Employer's national insurance contributions – which zones and rates apply?
In 2026 the rate is 14.1% in zone I, 10.6% in zone II, 7.9% in zone IVa, 6.4% in zone III, 5.1% in zone IV and nil in zone V. The zone is set by where the business has to be registered, not by where the employee lives – so home working does not give a lower rate. The contribution is reported monthly but paid every two months.
The 2026 rates
Zone I: 14.1% Zone Ia: 14.1% for ordinary industries, but with an allowance giving a reduced rate until it is used up. For agriculture and fishing the rate is 10.6%. Zone II: 10.6% Zone III: 6.4% Zone IV: 5.1% Zone IVa: 7.9% for ordinary industries, 5.1% for agriculture and fishing Zone V: nil The allowance in zone Ia builds on the EU rules on de minimis aid and is set in the annual rate resolution. The amount changes, so check the current allowance for the year before entering it in the payroll system.
What goes into the basis?
Fixed and hourly pay, overtime, bonus and commission, directors' fees and other fees, holiday pay when paid, taxable benefits in kind, the withholding-liable part of expense allowances, and the employer's pension contributions. That the pension contribution also attracts the charge surprises many – see Mandatory occupational pension. And a directors' fee is employment income attracting the charge, not a consultancy invoice – see Directors' fees
Mileage allowance
The withholding-free rate for a private car on business travel is NOK 3.50 per kilometre in 2026. Anything above that normally goes into the contribution basis. Where you pay at a higher agreed rate, the excess is therefore both withholding-liable and contribution-liable – see Expense claims, subsistence and mileage
Which zone applies?
The general rule is the place the business has to be registered under the rules for the Central Coordinating Register. Where the business has sub-units that have to be registered, those can have their own zones. Registering sub-units at different addresses only affects which rate is used – not any allowance, which applies per business.
Mobile activity
Where an employee carries out more than half their work in one particular other zone in a calendar month, the salary may have to be split between zones. Note the wording: work in several other zones cannot be added together to reach the 50% threshold. It has to be one particular other zone that passes half on its own.
Home working does not give a lower rate
Home working counts as work not tied to a place. An employer in zone I therefore does not automatically get a lower rate because the employee lives in a cheaper zone. That is one of the most common misunderstandings since home working became normal.
Special rules
Separate rules apply to steel and coal, finance and insurance, certain intra-group services, and agriculture and fishing. Where the business operates in one of those sectors, it cannot simply use the geographical rate.
NAV reimbursements reduce the basis
Reimbursed sick pay and other qualifying NAV reimbursements can reduce the contribution basis where they are reported correctly – see Sick pay and reimbursement from NAV Incorrect reporting here means the business pays a charge it should not be paying.
Payment
Employer's contributions are reported monthly in the a-melding but paid every two months: 15 January, 15 March, 15 May, 15 July, 15 September and 15 November. That is a different rhythm from the advance deduction, which from 2026 is paid after each salary payment. Two different due dates from the same payroll run – see A monthly checklist for the payroll run We handle the zone classification, the calculation and the reporting. Charitable and non-profit organisations have their own exemption within specific limits – see Clubs and associations
Read more
This is general guidance, not advice on your specific case. Deadlines, rates and amounts change – always check the current rules, or get in touch with us.
More on payroll and employees
- Your first employee – what has to be in place before the first payroll?
- Freelancer, contractor or employee – what is the difference?
- Holiday pay – how is it calculated and paid?
- Sick pay and reimbursement from NAV – what is the employer responsible for?
- Hiring in labour – when is it lawful?
- Expense claims, subsistence and mileage – what can be paid free of withholding?
- Temporary lay-offs – which rules and pay obligations apply?
- Employees abroad or foreign employees in Norway – what applies?
- A monthly checklist for the payroll run – what has to be done, and when?
Is it urgent?
We can work out what actually has to be done, what documentation exists and how quickly it can be sorted. You can also reach us in the evenings and at weekends.
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