Changes to statutory payment rates?
April showers. The government has announced that there will be a number of statutory rate increases coming into effect on April 4. The good news for employers is that not all of the payments change: Statutory Sick Pay (SSP) has been held at the current rate of £79.15 p.w. So what are the new rates for 2010/11 going to be?
• Statutory Maternity Pay (SMP), Statutory Paternity Pay (SPP) and Statutory Adoption Pay (SAP) all rise from £123.06 to £124.88 p.w.
• the statutory Lower Earnings Limit to qualify for these types of payment also increases. From April 6, it goes up from £95.00 p.w. to £97.00 p.w.
Tip. HMRC has a free online “SSP Calculator”. You can use it to work out whether an employee is entitled to this type of payment and what element of it you can recover in each tax month.
For a link to the SSP calculator, visit http://personnel.indicator.co.uk(PS 12.03.08).