As part of the "Zero-10" tax reform, Guernsey's social security contribution rates and levels have changed. With effect from 1st January 2008 the Employer's contribution rate has increased from 5.5% to 6.5%. The Employee contribution rate remains unchanged at 6.0%, but Lower and Upper Earnings Limits have been revised.

The Employee Upper Earnings Limits have changed quite significantly, but will only affect those earning more than £53,664 p.a.. As from 1st January 2008 the Upper Earnings Limit for Employees increases to £64,896, so somebody earning that amount (or more) will in future pay an extra £674 p.a. in Social Security Contributions.

For more information visit the Social Security section of the States of Guernsey website at www.gov.gg.