Update NICs for July 2022

SavingTool · Jul 25, 2022 · 45a4770 · 45a4770
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Showing 3 changed files with 22 additions and 20 deletions.
diff --git a/CONTRIBUTING.md b/CONTRIBUTING.md
@@ -6,7 +6,7 @@ Please note that the project aims to provide "low level" calculation utilities a
 
 ## Getting Started
 
-Codehawk-cli is a pure Node.JS program. All you need to develop the project is
+`@saving-tool/hmrc-income-tax` is a pure TypeScript library. All you need to develop the project is
 
 - Git (no specific version required but v2+ is recommended)
 - Node.js (v14+ or latest LTS is recommended)

diff --git a/src/hmrc.ts b/src/hmrc.ts
@@ -27,6 +27,8 @@ interface TaxRates {
 }
 
 const taxRates: Record<TaxYear, TaxRates> = {
+  // As of 6th July 2022 (NICs change applied)
+  // Change described here: https://www.gov.uk/guidance/estimate-how-the-national-insurance-contributions-changes-will-affect-you
   "2022/23": {
     // Income tax
     DEFAULT_PERSONAL_ALLOWANCE: 12_570,
@@ -43,7 +45,7 @@ const taxRates: Record<TaxYear, TaxRates> = {
     // National Insurance
     NI_MIDDLE_RATE: 0.1325,
     NI_UPPER_RATE: 0.0325,
-    NI_MIDDLE_BRACKET: 190,
+    NI_MIDDLE_BRACKET: 242,
     NI_UPPER_BRACKET: 967,
   },
 };

diff --git a/src/nationalInsurance.test.ts b/src/nationalInsurance.test.ts
@@ -1,24 +1,24 @@
 import { calculateEmployeeNationalInsurance } from "./nationalInsurance";
 
 const expectations = [
-  { taxableAnnualIncome: 15_000, nics: 678.4 },
-  { taxableAnnualIncome: 17_500, nics: 1009.6500000000001 },
-  { taxableAnnualIncome: 20_000, nics: 1340.9000000000003 },
-  { taxableAnnualIncome: 22_500, nics: 1672.15 },
-  { taxableAnnualIncome: 25_000, nics: 2003.3999999999999 },
-  { taxableAnnualIncome: 50_000, nics: 5315.900000000001 },
-  { taxableAnnualIncome: 55_000, nics: 5506.8 },
-  { taxableAnnualIncome: 60_000, nics: 5669.3 },
-  { taxableAnnualIncome: 75_000, nics: 6156.8 },
-  { taxableAnnualIncome: 90_000, nics: 6644.3 },
-  { taxableAnnualIncome: 110_000, nics: 7294.3 },
-  { taxableAnnualIncome: 130_000, nics: 7944.3 },
-  { taxableAnnualIncome: 150_000, nics: 8594.300000000001 },
-  { taxableAnnualIncome: 175_000, nics: 9406.800000000001 },
-  { taxableAnnualIncome: 200_000, nics: 10219.300000000001 },
-  { taxableAnnualIncome: 250_000, nics: 11844.300000000001 },
-  { taxableAnnualIncome: 500_000, nics: 19969.3 },
-  { taxableAnnualIncome: 1_000_000, nics: 36219.299999999996 },
+  { taxableAnnualIncome: 15_000, nics: 320.11999999999995 },
+  { taxableAnnualIncome: 17_500, nics: 651.3700000000001 },
+  { taxableAnnualIncome: 20_000, nics: 982.6200000000002 },
+  { taxableAnnualIncome: 22_500, nics: 1313.87 },
+  { taxableAnnualIncome: 25_000, nics: 1645.1200000000001 },
+  { taxableAnnualIncome: 50_000, nics: 4957.620000000001 },
+  { taxableAnnualIncome: 55_000, nics: 5148.5199999999995 },
+  { taxableAnnualIncome: 60_000, nics: 5311.02 },
+  { taxableAnnualIncome: 75_000, nics: 5798.52 },
+  { taxableAnnualIncome: 90_000, nics: 6286.0199999999995 },
+  { taxableAnnualIncome: 110_000, nics: 6936.0199999999995 },
+  { taxableAnnualIncome: 130_000, nics: 7586.0199999999995 },
+  { taxableAnnualIncome: 150_000, nics: 8236.02 },
+  { taxableAnnualIncome: 175_000, nics: 9048.52 },
+  { taxableAnnualIncome: 200_000, nics: 9861.02 },
+  { taxableAnnualIncome: 250_000, nics: 11486.02 },
+  { taxableAnnualIncome: 500_000, nics: 19611.02 },
+  { taxableAnnualIncome: 1_000_000, nics: 35861.02 },
 ];
 
 describe("calculateEmployeeNationalInsurance", () => {