Contributions

Entitlement to National Insurance benefits such as retirement pension, sick­ness and invalidity benefit, unemployment benefit, maternity allowance and widow's benefit is dependent upon the payment of contributions. Industrial injuries benefits are non-contributo­ry, but are also payable from the National Insurance Fund. There are four classes of contribu­tions. Class 1 contributions are related to earnings and are paid by employees and employers. The contribution is lower if the employer operates a «contracted-out» occupational pension scheme. Self-employed people pay a flat rate Class 2 contribution and may have to pay a Class 4 contribution, which is assessed as a percentage of profits or gains within certain limits; they are not eligible for unemployment and industrial injuries benefits. Voluntary Class 3 contribu­tions are made by people wanting to safeguard rights to some benefits.

Employees who continue working after pensionable age (60 for women and 65 for men) do not pay contributions but the employer continues to be liable. People earning less than the lower earnings limit are not liable for contributions; neither are their employers. Self-employed people with earnings below a set annual amount may apply for exemption and those over pen­sionable age are excused payment of contributions.

About 81 per cent of the cost of the health service in Great Britain is paid for through gen­eral taxation; the rest is met from the National Health Service contribution paid with the Na­tional Insurance contribution and from the charges towards the cost of certain items such as drugs prescribed by a family doctor, and dental treatment. Health authorities may raise funds from voluntary sources. Certain hospitals increase their revenue by taking private patients who pay the full cost of their accommodation and treatment.

Date: 2015-09-19; view: 666; Нарушение авторских прав