Standard Personal Allowance for 2011/12 is £7,475. There are changes to the basic rate and higher rate income tax thresholds, which will affect the "take-home pay" of most Employees.

National Insurance Contribution rates will increase by 1% in 2011/12 tax year. The thresholds at which contributions start have changed and Employer contributions now commence at a lower level than Employee contributions.

Please refer to the EQ Budget Summary for details of all changes. Commentary is given under headings for Income Tax and National Insurance Contributions and Tables A and D list the relevant allowances and rates that apply.

If you wish to discuss any aspect of the payroll changes from the Budget, please contact Amber Payroll on 01382 312140.