate the National Insurance Contributions for the employees and the employer.
Additional flags
In the Additional flags group box, you can set an indicator for the following:
· Company director: If this flag is selected, the person is a company director and is therefore governed by different NI regulations. The system automatically calculates NICs on an annual basis for company directors.
· Certificate held:
· No cert: The employee is either in NI category code A, D or F, and therefore does not need a certificate
· CA 4139: This certificate can only be submitted by certain married women, which entitles them to pay reduced rate NICs.
· CA 2700: The employee has another job and has provided you with a CA2700 exempting him or her from NICs. This employee is paying sufficient NICs in the other job. The system automatically calculates employer contributions for employees in this category.
· CA 4140: This certifies that the employee has reached state retirement age and is therefore no longer liable to pay NICs
Retrocalculation Implications
Backdated changes to the National Insurance Contributions (infotype 0069) record do trigger retrocalculation.
See also:
