- National Living Wage – WEF 1st April 2016 workers in the UK over the age of 25 will see a 50p increase to £7.20 per hour.The statutory rates for employees under 25 remain as follows:
Aged 21-24 inclusive £6.70
Aged 18-20 inclusive £5.30
Aged 16-17 inclusive £3.87
Apprentices under 19 or in 1st year of apprenticeship £3.30
- NO employers national insurance contributions up to the upper earnings limit (£827 per week) for 25 and under in a recognised apprenticeship.
- Employment Allowance is increased to £3000 per annum. Those with one director only are no longer able to claim the relief.
- Student loan – Two plans are now in place. The Student loan Company will notify via HMRC.
- Payrolling Benefits – Real time collection of tax on benefits in kind and expenses through voluntary payrolling. A registration process must take place with HMRC.
- Pension schemes – The end of contracted out pension schemes.
- All statutory rates to remain as the previous year :
SSP £88.45 per week
- Holiday pay – additional pay components such as commission and overtime to be included when calculating holiday pay!
- Scottish rates – These have been introduced but the rates are the same as the UK !
- If you have a PAYE scheme in place you MUST report all employees on your payroll including those below the lower earnings limit (£112 per week).
For further information please contact the payroll department on 01254 688110 alternatively email firstname.lastname@example.org.
Pierce is a trading name of Pierce Group Ltd (09047081) and its associated companies. Pierce Group Ltd is the parent company of Pierce C.A. Ltd (04360541), Pierce Forensic Ltd (05969229) and Pierce Corporate Finance Ltd (05969217). All companies are registered in England & Wales and the registered office, list of all directors and VAT registration numbers are held at: Mentor House, Ainsworth Street, Blackburn, Lancashire BB1 6AY. Pierce C.A. Ltd is registered to carry on audit work in the UK and Ireland and regulated for a range of investment business activities by the Institute of Chartered Accountants in England and Wales - Chartered Accountants' Hall, PO Box 433, London EC2P 2BJ, Tel 020 7920 8100.