The new chancellor has delivered her budget statement, which has a number of cost implications for businesses from April. National Living Wage The main adult rate of National Living Wage will rise in April from £11.44 to £12.21 per hour. The hourly rate for 18-20 year olds will rise from £8.60 to £10.00. Employer National […] Read more »
MANDATORY PAYROLLING BENEFITS IN KIND
The government will make the reporting and paying of Income Tax and Class 1A National Insurance Contributions (NICs) on benefits in kind via payroll software mandatory from April 2026, building on the progress already made on the government’s ambition to fully digitalise the reporting of benefits in kind. Mandation will simplify the tax affairs of […] Read more »
New Employment Legislation from 6th April 2024
National Minimum Wage Rates April 2024: The age for the National Living Wage rate will reduce from 23 year olds to 21 year olds. Under 18s and apprentice rates increase from £5.28 to £6.40 per hour 18 -20 year olds increase from £7.49 to £8.60 per hour 21 and overs increase from £10.18 or £10.42 […] Read more »
2024 Year End Preparations
We are nearing the end of the 2023-24 tax year and to help us all through a smooth year end process, there are certain things you can do to assist with your 2024 year end preparations: Data cleansing Check your payroll reports, payslips or employee data on the MyEpaywindow portal. Are the employees’ titles correct? […] Read more »
Changes To National Insurance Rates from 6th January 2024
It was announced in the Chancellor’s Autumn Statement in November 2023 that National Insurance rates were to be cut for millions of workers. The changes to National Insurance Rates from 6th January 2024 are as follows: Class 1 National Insurance contributions will be cut by 2%, reducing from 12% to 10%. There will be further […] Read more »
An update on Fit Notes
The government announced an update to the Fit Note or Med 3 form which was published on 6 October 2023. The fit note should allow the employer and employee to discuss the employee’s health condition and consider ways to help them stay in, or return to, work on a phased or permanent basis. Previous updates […] Read more »
Are you ready to submit your P11Ds?
If you’re an employer and provide expenses or benefits to employees, you must usually report them to HMRC so that tax and NICs are accounted for, unless they are subject to an exemption. It’s important you understand which exemptions apply and what needs reporting. We would recommend employers review the expenses and benefits they provide […] Read more »
Implications of an extra Bank Holiday
Monday 8th May is an additional bank holiday this year due to the King’s coronation. Employers may have already had to manage the introduction of additional bank holidays last year due to the Queen’s platinum jubilee and another to mourn her death. You may need to review your contractual position on bank holidays to assess […] Read more »
Reversal of recent mini-budget changes
It’s in, it’s out…it’s on, it’s off! Trying to keep up with the latest government plans are making our heads spin at the moment. The newly appointed chancellor Jeremy Hunt has reversed almost all of the recent mini-budget commitments made by previous chancellor Kwasi Kwarteng last month, in a statement made at the Treasury today […] Read more »
Change in employee National Insurance threshold from July 2022
A surprise announcement in the Chancellor’s Spring statement means a change in employee National Insurance Thresholds from July 2022. There is an increase to both the primary threshold and lower profits limit which takes affect 6th July 2022. It is unusual to revise thresholds part way through a tax year, and may catch some employers […] Read more »
Tax Year 2022-23: New Rates, Allowances and Thresholds
The new tax year 2022-23 New Rates, allowances and thresholds you need for your payrolls from April 2022 are as follows: All tax thresholds and allowances have been frozen so remain the same as last tax year (except Scotland). Therefore the standard tax code remains 1257L. National Insurance Thresholds have changed. The lower earnings threshold […] Read more »
Statutory Sick Pay rebate scheme reinstated
The Chancellor has reinstated the statutory sick pay (SSP) rebate scheme for small and medium-sized businesses. The old rebate scheme closed on 30th September 2021, but due to the current surge in Covid-19 cases, the new scheme will apply where the employee has taken sick leave due to Covid-related reasons from 21st December 2021. No […] Read more »
A new Health and Social Care Levy for 2022
On 7th September 2021, prime minister Boris Johnson, announced that a new Health and Social Care Levy will be implemented from tax year 2022/23, therefore will start in April 2022. The new levy will be based on National Insurance contributions and for all working age employees, self-employed and employers, NIC rates will be increased by […] Read more »
Have you been ‘pinged’?
Hundreds of thousands of people in England and Wales have been ‘pinged’ and told to self-isolate by the NHS Covid-19 app in the last few weeks. Have you been ‘pinged’? Whether you MUST self-isolate depends on how you are alerted. If you are pinged by NHS Covid-19 app, it is not a legal requirement that […] Read more »
Further Changes to the Furlough Scheme
Don’t forget the further changes to Furlough scheme from 1 August 2021, when the level of grant will be reduced to 60% and you will be asked to contribute 20% towards the cost of your furloughed employees’ wages. To be eligible for the grant you must continue to pay your furloughed employees 80% of their […] Read more »
Changes to Furlough Pay from 1 July 2021
Don’t forget the changes to Furlough Pay from 1 July 2021, when the level of grant will be reduced and you will be asked to contribute towards the cost of your furloughed employees’ wages. To be eligible for the grant you must continue to pay your furloughed employees 80% of their wages, up to a […] Read more »
Incorrect Tax Codes…is yours correct?
Research of 54,000 UK employees has found that 36% had paid too much tax as a result of being given the wrong tax code in the previous 4 years. This has meant employees have lost out on an average of £204.00 each. Shocking statistics from our perspective as payrollers are: 47% of employees never check […] Read more »
Coronavirus Job Retention Scheme Extended to September
The Coronavirus job Retention Scheme (CJRS) has been extended again from June until the end of September 2021. The UK government will continue to pay 80% of employees’ usual wages for the hours not worked, up to a cap of £2,500 per month. The cap affects anyone on an annual salary of £37,500 or more. […] Read more »
Employment Law Changes from April 2021
The employment law changes from April 2021 that will affect your payroll are as follows: Annual free pay allowance increasing from £12500 to £12570 meaning the standard tax code will be 1257L. The 20% basic rate for tax banding increases from £37500 to £37700. The National Insurance weekly earnings limit for employees is £184.00 and […] Read more »
Coronavirus Job Retention Scheme Extended
In light of the increased restrictions needed to curb the coronavirus pandemic, the government have extended the Coronavirus Job Retention scheme (CJRS) that was originally due to end 31st October 2020. CJRS has been extended to 31 March for all parts of the UK. • From 1st November, the UK Government will pay 80% of […] Read more »